Equipment is an item that with an individual cost of $500 or more and a useful life of two years or more. Any items purchased, regardless of the unit cost, must be authorized in the grant agreement and approved in the budget. Equipment and other items acquired under a grant agreement must be used and kept in operation for highway safety purposes. Grantees must maintain an inventory control system that has adequate safeguards in place to prevent loss, damage or theft.
You must fill out an Equipment Acquisition Form (MS Word) and submit it with the claim for payment for all equipment purchased that has a total individual cost of $500 or more and a useful life of 2 years or more. You must notify the GTSC prior to disposing of equipment purchased through your grant.
Equipment that costs $5,000 or more per item needs prior written approval from the GTSC and NHTSA before the purchase is made or be subject to non-reimbursement. The item being approved in the grant does not mean that is has been approved by NHTSA. You must contact the GTSC to obtain the written approval before the item is purchased.
The purchase of equipment that costs $5,000 or more requires that grantees follow 2 CFR sections 200.313(c) through (e) which require that:
Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the Federal award identification number), who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).
A physical inventory of the property must be taken and the results reconciled with the property records at least once every 2 years (2 CFR section 200.313(d)(2)).
Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4)).