2016/10/26 Council Agenda Packet

2 Proposed FTA C 5010.1E Page I-3 agreement opportunities. More information about Grants.gov is available at http://www.grants.6ov. 5. DEFINITIONS AND ACRONYMS. All definitions in 49 U.S.C. § 5302 and 2 CFR part 200,Subpart A apply to this circular,as well as-the following definitions and acronyms: a. Definitions. (1) Accrual Basis of Accounting: The accrual basis of accounting means the accounting method in which income is recorded when earned instead of when received,and expenses are recorded when incurred instead of when paid. (2) Acquisition Cost: Acquisition cost means the cost of the asset including the cost to prepare the asset for its intended use. The acquisition cost for equipment, for example, means the net invoice price of the equipment,including the cost of any modifications, attachments,accessories, or auxiliary apparatus necessary to make it usable for the purpose for which it is acquired.Acquisition costs for software include those development costs capitalized in accordance with generally accepted accounting principles(GAAP). Other charges such as the cost of inspection,installation, transportation,taxes, duty or protective in-transit insurance should be treated in accordance with the applicant or recipient's regular accounting practices, as separate line items. The cost of items separately installed and removable from rolling stock, such as fareboxes and radios,is treated as a separate acquisition and not as part of the cost of the vehicle if not included in the procurement of rolling stock. (3) Activity Line Item(ALI): Activity Line Item means the detailed description narrative and dollar amount to more fully explain the scope of work of that activity. Every ALI is associated with a specific Scope Code;the relationship between scope codes and ALIs is outlined in FTA's "ALI Tree."A sufficient level of information must be provided for each ALI for FTA and the recipient to manage activities approved as part of the award. (4) Administrative Amendment: Administrative amendment means a minor change to an award initiated by FTA to modify or clarify certain terms, conditions, or provisions of a Grant or Cooperative Agreement. (5) Administrative Settlement: Administrative settlement means a settlement in which: (1) the purchase price for property may exceed the amount offered as just compensation when reasonable efforts to negotiate an agreement at that amount have failed, and(2) an authorized federal agency official approves such an arrangement. An administrative amendment must be reasonable,prudent, and in the public interest. (6) Advance Payment:Advance payment means a payment that a federal awarding agency or pass-through entity makes by any appropriate payment mechanism,including a predetermined payment schedule,before the recipient or subrecipient disburses the funds for program purposes. 17