R990-101-3. Allowable Expenditures

A Qualified Agency may use QEFAF funds for the following expenditures. (1) Warehousing. An expenditure directly related to: (a) receiving, sorting, weighing, handling, and storing of food and food ingredients; (b) the direct personnel cost for a warehousing activity; (c) warehouse equipment, including: (i) a scale; (ii) a fork lift; (iii) a pallet jack; (iv) shelving; (v) refrigeration equipment; and (vi) supplies for food storage; and (d) a cost for the space associated with or used for the warehousing activity including: (i) utilities; (ii) insurance; (iii) cleaning supplies; (vi) pest control; (vii) a minor repair; or (viii) maintenance. (2) Distributing. An expenditure directly related to packaging and transporting food and food ingredients to another agency or organization that provides food and food ingredients to qualified low-income individuals and households, including: (a) the direct personnel cost for a distributing activity; and (b) a transportation equipment cost including: (i) a refrigeration unit; (ii) insurance on a vehicle used exclusively to pick up and drop off food and food ingredients; (iii) fuel; (iv) licensing; (v) a minor repair; or (vi) maintenance. (3) Providing. An expenditure directly related to providing food and food ingredients directly to low-income individuals and households, including: (a) the direct personnel cost for client intake; (b) case management; (c) meal preparation; (d) delivery of meals to a home-bound client or congregate meal site; and (e) an operational expenditure, including: (i) a telephone; (ii) a computer system used to track client eligibility, food intake and distribution; (iii) staff and volunteer training costs such as food safety training; (iv) a food handler's permit; and (v) any other direct cost which is reasonable and necessary. (4) Direct personnel costs. (a) The cost for personnel directly involved in: (i) collecting, transporting, receiving, weighing, sorting, handling, or packaging food and food ingredients; (ii) dispensing food and food ingredients directly to an eligible client; (iii) preparing, serving or delivering meals to an eligible client; and (iv) providing case management services directly to an eligible food bank client. (b) The personnel cost for a staff member who works in both QEFAF and non-QEFAF supported activities is allowable only to the extent the staff member is engaged in the activities described in Subsection R990-101-3(4) and must be supported by a time and activity report. (c) Direct personnel costs include: (i) salaries and wages; (ii) employer's payroll tax; and (iii) fringe benefits. (5) Administrative expenditures. QEFAF funds expended by a Qualifying Agency for administrative costs shall not exceed 10% of the total distributions received by that Qualifying Agency under the QEFAF program for the fiscal year.