December 2023

The Department of the Treasury Office of Gulf Coast Restoration

RESTORE Act

Frequently Asked Questions (FAQs)

Relating to the Direct Component Program

On February 12, 2016, the RESTORE Act rule (Treasury’s implementing regulations, 31 CFR 

Part 34) published by Treasury on December 14, 2015 became effective. The rule combines the 

comprehensive interim final rule and the Louisiana Parish Allocation Formula interim final rule, 

both of which were effective on October 14, 2014. On April 3, 2019, the RESTORE Act final rule 

on administrative costs was published in the Federal Register.

Table of Contents

General............................................................................................................................................8

Q1. Who may apply to receive funds under the Direct Component, administered by 

Treasury?..................................................................................................................................... 8

Q2. How can eligible applicants obtain a grant under the Direct Component program?.... 8

Trust Fund......................................................................................................................................9

Q3. How does Treasury determine the Gulf Cost Restoration Trust Fund (Trust Fund) 

allocations for the Direct Component? ....................................................................................... 9

Q4. How much money is currently available under the Direct Component for eligible 

applicants?................................................................................................................................... 9

Multiyear Implementation Plan (Multiyear Plan)......................................................................9

Q5. What is the purpose of the Direct Component multiyear plan? ................................... 9

Q6. Is there a deadline to submit multiyear plans? ............................................................. 9

Q7. What time period should eligible applicants cover in multiyear plans?..................... 10

Q8. May eligible applicants prepare a multiyear plan incrementally or in phases?.......... 10

Q9. Are eligible applicants required to make their multiyear plans available for public 

review and comment prior to submitting them to Treasury?.................................................... 10

Q10. What multiyear plan documents must applicants make available for public review and 

comment?.................................................................................................................................. 10

Q11. What documents must eligible applicants provide to Treasury when submitting 

multiyear plans? ........................................................................................................................ 11

Q12. What is Treasury’s process for reviewing an eligible applicant’s initial or amended 

multiyear plan?.......................................................................................................................... 11

Q13. May eligible applicants submit applications for activities before submission and 

Treasury’s acceptance of their multiyear plans?....................................................................... 11

Q14. May eligible applicants apply for planning assistance funding to prepare multiyear 

plans, and under what funding opportunity announcement should they apply?....................... 12
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Q15. What constitutes a material modification to a multiyear plan? .................................. 12

Q16. Would a major increase to the total project costs due to inflationary pressures and 

cost escalation affecting the cost of materials and services constitute a material modification to 

an accepted multiyear plan?...................................................................................................... 12

Q17. Would the addition of third-party funds to cover the increased costs on an existing 

Direct Component funded project due to inflationary pressures and cost escalation in materials 

and services constitute a material modification to an accepted multiyear plan? ...................... 13

Q18. Does a material modification to a multiyear plan require a 45-day public review and 

comment period and acceptance by Treasury? ......................................................................... 13

Statutory Definitions ...................................................................................................................13

Q19. How does the RESTORE Act define the Gulf Coast region? .................................... 13

Q20. How will Treasury determine if an activity will be carried out in the Gulf Coast 

region? 13

Q21. What are the eligible activities under the Direct Component?................................... 14

Q22. How does the RESTORE Act define best available science? .................................... 14

Q23. What projects require a best available science determination? .................................. 14

Q24. How will Treasury evaluate a best available science determination? ........................ 14

Q25. Is a best available science determination still necessary if the project follows 

environmental compliance permit requirements?..................................................................... 15

Q26. What information is required in a best available science determination? .................. 15

Q27. What types of risks, uncertainties, or mitigation actions should be addressed in a best 

available science determination? .............................................................................................. 15

Q28. What sources are acceptable evidence for a best available science determination? .. 16

Q29. How should applicants cite sources in the best available science determination? ..... 16

Q30. Can a planning assistance grant include funds to develop best available science 

documentation? ......................................................................................................................... 16

Q31. Can Direct Component planning assistance funds be used to support activities related 

to the Comprehensive Plan or Spill Impact Components? ....................................................... 16

Application Process .....................................................................................................................17

Q32. Treasury released two funding opportunity announcements under the Direct 

Component. How does the eligible applicant determine which announcement applies to their 

proposed project if it requires several elements, such as land acquisition, planning and design 

and construction? ...................................................................................................................... 17

Q33. Do eligible applicants have live links to the grant applications and required forms and 

certifications?............................................................................................................................ 18

Q34. Should eligible applicants apply any specific criteria or metrics to projects?............ 18

Pre-Award Costs..........................................................................................................................18

Q35. What are pre-award costs?.......................................................................................... 18
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Q36. How will Treasury evaluate pre-award costs?............................................................ 19

Q37. Are costs incurred in the preparation of a multiyear plan eligible for reimbursement 

as pre-award costs? ................................................................................................................... 20

Direct Component Financing......................................................................................................20

Q38. If an eligible entity plans to finance an eligible Direct Component project through a 

bond or other debt obligation and then seek reimbursement through a grant when anticipated 

BP funds are deposited in the Gulf Coast Restoration Trust Fund, when should the entity 

notify Treasury of its plans? ..................................................................................................... 20

Q39. Are debt financing costs eligible for reimbursement, and if so, under what 

conditions? ................................................................................................................................ 21

Q40. May an eligible entity continue to receive reimbursement from Treasury for eligible 

debt financing costs associated with the construction of a Direct Component capital asset 

project even after the project is completed, as is possible under the Department of 

Transportation’s Grant Anticipation Revenue Vehicle (GARVEE) program? ........................ 21

Q41. Can Treasury award a Direct Component grant or provide written approval for preaward costs to an eligible entity for an amount that exceeds its current Trust Fund allocation 

available for distribution, in anticipation of future BP deposits? ............................................. 21

Q42. Are there considerations of which eligible entities should be aware when exploring 

whether to issue bonds for projects that would be reimbursed with Trust Funds?................... 22

Q43. Before taking steps to finance a project, an eligible entity should notify OGCR about 

its plans to seek reimbursement of pre-award costs, including debt financing costs, through a 

future Direct Component grant. May an eligible recipient be reimbursed for project costs after 

a project is completed?.............................................................................................................. 22

Q44. How can an eligible recipient be reimbursed for project costs within a grant when the 

project is completed before sufficient funds are available in the Trust Fund for distribution? 23

Eligible Costs................................................................................................................................23

Q45. Are the costs of meals and refreshments allowable costs under a RESTORE Act 

Direct Component grant?.......................................................................................................... 23

Q46. What are the requirements an applicant must meet in order to receive funding for an 

eligible lateral line project connecting individual private residences to the public sewer?...... 24

Q47. Are sewer connection fees eligible for funding under the RESTORE Act Direct 

Component? .............................................................................................................................. 24

Q48. How does Treasury define the term “contingencies” as it relates to Direct Component 

grants? 24

Q48a. Does Treasury allow contingencies in a proposed construction budget to accommodate the 

anticipated increases in construction costs due to cost escalation, inflationary pressures, or for 

other reasons? ....................................................................................................................................25

Q48b. How does Treasury define the term, “broadly-accepted cost estimating methodologies” and 

how are they used to determine contingency costs?.........................................................................26
The Department of the Treasury 4 Office of Gulf Coast Restoration

Q48c. If contingency costs were not included and/or approved in the initial budget, can 

contingencies be added? ....................................................................................................................27

Q48d. If contingency costs are approved, under what circumstances and when can the recipient 

access contingency funds?..................................................................................................................27

Q49. What is Treasury’s expectation regarding the level of detail required for the proposed 

budget of new awards and monetary amendments to existing awards for construction projects?

27

Construction and Land Acquisition...........................................................................................28

Q50. What is the recipient’s responsibility when real property is improved using 

Treasury’s RESTORE Act grant funds? ................................................................................... 28

Q51. How is real property defined? .................................................................................... 28

Q52. How will the Estimated Useful Life be determined for Treasury-funded 

infrastructure? ........................................................................................................................... 28

Q53. What is the Estimated Useful Life of land?................................................................ 28

Q54. What is “infrastructure” under Treasury’s implementing regulations?...................... 28

Q55. How must the recipient document a federal interest in real property?....................... 29

Q56. What are the reporting requirements for Treasury-funded real property projects? .... 29

Q57. What type of appraisal is required by Treasury?........................................................ 30

Q58. What is the appraisal review conducted by Treasury? ............................................... 30

Q59. What are the willing seller requirements for land acquisition? .................................. 30

Procurement.................................................................................................................................30

Q60. May a contractor who enters into a contract with an eligible Louisiana parish or 

Florida county to prepare a multiyear plan and/or grant application compete for subsequent 

procurements related to that multiyear plan and/or grant application?..................................... 31

Q61. What procurement procedures should states, counties, and parishes use?................. 31

Q62. When is it allowable for an eligible Louisiana parish or Florida county to 

hire/contract without competition? ........................................................................................... 31

Q63. Are recipients required to comply with regulations regarding conflicts of interest 

related to procurement?............................................................................................................. 31

Q64. When does the applicant need to comply with the Davis-Bacon Act for grants 

awarded by Treasury under the RESTORE Act? ..................................................................... 32

Q65. Where can the applicant go for more information on the Davis-Bacon Act as it may 

apply to the applicant? .............................................................................................................. 32

Q66. What are “treatment works”? ..................................................................................... 32

Q67. What is the Build America, Buy America Act? ......................................................... 33

Q68. What is “infrastructure” under the Build America, Buy America Act? ..................... 34
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Q69. Does the Buy America Preference requirements set forth in section 70914 of the 

Build America, Buy America Act apply to Treasury’s RESTORE Act grant programs?........ 34

Q70. Does the Buy America Preference requirements apply to every Direct Component 

award that includes construction activities? ............................................................................. 34

Q71. Federal financial assistance that are for “pre and post disaster or emergency response 

expenditures” are exempt from the application of Buy America Preference requirements 

outlined in section 70914 of the Build America, Buy America Act. Does the Direct 

Component grants qualify for this “post disaster” exemption? ................................................ 34

Q72. Do the Buy America Preference requirements apply to RESTORE Act grants which 

are made from the Gulf Coast Restoration Trust Fund not appropriated funds?...................... 35

Q73. Are there resources for the Direct Component grant recipients and subrecipients to 

identify available construction materials that comply with Buy America Preference 

requirements?............................................................................................................................ 35

Q74. Where can I find more information about Buy America Preference requirements? .. 35

What Triggers Buy America Preference Requirements..........................................................36

Q75. Would all funds proposed in the budget of a new Direct Component award for an 

infrastructure project, including third-party funds, be required to comply with the Buy 

America Preference requirements described in the Act?.......................................................... 36

Q76. Would the Buy America Preference requirements apply to an existing Direct 

Component award for infrastructure made before May 14, 2022, if the recipient requires 

additional third-party funds to cover actual construction costs that are higher than those 

estimated at the time of award? ................................................................................................ 36

Q77. Would the Buy America Preference requirements apply to a monetary amendment to 

an existing Direct Component grant for an infrastructure project made after May 14, 2022 if 

the additional funds will be used to cover increased costs due to cost escalation and 

inflationary pressures for executed contracts and budgets for purchase of covered materials 

agreed upon prior to May 14, 2022?......................................................................................... 36

Q78. Would the Buy America Preference requirements apply to Direct Component grants 

for non-infrastructure activities (e.g., architectural design costs and administrative costs)? ... 36

Q79. Does the Buy America Preference requirements apply to all Direct Component grants 

for construction or real property improvements?...................................................................... 37

Q80. Which types of Direct Component construction projects are not considered 

infrastructure as defined by the Build America, Buy America Act? ........................................ 37

Q81. Does the Buy America Preference requirements apply to Direct Component awards 

for infrastructure projects awarded prior to May 14, 2022? ..................................................... 37

Waivers from Buy America Preference Requirements............................................................38

Q82. Are there any general applicability waivers from application of the Buy America 

Preference requirements in effect for the RESTORE Act, Direct Component awards? .......... 38

Q83. What other general applicability waiver(s), if any, will Treasury propose? .............. 38
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Q84. Will there be opportunities to expedite a waiver request in situations where delay 

would be injurious to the project?............................................................................................. 38

Administrative Costs...................................................................................................................39

Q85. Is there a limitation on administrative costs under Direct Component awards? ........ 39

Q86. May a recipient with an open grant in which indirect costs were capped under the 

grant-by-grant method submit a grant amendment to add funds or revise the budget to increase 

the amount it receives for indirect costs for that grant under the aggregate method for 

calculating administrative costs? .............................................................................................. 39

Q87. How will a recipient know how much money is available in its administrative cost 

pool to pay for otherwise eligible indirect costs for its grants? ................................................ 39

Q88. If a recipient does not expend all of its budgeted indirect costs by the time a grant is

closed out, are the unused funds for indirect costs returned to the administrative cost pool?.. 39

Q89. May a recipient receive more funds for indirect costs for a grant than the amount they 

would receive under its Negotiated Indirect Cost Rate or de minimis rate if its administrative 

cost pool holds sufficient funds available to support such a request? ...................................... 40

Q90. If a recipient lacks sufficient funds in its Direct Component administrative cost pool 

to cover the full amount of indirect costs on a grant, may it make up the shortfall by using 

funds available in its Spill Impact Component administrative cost pool?................................ 40

Q91. May a recipient choose to use less than the full amount of funding available in its 

administrative cost pool to pay for indirect costs on a grant?................................................... 40

Q92. If a recipient lacks sufficient funds in its administrative cost pool at the time of 

application and award of a grant, may it later amend the grant to use funds subsequently 

deposited into the Trust Fund and available in its administrative cost pool? ........................... 40

Q93. May a recipient request reimbursement for indirect costs previously capped at 3% of 

a total award under the grant-by-grant method for a grant that has been closed? .................... 40

Q94. How does a recipient request to use the aggregate method for calculating 

administrative indirect costs?.................................................................................................... 41

Other Application Provisions .....................................................................................................41

Q95. What must an applicant do if it does not have a negotiated indirect cost (IDC) rate? 41

Q96. Is there a cost sharing or matching requirement for Direct Component grant? ......... 41

Q97. What does Treasury require if an applicant wants to use Direct Component funds as 

the non-Federal cost-share of another Federal award? ............................................................. 41

Q98. The RESTORE Act Direct Component Financial Assistance Application requires 

applicants to identify key personnel. Who are key personnel?................................................. 42

Program income...........................................................................................................................42

Q99. How would a recipient (or subrecipient) quantify and report program income if the 

facility being improved with RESTORE Act grant funds is operating at a loss during the 

award period of performance? .................................................................................................. 42
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Q100. If a recipient is using RESTORE Act grant funds to make improvements to only a 

portion of an existing facility, would revenue generated by other portions of the facility be 

considered program income? .................................................................................................... 42

Post-Award...................................................................................................................................43

Q101. How should funds be drawn down if there is a non-federal match on the award?..... 43

Q102. How should a recipient account for the non-federal share on a Federal Financial 

Report (FFR)? ........................................................................................................................... 43

Q103. Is prior approval by Treasury required for a subrecipient budget revision? .............. 43

Q104. Is a monetary amendment required prior to a recipient adding third-party funds to a 

Direct Component project to cover increased costs due to inflationary pressures and cost 

escalation?................................................................................................................................. 44

Compliance...................................................................................................................................44

Q105. If an eligible applicant identifies issues as part of its operational self-assessment 

(OSA), how should the applicant address them prior to receiving a grant award? .................. 45

Q106. How should eligible applicants monitor their own performance and compliance and 

that of their subrecipients? ........................................................................................................ 45

Special Louisiana Parish Provisions ..........................................................................................45

Q107. Are the Louisiana Parish Allocations specified in the Trust Fund Allocation Tables 

effective?................................................................................................................................... 45

Q108. Must a Louisiana parish certify to the Governor that the parish has a comprehensive 

land use plan before submitting a Direct Component application to Treasury?....................... 46

Q109. May a Louisiana parish prepare a multiyear plan without a comprehensive land use 

plan certification?...................................................................................................................... 46

Restore grants management system (RGMS) ...........................................................................46

Q110. How may an eligible entity under Treasury’s RESTORE Act grant programs obtain 

access to Treasury’s RESTORE Grants Management System (RGMS) for its employees and 

contract staff?............................................................................................................................ 46
The Department of the Treasury 8 Office of Gulf Coast Restoration

GENERAL

Q1. Who may apply to receive funds under the Direct Component, administered by 

Treasury?

A. The applicants eligible to receive funds under the Direct Component are specified in

the RESTORE Act and Treasury’s implementing regulations. The eligible applicants 

are the following:

• In Alabama, the Alabama Gulf Coast Recovery Council or such administrative 

agent as it may designate 

• In Florida, the Florida counties of Bay, Charlotte, Citrus, Collier, Dixie, 

Escambia, Franklin, Gulf, Hernando, Hillsborough, Jefferson, Lee, Levy, 

Manatee, Monroe, Okaloosa, Santa Rosa, Pasco, Pinellas, Sarasota, Taylor, 

Wakulla, and Walton

• In Louisiana, the Coastal Protection and Restoration Authority Board of 

Louisiana through the Coastal Protection and Restoration Authority of Louisiana

• In Louisiana, the Louisiana parishes of Ascension, Assumption, Calcasieu, 

Cameron, Iberia, Jefferson, Lafourche, Livingston, Orleans, Plaquemines, St. 

Bernard, St. Charles, St. James, St. John the Baptist, St. Martin, St. Mary, St. 

Tammany, Tangipahoa, Terrebonne, and Vermilion 

• In Mississippi, the Mississippi Department of Environmental Quality 

• In Texas, the Office of the Governor or an appointee of the Office of the 

Governor 

Q2. How can eligible applicants obtain a grant under the Direct Component 

program?

A. Treasury periodically posts funding opportunity announcements (FOAs) for the Direct 

Component program, which include deadlines for the submission of grant applications 

on Grants.gov. Eligible applicants may submit grant applications through Treasury’s 

online grants management system of record. Applications may be submitted through 

GrantSolutions.gov until August 31, 2022. Starting October 3, 2022, eligible 

applicants may submit grant applications through the RESTORE Act Grants 

Management System. Treasury awards grants to eligible applicants when their

applications meet the requirements set forth in the FOA including the applicable 

requirements of the RESTORE Act, Treasury’s implementing regulations at 31 CFR 

Part 34, and the Uniform Administrative Requirements, Cost Principles, and Audit 

Requirements for Federal Awards at 2 CFR Part 200.
The Department of the Treasury 9 Office of Gulf Coast Restoration

TRUST FUND

Q3. How does Treasury determine the Gulf Cost Restoration Trust Fund (Trust 

Fund) allocations for the Direct Component?

A. The RESTORE Act equally distributes the allocations for the Direct Component 

among the five Gulf Coast states. Treasury’s implementing regulations at 31 CFR §§

34.302(b) and (c) specify the Direct Component allocation percentages available to 

each of the 23 Florida counties based on an allocation formula submitted by the 

disproportionately affected counties and a formula described in the RESTORE Act for 

the nondisproportionately impacted counties, respectively. 31 CFR § 34.302(e)

specifies the allocation percentages available to each of the 20 eligible coastal parishes

in Louisiana based on a formula described in the RESTORE Act.

Q4. How much money is currently available under the Direct Component for eligible 

applicants?

A. The Trust Fund Allocation Tables, located on Treasury’s RESTORE Act website,

specify the allocations that eligible applicants may use when preparing their grant

applications. Periodically, Treasury posts new tables that include earned interest on the 

Trust Fund, any new deposits, and updated allocations available for distribution.

MULTIYEAR IMPLEMENTATION PLAN (MULTIYEAR PLAN) 

Q5. What is the purpose of the Direct Component multiyear plan?

A. The RESTORE Act and Treasury’s implementing regulations direct state, county, and 

parish applicants to prepare multiyear plans that prioritize eligible activities for Direct 

Component funds, and to obtain broad-based participation from individuals, 

businesses, Indian tribes, and non-profit organizations as part of their multiyear plan 

preparation. State, county, or parish applicants may amend their accepted multiyear 

plans by following these same steps, including obtaining public input, prior to 

submitting their amended plans to Treasury. Interested parties may contact the 

appropriate state, county, or parish applicant to request that the applicant consider 

including its proposed activity in the applicant’s initial or amended multiyear plan. 

Treasury reviews the applicant’s initial or amended plan for completeness and 

compliance with the RESTORE Act and Treasury’s implementing regulations. The 

forms for a multiyear plan are posted on Treasury’s RESTORE Act website. 

Q6. Is there a deadline to submit multiyear plans?

A. No. Eligible applicants may submit an initial or amended multiyear plan at any time. 

However, other than planning assistance grants for the preparation of a multiyear plan, 

applicants may not apply for Direct Component grants until they submit and Treasury 

accepts their initial or amended multiyear plan
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Q7. What time period should eligible applicants cover in multiyear plans?

A. Eligible applicants have flexibility in setting the length of time covered in their 

multiyear plans. Applicants may prepare a plan that includes activities that could be 

undertaken with both a current Trust Fund allocation and estimated allocations arising 

from the April 2016 BP consent decree not yet deposited into the Trust Fund.

However, Treasury may not award a project grant until sufficient deposits are 

available for distribution based on the amount of funds shown in the Gulf Coast 

Restoration Trust Fund Allocation Tables on Treasury’s RESTORE Act website.

Q8. May eligible applicants prepare a multiyear plan incrementally or in phases?

A. Yes. Eligible applicants may prepare a multiyear plan incrementally (e.g., cover some 

of the eligible activities), and add new eligible activities later through amendments to 

their accepted multiyear plan. Applicants also may prepare a multiyear plan in phases 

(e.g., the plan may cover a limited period) with additional years and activities added 

later through amendments to their accepted multiyear plan. Applicants may choose to 

prepare an initial multiyear plan based on current available Trust Fund allocations, and 

later submit amendments based on estimated allocations arising from the April 2016 

BP consent decree. Amendments to accepted multiyear plans that materially modify 

the multiyear plans will require a 45-day public and comment review process prior to 

submission to Treasury for review and acceptance.

Q9. Are eligible applicants required to make their multiyear plans available for public 

review and comment prior to submitting them to Treasury?

A. Yes. Eligible applicants must make their multiyear plans available for public review 

and comment for at least 45 days, in a manner calculated to obtain broad-based 

participation from individuals, businesses, Indian tribes, and non-profit organizations, 

such as through public meetings, presentations in languages other than English, and 

postings on the Internet. Applicants will need to submit documentation (e.g., a copy of 

public notices) to demonstrate that their multiyear plan was available for review by the 

public for at least 45 days. As part of their multiyear plan submission to Treasury, 

applicants must describe in the Direct Component Multiyear Plan Narrative form the 

relevant issues raised by the public and describe how they addressed the public 

comments. Interested members of the public should contact their eligible state, county, 

or parish to obtain information about how the public may participate in the public 

engagement and outreach activities associated with preparation of the multiyear plan.

Q10. What multiyear plan documents must applicants make available for public review 

and comment? 

A. Eligible applicants must include the Treasury Direct Component Multiyear Plan 

Matrix and Direct Component Multiyear Plan Narrative forms, and a location map as 

part of the multiyear plan they release for public comment. Please note that if 

applicants prepare a more detailed multiyear plan in addition to these documents, it 

also must be released for public review and comment. The detailed multiyear plan, 
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including the Treasury forms, must be made available for 45 days for public review 

and comment, in a manner calculated to obtain broad‐based participation from 

individuals, businesses, Indian tribes, and non-profit organizations.

Q11. What documents must eligible applicants provide to Treasury when submitting 

multiyear plans?

A. Eligible applicants must include the Treasury Direct Component Multiyear Plan 

Matrix and Direct Component Multiyear Plan Narrative forms, and a location map as 

part of their multiyear plan submission to Treasury. Applicants also may prepare a 

more detailed multiyear plan encompassing a longer time frame and including a more 

comprehensive list of activities based on the current trust fund allocations and 

estimated allocations from the April 2016 BP consent decree. Please note that if 

applicants prepare more detailed multiyear plan documents in addition to the Treasury 

Multiyear Plan Matrix and Narrative forms, they must submit the detailed multiyear 

plan to Treasury.

Q12. What is Treasury’s process for reviewing an eligible applicant’s initial or 

amended multiyear plan?

A. Treasury reviews initial and amended multiyear plans for completeness and 

conformity with the RESTORE Act and Treasury’s implementing regulations. 

Treasury may need to request additional information to complete the review. After 

completing its review, Treasury notifies an applicant in writing that the applicant may 

begin to submit grant applications to fund activities listed on the accepted multiyear 

plan. Treasury posts on its website applicants’ initial and amended multiyear plan 

documents, i.e., Direct Component Multiyear Plan Matrix, Direct Component 

Multiyear Plan Narrative, and location map. Applicants must make initial and 

amended multiyear plans accepted by Treasury available to the public on their 

websites or through other means designed to make the information accessible to the 

public.

Q13. May eligible applicants submit applications for activities before submission and 

Treasury’s acceptance of their multiyear plans?

A. No. Eligible applicants may submit applications for eligible Direct Component 

activities listed on their multiyear plans only after Treasury has accepted their 

multiyear plan. Likewise, applicants may submit applications for activities added to or 

materially modified in an amended multiyear plan only after Treasury has accepted the 

amended multiyear plan. A grant application for planning assistance funding for the 

preparation of multiyear plans is the only exception to this requirement.
The Department of the Treasury 12 Office of Gulf Coast Restoration

Q14. May eligible applicants apply for planning assistance funding to prepare 

multiyear plans, and under what funding opportunity announcement should they 

apply?

A. Yes. Eligible applicants may submit applications to Treasury for planning assistance 

funds for the preparation of multiyear plans. Applicants may apply under the Funding 

Opportunity Announcement – Direct Component Non-Construction Activities in 

Treasury’s online grants management system of record. Applicants should refrain 

from addressing questions in the application form that relate to the multiyear plan. The 

prerequisite to submit a multiyear plan prior to applying for a Direct Component grant 

does not apply when planning assistance funding is for preparation of the multiyear 

plan itself.

Q15. What constitutes a material modification to a multiyear plan?

A. A material modification to a multiyear plan is: 1) a change to the scope or size of the 

activity included in the multiyear plan that affects outcomes and/or outputs, and/or 2) 

a change in the overall Direct Component funds included in the multiyear plan 

resulting from the addition of a new activity or a change to the scope or size of an 

existing activity.

Modifications to a multiyear plan that would not be material modifications are: 1) 

changes that do not affect the overall scope or objective of the multiyear plan activity, 

and 2) changes that do not increase funding for an accepted multiyear plan in order to 

add new activities or increase the scope of an existing activity or activities. Examples 

of non-material modifications to an accepted multiyear plan may include, but are not 

limited to: 

(1) Minor changes to the scope of a project including the outcomes or outputs (e.g., 

minor increases or decreases in the number of wetland acres restored), 

(2) Minor changes to an activity budget (e.g., due to an increase in the cost of 

materials), and 

(3) Changes in the proposed start date or end date of an activity. 

An applicant should submit non-material modifications to an accepted multiyear plan 

with the next amended multiyear plan submitted for Treasury’s review and 

acceptance. If non-material modifications to an activity in an accepted multiyear plan 

are included in a grant application, Treasury will evaluate the application to 

determine if the modified activity continues to be a Direct Component eligible 

activity and does not exceed the recipient’s Direct Component allocation.

Q16. Would a major increase to the total project costs due to inflationary pressures 

and cost escalation affecting the cost of materials and services constitute a 

material modification to an accepted multiyear plan?

A. An increase to the total Direct Component project costs due to inflationary pressures 

and cost escalation in materials and services that does not result in a change to the 

scope or size of the activity included in the accepted multiyear plan and does not 

substantially affect the outcomes or outputs would be a non-material modification to 
The Department of the Treasury 13 Office of Gulf Coast Restoration

the accepted multiyear plan. See FAQ #15 for more information on non-material 

modifications.

Q17. Would the addition of third-party funds to cover the increased costs on an 

existing Direct Component funded project due to inflationary pressures and cost 

escalation in materials and services constitute a material modification to an 

accepted multiyear plan?

A. No. The addition of third-party funds to cover the increased costs on an existing 

Direct Component funded project due to inflationary pressures and cost escalation in 

materials and services that does not result in a change to the scope or size of the 

activity included in the accepted multiyear plan and does not substantially affect the 

outcomes or outputs would be a non-material modification to the accepted multiyear 

plan. 

Q18. Does a material modification to a multiyear plan require a 45-day public review 

and comment period and acceptance by Treasury?

A. Yes. Material modifications to an accepted multiyear plan are subject to all the 

applicable requirements for an initial multiyear plan, including the 45-day public 

review and comment period and acceptance by Treasury.

STATUTORY DEFINITIONS

Q19. How does the RESTORE Act define the Gulf Coast region?

A. Under the RESTORE Act, Gulf Coast region is defined as:

(1) In the Gulf Coast States, the coastal zones defined under section 304 of the 

Coastal Zone Management Act of 1972 that border the Gulf of Mexico; 

(2) Land within the coastal zones described in paragraph (1) of this definition that is 

held in trust by, or the use of which is by law subject solely to the discretion of, 

the Federal Government or officers or agents of the Federal Government; 

(3) Any adjacent land, water, and watersheds, that are within 25 miles of the coastal 

zone described in paragraphs (1) and (2) of this definition; and 

(4) All Federal waters in the Gulf of Mexico.

Q20. How will Treasury determine if an activity will be carried out in the Gulf Coast 

region?

A. Treasury’s implementing regulations explain that Direct Component activities are

carried out in the Gulf Coast region when, in the reasonable judgment of the eligible 

applicant applying to Treasury for a grant, each severable part of the activity is 

primarily designed to restore or protect that geographic area. A state, county, or parish 

must demonstrate that the activity will be carried out in the Gulf Coast region when it

applies for the grant.
The Department of the Treasury 14 Office of Gulf Coast Restoration

Q21. What are the eligible activities under the Direct Component?

A. The criteria for eligibility are described in Treasury’s implementing regulations at 31 

CFR § 34.201. In general, the following projects, programs, and activities are eligible 

for funding under the Direct Component. Activities 1 through 7 must be carried out in 

the Gulf Coast region.

1) Restoration and protection of the natural resources, ecosystems, fisheries, marine 

and wildlife habitats, beaches and coastal wetlands of the Gulf Coast region

2) Mitigation of damage to fish, wildlife, and natural resources

3) Implementation of a federally-approved marine, coastal, or comprehensive 

conservation management plan, including fisheries monitoring

4) Workforce development and job creation

5) Improvements to or on State parks located in coastal areas affected by the 

Deepwater Horizon oil spill

6) Infrastructure projects benefitting the economy or ecological resources, including 

port infrastructure

7) Coastal flood protection and related infrastructure

8) Planning assistance

9) Administrative costs

10) Promotion of tourism in the Gulf Coast region, including recreational fishing

11) Promotion of the consumption of seafood harvested from the Gulf Coast region

Q22. How does the RESTORE Act define best available science?

A. Under the RESTORE Act, best available science means science that maximizes the 

quality, objectivity, and integrity of information, including statistical information; uses 

peer-reviewed and publicly available data; and clearly documents and communicates 

risks and uncertainties in the scientific basis for such projects.

Q23. What projects require a best available science determination?

A. The requirement to use best available science applies to natural resource protection or 

restoration projects regardless of the project’s Primary Direct Component Eligible 

Activity label. Applicants must consider the nature of the activity when determining 

whether this requirement applies. A best available science determination may be 

required for any of the eligible activities, depending on the objectives of the activity.

Please contact the Office of Gulf Coast Restoration (OGCR) if there are questions 

about whether a specific project requires a BAS determination.

Q24. How will Treasury evaluate a best available science determination?

A. Treasury will review applications to determine whether the best available science 

question has been answered fully and work with subject matter experts who will 

evaluate if the applicant’s determination is reasonable that the proposed project is 

based on best available science. The subject matter expert review will take 

approximately 2 - 3 weeks. Experts may request additional information or clarification 
The Department of the Treasury 15 Office of Gulf Coast Restoration

that Treasury will convey to the applicant. If necessary, subject matter experts will reevaluate the project after receiving requested clarifications.

Q25. Is a best available science determination still necessary if the project follows 

environmental compliance permit requirements?

A. Yes. The requirement to base natural resource protection and restoration projects on 

best available science is separate from environmental compliance requirements. 

Permit requirements may influence project’s methods and should be referenced in the 

best available science determination; however, the applicant is responsible for 

demonstrating that the project is based on best available science.

Q26. What information is required in a best available science determination?

A. Applicants must explain how the project’s natural resource protection and/or 

restoration objectives and the proposed methods are based on best available science. 

Applicants also must summarize any risks or uncertainties associated with the project 

and explain how these risks will be mitigated.

Applicants are required to cite and describe peer-reviewed literature and/or publicly 

available data. The sources should be objective, methodologically sound and support 

the conclusion that the proposed scope of work is an effective way to achieve the 

stated objectives of the project, consistent with the RESTORE Act. Cited sources are 

expected to represent the main body of relevant literature, including sources with 

negative and/or inconclusive findings. Applicants are encouraged to provide 

documentation of current project site conditions, evidence that the proposed project 

will achieve the stated natural resource protection and/or restoration objective, and 

evidence that the project’s methodology is based on peer-reviewed or public sources 

and aligned with achievement of the objective. Applicants also are encouraged to 

include any relevant design or planning documents, such as feasibility studies, permit 

requirements, design documents, design specifications, or design drawings, and to 

state clearly if certain methodological details are unknown but will be developed as 

part of the project.

Q27. What types of risks, uncertainties, or mitigation actions should be addressed in a 

best available science determination?

A. Specific risks, uncertainties and mitigation actions will depend on the nature of the 

project. However, general categories of risks or uncertainties to consider include: 

potential negative impacts on natural resources, likely or potential reasons the project 

may not achieve its objective, the anticipated longevity of project benefits, risks 

described in cited sources, and uncertainties in the underlying science used to justify 

the project and/or methods. Mitigation actions may include: siting or design 

considerations, phasing projects, and/or monitoring and adaptive management.
The Department of the Treasury 16 Office of Gulf Coast Restoration

Q28. What sources are acceptable evidence for a best available science determination?

A. Under the RESTORE Act, peer-reviewed literature and publicly available data sets, 

such as those from state agencies, the U.S. Census Bureau, U.S. Fish and Wildlife 

Service, Environmental Protection Agency, and National Oceanic and Atmospheric 

Administration, are acceptable evidence for a best available science determination. If 

peer-reviewed literature or publicly available data sets are unavailable, alternative 

scientific information may be used, including design guidelines, design criteria, best 

management practices documents, and photographs or other baseline documentation 

of the project site.

Sources based on work conducted in regions outside the Gulf Coast may be cited as 

evidence; however, applicants must justify the relevance of the work by describing 

how findings are applicable to and methods will be adapted for conditions in the Gulf. 

Applicants are encouraged to consider differences in physical and biological factors, 

such as tides, salinity, wildlife, temperature or currents, between the source’s study 

site and the Gulf.

Q29. How should applicants cite sources in the best available science determination?

A. Sources should be cited parenthetically in the best available science determination, 

with a list of full citations provided at the end. Citations for peer-reviewed articles 

should include the author, publication date, article title, journal title, and volume and 

page numbers. Citations for non-peer-reviewed sources should also include the author, 

publication date, article title, journal title, and volume and page numbers, if applicable, 

as well as the date of access. Applicants are encouraged to provide PDFs of documents 

or links to websites, if necessary.

Q30. Can a planning assistance grant include funds to develop best available science 

documentation?

A. Yes. Planning assistance grants can include funds to develop best available science 

documentation.

Q31. Can Direct Component planning assistance funds be used to support activities 

related to the Comprehensive Plan or Spill Impact Components?

A. “Planning assistance” is defined in Treasury’s implementing regulations at 31 CFR §

34.2 and includes three types of activities:

1) One-time preparations that will allow the recipient to establish systems and 

processes needed to review grant applications, award grants, monitor grants after 

award, and audit compliance with respect to eligible activities under 31 CFR § 

34.201 in a Multiyear Implementation Plan or State Expenditure Plan;

2) Data gathering, studies, modeling, analysis and other tasks required to prepare 

plans for eligible activities under 31 CFR §§ 34.201(a) through (i), including 

environmental review and compliance tasks and architectural and engineering 

studies; 
The Department of the Treasury 17 Office of Gulf Coast Restoration

3) Funding for the preparation and amendment of a Direct Component Multiyear 

Implementation Plan.

Direct Component planning assistance funds can be used to support some activities 

related to the Comprehensive Plan or Spill Impact Components in the following 

instances.

• One-Time Preparations – If an eligible entity has a project for one-time 

preparations, such as setting up a data management system to track grants and 

projects or developing policies and procedures to conform to 2 CFR Part 200, the 

entire activity may be eligible for Direct Component funding if the project is 

general in nature and does not have requirements that are unique to the 

Comprehensive Plan or Spill Impact Components. For example, a general project 

management system that can be used by a recipient regardless of which 

RESTORE Act component is funding the project would be eligible. However, if 

the system has unique requirements for elements unrelated to the Direct 

Component, Direct Component funding should not go towards unique programspecific requirements of the system.

• Data Gathering, Studies, Modeling, Analysis – If an eligible entity has a project 

that requires data gathering, studies, modeling, analysis, or other tasks such as 

engineering and design or environmental compliance prior to constructing or 

implementing the project, then the Direct Component could fund these types of 

planning activities, provided it is a Direct Component eligible activity under 31 

§§ 34.201(a) through (i). Direct Component planning assistance funds could be 

used regardless of whether the project itself is constructed or implemented with 

Direct Component or other funds.

• Planning Assistance for the Preparation of a Plan – Direct Component funds 

may be used for the preparation or amendment of a Multiyear Implementation 

Plan. They may not be used for the preparation or amendment of a State 

Expenditure Plan or Comprehensive Plan Project.

APPLICATION PROCESS

Q32. Treasury released two funding opportunity announcements under the Direct 

Component. How does the eligible applicant determine which announcement 

applies to their proposed project if it requires several elements, such as land 

acquisition, planning and design and construction?

A. Treasury releases multiple types of funding opportunity announcements because 

different kinds of projects must meet different requirements. For example, land 

acquisition and construction projects have different requirements from planning 

projects, so that the applicant must submit applications under different funding 

opportunity announcements. Furthermore, the scope of work of a planning and design 

project will determine whether the applicant should submit the application under a 
The Department of the Treasury 18 Office of Gulf Coast Restoration

non-construction or construction funding opportunity announcement. Treasury staff is 

available to discuss applicants’ specific application questions on a case-by-case basis.

Q33. Do eligible applicants have live links to the grant applications and required forms 

and certifications?

A. Yes. Eligible applicants can obtain the grant applications and other forms and 

certifications through Treasury’s online grants management system of record. 

Treasury posts the funding opportunity announcements in the online system. Once the 

applicant obtains a user account and selects a funding opportunity announcement, the

applicant gains access to the applicable directions and forms. The Operational SelfAssessment and the multiyear plan forms may be found on Treasury’s website in 

fillable form format.

Q34. Should eligible applicants apply any specific criteria or metrics to projects?

A. Currently, there are no specific criteria or metrics required by Treasury, including for 

workforce development or job creation projects. When preparing any application for 

an eligible activity, an applicant will set milestones to demonstrate progress in 

completing the planned activity. An applicant also will establish performance 

measures that demonstrate progress toward reaching the stated objectives for the 

proposed activity and are outcome-oriented to the extent possible. As with all grant 

applications, Treasury reviews the reasonableness of applicants’ submissions for

conformity with the RESTORE Act and Treasury’s implementing regulations.

PRE-AWARD COSTS

Q35. What are pre-award costs?

A. Pre-award costs are defined in the OMB’s Uniform Guidance at 2 CFR § 200.458.

“Pre-award costs are those incurred prior to the effective date of the Federal award 

directly pursuant to the negotiation and in anticipation of the Federal award where 

such costs are necessary for efficient and timely performance of the scope of work. 

Such costs are allowable only to the extent that they would have been allowable if 

incurred after the date of the Federal award and only with written approval of the 

Federal awarding agency.”

Pre-award costs must be connected to an award for a specific eligible activity and be 

included in the award’s approved scope of work and budget. All costs incurred before 

the Federal awarding agency makes the Federal award are at the recipient’s own risk. 

Applicants considering incurring pre-award costs should contact Treasury as soon as 

possible.
The Department of the Treasury 19 Office of Gulf Coast Restoration

Q36. How will Treasury evaluate pre-award costs?

A. Treasury will consider reimbursement of pre-award costs only when an applicant 

demonstrates that 1) the costs were incurred directly pursuant to the negotiation and in 

anticipation of the award, and 2) the costs are necessary for the efficient and timely 

performance of the scope of work. Pre-award costs should be requested as part of an 

application for funding. The applicant must clearly describe the proposed pre-award 

costs in the scope of work and budget justification and provide a compelling 

justification as to why Treasury should approve the pre-award costs. Applicants must 

be able to provide documentation to evidence the costs through invoice, dated signed 

timesheets, contracts, etc. at the time of application for all pre-award costs incurred 

greater than 90 days prior to award or the requested start date of the award (see 2 CFR 

§ 200.308 (e)(1)). Pre-award costs incurred less than 90 days prior to award may be 

requested post-award with documentation to evidence the costs. Treasury will use the 

following criteria, which are based on the RESTORE Act, Treasury’s implementing 

regulations, and OMB’s Uniform Administrative Requirements, Cost Principles, and 

Audit Requirements for Federal Awards to evaluate pre-award costs:

Eligible Costs

• Were the costs incurred for a specific activity that is eligible for Direct 

Component funding?

Costs Directly Pursuant to the Negotiation and in Anticipation of the Federal 

Award 

• Were the costs incurred directly pursuant to the negotiation of the specific 

Federal award and in anticipation of the Federal award?

• Pre-award costs should be preparatory in nature. Recipients may not 

complete a project and request reimbursement of costs incurred for the 

project as pre-award costs. All costs incurred before Treasury makes an

award are at the applicant’s risk. Treasury is not required to reimburse 

such costs if for any reason the applicant does not receive a grant or if the 

grant is less than anticipated and inadequate to cover such costs.

Costs Necessary for Efficient and Timely Performance of the Scope of Work

• Are the costs incurred necessary for the efficient and timely performance 

of the scope of work of the Federal award?

Allowable Costs

• Would the costs incurred have been allowable if they had occurred after 

the date of the specific Federal award?

Written Approval of the Federal Awarding Agency

• Did the applicant receive prior written approval of the Federal awarding 

agency for the pre-award costs? A Federal awarding agency is authorized, 

at its option, to waive prior written approval in authorizing recipients to 

incur project costs 90 calendar days before the Federal awarding agency 

makes the Federal award. Expenses more than 90 calendar days preaward require prior approval of the Federal awarding agency. (See 2 

CFR § 200.308(e)(1)).
The Department of the Treasury 20 Office of Gulf Coast Restoration

Q37. Are costs incurred in the preparation of a multiyear plan eligible for 

reimbursement as pre-award costs?

A. All applications for pre-award costs must meet the strict requirements of 2 CFR § 

200.458. In addition to other requirements, applicants will need to submit a scope of 

work for the preparation of the multiyear plan and demonstrate that any costs incurred 

before the Federal award were necessary for the efficient and timely completion of 

that scope of work. As stated in funding opportunity announcements for the Direct 

Component, Treasury does not anticipate that any costs incurred prior to August 15, 

2014, the publication date of the interim final rule, will meet these requirements. 

Treasury’s implementing regulations specify elements for the multiyear plan. It is 

unlikely that applicants could have begun work necessary for the efficient and timely 

completion of the multiyear plan, and otherwise meet the applicable requirements in 

31 CFR Part 34 and 2 CFR Part 200, before Treasury published criteria for the 

multiyear plan in the interim final rule that was effective October 14, 2014.

DIRECT COMPONENT FINANCING 

Q38. If an eligible entity plans to finance an eligible Direct Component project through 

a bond or other debt obligation and then seek reimbursement through a grant 

when anticipated BP funds are deposited in the Gulf Coast Restoration Trust 

Fund, when should the entity notify Treasury of its plans?

A. An eligible entity is encouraged to notify Treasury in advance whenever it plans to 

seek reimbursement of pre-award costs as part of a future grant application, including 

plans to incur a debt obligation to finance a project. The Direct Component multiyear 

plan provides an excellent opportunity for an eligible entity to communicate plans for 

projects and its intended use of Trust Funds to both the public and Treasury, including 

debt financing and the project timeframe.

Nothing prevents an eligible entity from issuing a bond or incurring a debt obligation 

to finance a project, or from seeking reimbursement for pre-award project costs under 

the RESTORE Act grant; however, an eligible entity engages in advance financing 

and incurs pre-award costs at its own risk. Treasury can only approve pre-award 

project costs that would have been allowable if incurred within a RESTORE Act 

grant. Treasury will provide written approval of pre-award costs only through a notice 

of award or other post-award notification.

Treasury staff is available to answer questions about the RESTORE Act, Treasury’s 

implementing regulations, and the OMB’s Uniform Administrative Requirements, 

Cost Principles, and Audit Requirements (Uniform Guidance).
The Department of the Treasury 21 Office of Gulf Coast Restoration

Q39. Are debt financing costs eligible for reimbursement, and if so, under what 

conditions?

A. If the project is for the acquisition, construction, or replacement of capital assets that 

would be used by the non-Federal entity in support of Federal awards, the debt 

financing costs may be allowable subject to the conditions set forth in 2 CFR § 

200.449. The Uniform Guidance at 2 CFR § 200.1 defines “capital assets” as:

. . . tangible or intangible assets used in operations having a useful life of more 

than one year which are capitalized in accordance with Generally Accepted 

Accounting Practices (GAAP). Capital assets include:

• Land, building (facilities), equipment, and intellectual property (including 

software) whether acquired by purchase, construction, manufacture, leasepurchase, exchange, or through capital leases; and

• Additions, improvements, modifications, replacements, rearrangements, 

reinstallations, renovations or alterations to capital assets that materially 

increase their value or useful life (not ordinary repairs and maintenance).

Thus, under 2 CFR § 200.449, debt financing costs to acquire, construct, or replace 

capital assets may be allowable, subject to 2 CFR §§ 200.449(c)—(g).

Q40. May an eligible entity continue to receive reimbursement from Treasury for 

eligible debt financing costs associated with the construction of a Direct 

Component capital asset project even after the project is completed, as is possible 

under the Department of Transportation’s Grant Anticipation Revenue Vehicle 

(GARVEE) program? 

A. No. The RESTORE Act does not provide authority for Treasury to pay for debtfinancing costs after a project is completed, unlike some other federal assistance 

programs. 

Q41. Can Treasury award a Direct Component grant or provide written approval for 

pre-award costs to an eligible entity for an amount that exceeds its current Trust 

Fund allocation available for distribution, in anticipation of future BP deposits?

A. No. Federal law prohibits awarding or obligating amounts in excess of the amounts 

available for award. Treasury may not approve pre-award costs or make a grant to an 

eligible entity that exceeds the entity’s current Trust Fund allocation. An eligible 

recipient engages in pre-award project activities and incurs pre-award costs at its own 

risk.
The Department of the Treasury 22 Office of Gulf Coast Restoration

Q42. Are there considerations of which eligible entities should be aware when exploring 

whether to issue bonds for projects that would be reimbursed with Trust Funds?

A. An eligible entity will need to consider factors such as the cost of financing and the 

amount of time needed to complete a project when considering whether to issue a 

bond to fund a project for which it plans to later seek reimbursement from its Trust 

Fund allocation. 

All grants awarded by Treasury under the RESTORE Act must comply with the 

RESTORE Act, Treasury’s implementing regulations, and applicable federal laws and 

regulations on grants, including the Uniform Guidance. We encourage eligible entities

considering whether to issue bonds for projects for which they plan to seek 

reimbursement from the Trust Fund, to remain particularly aware of the following 

provisions in the Uniform Guidance:

• Costs incurred for interest on borrowed capital or the use of the eligible entity’s 

own funds, however represented, are unallowable (See 2 CFR § 200.449(a)).

Financing costs (including interest) to acquire, construct, or replace capital assets, 

that would be used by the non-Federal entity in support of Federal awards, may be 

allowable, subject to conditions (See 2 CFR § 200.449(c)—(g)). 

• If some or all of the work will be accomplished through a contract, the 

procurement standards of 2 CFR § 200.317—200.327, as applicable, must be met.

• Written approval from the Federal awarding agency is required for any costs 

incurred prior to the issuance of a grant award. Pre-award costs should be 

requested as part of an application for funding (See 2 CFR § 200.458).

• All of the costs for which an eligible entity plans to seek reimbursement must meet 

2 CFR Part 200, Subpart E – Cost Principles of the Uniform Guidance.

Q43. Before taking steps to finance a project, an eligible entity should notify OGCR 

about its plans to seek reimbursement of pre-award costs, including debt 

financing costs, through a future Direct Component grant. May an eligible 

recipient be reimbursed for project costs after a project is completed?

A. If an eligible entity has completed a project with its own funds, it may seek 

reimbursement as pre-award costs through an application for a Direct Component 

grant under the RESTORE Act. However, an eligible entity incurs pre-award costs at 

its own risk. All work funded with a grant awarded by Treasury under the RESTORE 

Act must comply with the RESTORE Act, Treasury’s implementing regulations, and 

applicable federal laws and regulations on grants, including the Uniform Guidance 

(see also FAQs #35 and #36 on Pre-Award Costs).
The Department of the Treasury 23 Office of Gulf Coast Restoration

Q44. How can an eligible recipient be reimbursed for project costs within a grant when 

the project is completed before sufficient funds are available in the Trust Fund for 

distribution?

A. In cases where an eligible recipient combines its own funds as a voluntary non-federal 

share with allocated Direct Component funds in a grant, the recipient may be 

reimbursed for its non-federal share of eligible project costs during the period of 

performance by requesting a re-budget of costs from non-federal share to federal 

share. A recipient also may request that Treasury delay final closeout of an award to 

allow for further re-budgeting of costs from the non-federal share to the federal 

share. Upon full reimbursement, the award will be closed out.

ELIGIBLE COSTS

Q45. Are the costs of meals and refreshments allowable costs under a RESTORE Act 

Direct Component grant?

A. The costs of meals and refreshments may be allowable costs if provided as part of a 

conference as defined in the Uniform Guidance. The Uniform Guidance defines a 

conference as “a meeting, retreat, seminar, symposium, workshop or event whose 

primary purpose is the dissemination of technical information beyond the non-Federal 

entity and is necessary and reasonable for successful performance under the Federal 

Award.” 2 CFR § 200.432. A conference host must exercise discretion and judgment 

in ensuring that conference costs are appropriate, necessary, and managed in a manner 

that minimizes cost to the Federal award. If an applicant anticipates providing meals 

and refreshments at a conference, their budget justification and scope of work in their 

grant application should include information on it. In the rare instance where meals 

and refreshments are not included in an approved budget justification and scope of 

work, the recipient must request prior approval from Treasury. The request must 

include:

1. An estimated budget and a description of the meals and refreshments that are 

going to be provided at the conference.

2. A description of the purpose, agenda, location, length and timing for the 

conference.

3. An estimated number of participants in the conference and a description of their 

roles.

Treasury retains the discretion to make the final determination concerning the

allowability of meals and refreshments at conferences. 
The Department of the Treasury 24 Office of Gulf Coast Restoration

Q46. What are the requirements an applicant must meet in order to receive funding for 

an eligible lateral line project connecting individual private residences to the 

public sewer?

A. The connection of individual private residences to the public sewer system is not 

eligible for grant funding under the RESTORE Act Direct Component unless the 

wastewater laterals are “owned” by the recipient or subrecipient. The recipient or 

subrecipient could have ownership by fee simple title; by the issuance of an 

enforceable easement with right of access; or through suitable authority, such as an 

ordinance assuring right of access for such purposes as inspection, monitoring, 

building, operation, rehabilitation and replacement. The recipient or subrecipient must 

show it will be responsible for the operations and maintenance of the laterals for their 

estimated useful life. Additionally, the recipient or subrecipient may not transfer 

ownership of the laterals to any entity without written approval from Treasury. 

Treasury will require documentation showing the recipient’s ownership interest and 

may require that a Covenant of Purpose, Use and Ownership be recorded on the 

federal interest in the property.

Q47. Are sewer connection fees eligible for funding under the RESTORE Act Direct 

Component?

A. The eligibility of connection fees for RESTORE Act funding is dependent upon their 

purpose. Because there is no uniform definition of “connection fees” and the term 

means different things in different jurisdictions, Treasury can only answer this 

question on a case-by-case basis.

Q48. How does Treasury define the term “contingencies” as it relates to Direct 

Component grants?

A. Treasury defines the term “contingencies” the same way as the term is defined in the 

Uniform Guidance at 2 CFR § 200.433(a), which are amounts that are “part of a 

budget estimate of future costs which is associated with possible events or conditions 

arising from causes the precise outcome of which is indeterminable at the time of 

estimate, and that experience shows will likely result, in aggregate, in additional costs 

for the approved activity or project” and contingencies do not include “amounts for 

major project scope changes, unforeseen risks, and extraordinary events.”

Contingencies are funds allocated for uncertain or unexpected events and are 

commonly set aside in the planning phase of a project to serve as a safety net to better 

manage risks, mitigate delays, and achieve project goals. The purpose of contingencies 

is to also ensure efficient planning and preparation in the project design stage because 

changes in certain costs are anticipated when estimating preliminary costs (as opposed 

to simply increasing estimates without justification). In other words, contingencies can 

be thought of as cautionary funding for “known unknowns,” where the risk or 

potential problem is known but may or may not occur.
The Department of the Treasury 25 Office of Gulf Coast Restoration

Contingencies must align with the cost principles and other requirements in the 

Uniform Guidance, be considered necessary and reasonable to accomplish project or 

program objectives successfully, and be verifiable from the entity’s records. The 

Uniform Guidance at 2 CFR § 200.433(b) further specifies contingency “amounts 

must be estimated using broadly-accepted cost estimating methodologies, specified in 

the budget documentation of the Federal award, and accepted by the Federal awarding 

agency.” See FAQ #48b for Treasury’s definition of “broadly-accepted cost estimating 

methodologies.”

Q48a. Does Treasury allow contingencies in a proposed construction budget to 

accommodate the anticipated increases in construction costs due to cost 

escalation, inflationary pressures, or for other reasons?

A. Effective 12/14/2023, Treasury will allow the inclusion of contingency costs in the 

budget for construction projects only provided that such costs comport with the 

requirements of 2 CFR § 200.433 and these FAQs. Allowable possible events or 

conditions for contingencies will largely depend on the nature of the project.

Contingencies are optional and should be specified in the initial budget 

documentation. The contingency request should be included in SF-424C, where the 

contingency line item (#13) cannot exceed 10% of the total project cost (#16). In 

addition, the recipient must provide sufficient justification based on broadlyaccepted cost estimating methodologies for requested contingencies on the Direct 

Component Application Narrative for approval. The following items must be 

specified in line 18 of the Budget Justification: a list of probable events or 

conditions (e.g., cost overruns at bid opening, price of materials or interest rate 

increases, design errors, weather delays, the presence of hazardous materials, 

archaeological remains, underground utilities, or difficult soil or hydrologic 

conditions not known at the time the construction estimate was made), the 

probability of each event occurring, and the estimated cost impact of each event or 

condition. See FAQ #48b for Treasury’s definition of “broadly-accepted cost 

estimating methodologies” and an example.

It is explicit in 2 CFR 200.433(a) that it is not permissible to have contingency costs 

for major project scope changes for a project. As such, additional contingency costs 

may not be included in monetary amendments to existing grants if contingency 

costs were included and approved in the initial budget. See FAQ #48c for how 

contingency costs can be added if not included in and/or approved in the initial 

budget. 

Treasury retains the discretion to make the final determination concerning the 

allowability and approval of contingency costs based on the documentation 

provided to substantiate the proposed contingency costs. If the contingencies exceed 

10% or are not approved by OGCR, OGCR encourages entities to explore the use of 

third-party funding as cost-share match, including local or other federal funds, such 

as award funds from the State and Local Fiscal Recovery Funds program. The cost-
The Department of the Treasury 26 Office of Gulf Coast Restoration

share match must be documented in line (g) of the SF 424A form and follow 

OGCR’s cost-share match procedures. Please refer to FAQs #17 and #104 for 

guidance on adding third-party funds post-award to a Direct Component- funded 

project.

Q48b. How does Treasury define the term, “broadly-accepted cost estimating 

methodologies” and how are they used to determine contingency costs?

A. Treasury defines the term “broadly-accepted cost estimating methodologies” for 

budgeting contingency costs as documentation that:

1) Itemizes the various risks for which a contingency is budgeted (e.g., “cost 

overruns due to inflation,” “unmarked utility lines”); 

2) Provides an estimated probability of each respective event occurring that is based 

on past experience or publicly available data (e.g., for a cost overrun, an analysis 

showing the percentage of past bids that came in over the amount specified in the 

Requests for Proposal (RFP)); and, 

3) Provides the likely cost impact if the event does in fact occur, with the estimated 

likely cost impact based on detailed market research or historical trends (e.g., an 

analysis of the average percentage bids were over the opinion of probable costs 

for the recipient’s past projects, or a reference to an industry publication 

forecasting the increase in construction costs over the next year). 

The analysis and assumptions underlying the estimates must be documented and 

provided in the Budget Narrative. 

A contingency is equal to the sum of the estimated cost times its probability. 

As an example, let’s say a recipient is applying for a Direct Component grant to fund 

a construction project to build a training academy. The total estimated construction 

project cost (line #16 on the SF-424C form) is $6,500,000. Therefore, the total 

amount of contingencies requested cannot exceed $650,000 (10% of the line #16 on 

the SF-424C form). The project’s milestone chart indicates that 12 months will pass 

from the time of the award to the RFP opening. The engineer uses historical data to 

determine that the entity’s construction costs rose 9% in the prior year for a similar 

building and assessed that for 80% of past projects, the bids came in over the 

probable opinion of cost. Therefore, the probability of a cost overrun due to inflation 

occurring is 80 percent, and the likely impact if it does occur is 9% of $6,500,000. 

The contingency should therefore be shown as follows:

Risk Probability Impact if it Does 

Occur

Contingency

Cost overrun due to 

inflation

80% 585,000 ($6,500,000 

multiplied by 9%)

$468,000

As supporting documentation for this contingency cost example, the entity would 

provide a spreadsheet showing the historical data supporting the estimate of 80% 
The Department of the Treasury 27 Office of Gulf Coast Restoration

probability and 9% historical inflation. Alternatively, the entity could provide 

citations to industry or other publications supporting these estimates.

Q48c. If contingency costs were not included and/or approved in the initial 

budget, can contingencies be added?

A. Generally, contingency costs should be included in the initial budget. However, a 

recipient may submit a monetary amendment to add contingency costs to the budget 

post-award by following the normal amendment process. Treasury retains the 

discretion to make the final determination concerning the allowability and approval 

of contingency costs based on the documentation provided to substantiate the 

proposed contingency costs. See FAQs #48 and #48a for the requirements for 

contingency costs per 2 CFR § 200.433 and Treasury’s Guidance and FAQ #48b for 

the type of documentation required for contingency costs approval.

Q48d. If contingency costs are approved, under what circumstances and when can 

the recipient access contingency funds?

A. The recipient can only draw down contingency funds from ASAP.gov when the 

specific event or condition for which there is a contingency has occurred. In such 

cases, the recipient must request prior approval from OGCR via RMGS to raise the 

maximum draw limit by the amount of the contingency, and OGCR has to approve 

this request before the recipient may draw down the contingency funds.

If the event or condition for which there is a contingency does not occur, the 

contingency amount associated with the event or condition will remain in ASAP.gov 

and will be de-obligated from the Direct Component grant at closeout.

Q49. What is Treasury’s expectation regarding the level of detail required for the 

proposed budget of new awards and monetary amendments to existing awards for 

construction projects?

A. Effective 09/28/2023, Treasury will no longer process applications for new awards or 

monetary amendments to existing awards for construction projects without a detailed 

construction budget. The only exception to this requirement is when the application is 

for a new award that includes the planning, engineering, and design phase of the 

construction project, which will produce a detailed construction cost estimate. 

However, in cases where the award is for a phased construction project, Treasury will 

not consider any monetary amendment to such awards to add funds for the 

construction phase until sufficient planning, engineering, and design has occurred such 

that the applicant is able to provide a detailed construction budget.

The detailed construction budget should be the detailed construction cost estimate 

provided as the final deliverable from the design and engineering phase or, when the 

monetary amendment is requested as a result of a cost overrun during the bid process, 

a copy of the winning bidder’s cost proposal. Acceptable documentation may also 

include an opinion of probable cost prepared by an engineer if the level of detail is 

such that it provides a description of each item, the quantity required, and the unit 
The Department of the Treasury 28 Office of Gulf Coast Restoration

price, as well as a detailed breakdown of labor costs. Treasury will consider equivalent 

documentation at its discretion. An example of a construction budget that Treasury 

found sufficiently detailed can be found here.

This change will ensure that the detailed construction costs budget estimates included 

in the application for new awards and monetary amendments to existing awards for 

construction projects reflect the decisions made during the engineering and design 

phase. This will also reduce the need for monetary amendments due to inaccurate or 

incomplete cost estimates.

CONSTRUCTION AND LAND ACQUISITION

Q50. What is the recipient’s responsibility when real property is improved using 

Treasury’s RESTORE Act grant funds?

A. The recipient is responsible for the administration, operation, and maintenance of the 

real property during its designated Estimated Useful Life. The recipient must use it for 

the authorized project purposes, during which time the recipient must not dispose of or 

encumber its title or other interests. Treasury retains an undivided equitable 

reversionary interest (the “federal interest”) in the real property improved, in whole or 

in part, with RESTORE Act Trust Funds for the Estimated Useful Life of the project.

Q51. How is real property defined?

A. “Real Property” is defined in 2 CFR § 200.1 of the Uniform Guidance as “land, 

including land improvements, structures and appurtenances thereto, but excludes 

moveable machinery and equipment.”

Q52. How will the Estimated Useful Life be determined for Treasury-funded 

infrastructure?

A. For all infrastructure funded by a Treasury grant under the RESTORE Act, the 

applicant will propose an Estimated Useful Life for the infrastructure in its grant 

application and document the method by which it determined the Estimated Useful 

Life. One accepted method would be to use the State’s standards for determining 

useful life of capital assets. Treasury’s issuance of the grant agreement will represent 

Treasury’s concurrence with the applicant’s proposed Estimated Useful Life.

Q53. What is the Estimated Useful Life of land?

A. Land has an unlimited useful life.

Q54. What is “infrastructure” under Treasury’s implementing regulations? 

A. Infrastructure is a subset of real property and is a capital asset. Treasury’s 

implementing regulations at 31 CFR § 34.2 defines infrastructure as “the public 

facilities or systems needed to support commerce and economic development. . . [It] 

encompasses new construction, upgrades and repairs to existing facilities or systems, 
The Department of the Treasury 29 Office of Gulf Coast Restoration

and associated land acquisition and planning.” Such installations and facilities may 

include, but are not limited to:

• highways,

• airports,

• roads,

• buildings, 

• transit systems, 

• port facilities, 

• railways, 

• telecommunications, 

• water and sewer systems, 

• public electric and gas utilities, 

• levees, 

• seawalls, 

• breakwaters, 

• major pumping stations, and 

• flood gates. 

Q55. How must the recipient document a federal interest in real property?

A. To document the federal interest in real property funded by a Direct Component grant, the 

recipient must perfect a Covenant of Purpose, Use, and Ownership (Covenant) by

recording it in the real property records of the jurisdiction where the property is located, in 

accordance with local law. For construction of buildings and projects to improve real 

property, the federal interest must be recorded no later than the date construction and/or 

improvement work commences. When the award involves the acquisition of real property, 

the federal interest must be recorded at the same time of the real property acquisition. 

Treasury may require a copy of a title insurance, title report, or title opinion (by counsel

licensed in the jurisdiction where the property is located) from the recipient demonstrating

the validity, enforceability, and proper recording of the Covenant. Pursuant to the 

Covenant, the recipient must acknowledge that it holds title to the real property in trust for 

the public purposes of the financial assistance award, that real property has been acquired 

or improved with a Federal award, and that federal use and disposition conditions apply to 

the property. All recipients required to execute and record a Covenant or other notice of 

record and must provide Treasury with a copy of the recorded document displaying a 

recording stamp indicating where the document was recorded and the date on which it was 

recorded.

Treasury may approve of an alternative notice of record or waive the requirement to 

document the federal interest. 

Q56. What are the reporting requirements for Treasury-funded real property 

projects?

A. Pursuant to 2 CFR § 200.330 of the Uniform Guidance, the recipient must submit 

reports on the status of the real property annually to Treasury for the first three years 
The Department of the Treasury 30 Office of Gulf Coast Restoration

of its federal award and thereafter every five years until the end of the Estimated 

Useful Life or time of disposition, whichever is less. When real property is no longer 

needed for the originally authorized purpose, the recipient must obtain disposition 

instructions from Treasury, subject to 2 CFR § 200.311(c). For real property other than 

land, once the Estimated Useful Life of the real property has ended, the federal interest 

is extinguished and the federal government has no further interest in the real property. 

Q57. What type of appraisal is required by Treasury?

A. Treasury requires an appraisal that is a written statement independently and impartially 

prepared by a qualified appraiser setting forth an opinion of defined value of an 

adequately described property as of a specific date, supported by the presentation and 

analysis of relevant market information, as described in the Uniform Relocation

Assistance and Real Property Acquisition Policies Act (Uniform Act), 42 USC § 

4601(13), and the implementing regulation, 49 CFR § 24.2(a)(3). 

The Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA), also 

known as the “Yellow Book,” provide appraisal standards for federal land acquisitions 

and best practices for federally-funded land acquisition. The applicant’s appraisal 

should be conducted by a certified appraiser who is familiar with the UASFLA 

standards.

Q58. What is the appraisal review conducted by Treasury?

A. Treasury contracts with a certified appraiser to review appraisals submitted by 

applicants and the appraisal reviews are conducted in accordance with the 

requirements set forth in 49 CFR § 24.104 and UASFLA. Specifically, 49 CFR § 

24.104(a) requires that, “the Agency shall have an appraisal review process and, at a 

minimum: A qualified review appraiser (see § 24.103(d)(1) and appendix A, § 24.104) 

shall examine the presentation and analysis of market information in all appraisals to 

assure that they meet the definition of appraisal found in 49 CFR 24.103 and other 

applicable requirements, including, to the extent appropriate, the UASFLA, and 

support the appraiser’s opinion of value. The level of review analysis depends on the 

complexity of the appraisal problem.”

Q59. What are the willing seller requirements for land acquisition?

A. The RESTORE Act and Treasury’s implementing regulations at 31 CFR § 34.803(f) 

requires that Direct Component funds may only be used for land acquisition from a 

willing seller. As such, applicants that have projects that include land acquisition must 

notify the property owner that the acquisition must be from a willing seller and obtain 

from the property owner a signed statement that identifies the owner as a willing 

seller. The applicant must submit the willing seller documentation to Treasury with its

grant application for a land acquisition project.

PROCUREMENT
The Department of the Treasury 31 Office of Gulf Coast Restoration

Q60. May a contractor who enters into a contract with an eligible Louisiana parish or 

Florida county to prepare a multiyear plan and/or grant application compete for 

subsequent procurements related to that multiyear plan and/or grant 

application?

A. No. Consistent with 2 CFR § 200.319, to help ensure objective contractor performance 

and eliminate unfair competitive advantage, a contractor who prepares the multiyear 

plan and/or grant application, or develops the draft specifications, requirements, 

statements of work, and/or invitation for bids or request for proposals for the project 

grant may not compete for subsequent procurement contracts to implement that 

multiyear plan or project grant.

Q61. What procurement procedures should states, counties, and parishes use?

A. States should follow state procurement procedures and as applicable, the procurement 

standards set forth in 2 CFR § 200.321 through 2 CFR§ 200.323, and 2 CFR § 200.327 

(see 2 CFR § 200.317). Counties and parishes should follow their own procurement 

procedures; however, the procedures followed by counties and parishes must be 

consistent with and conform to the procurement standards set forth in 2 CFR § 

200.318 through 2 CFR § 200.327.

Q62. When is it allowable for an eligible Louisiana parish or Florida county to 

hire/contract without competition?

A. For a non-Federal entity that is not a state, e.g., an eligible Louisiana parish or Florida 

county, all procurement transactions must be conducted in a manner providing full and 

open competition pursuant to 2 CFR § 200.319(a). The OMB’s Uniform 

Administrative Requirements, Cost Principles, and Audit Requirements for Federal 

Awards states at 2 CFR § 200.320(c):

Procurement by noncompetitive proposals may be used when one or more of the 

following circumstances apply:

1) The acquisition of property or services, the aggregate dollar amount of which does 

not exceed the micro-purchase threshold;

2) The item is available only from a single source;

3) The public exigency or emergency for the requirement will not permit a delay 

resulting from competitive solicitation;

4) The Federal awarding agency or pass-through entity expressly authorizes 

noncompetitive proposals in response to a written request from the non-Federal 

entity; or

5) After solicitation of a number of sources, competition is deemed inadequate.

Q63. Are recipients required to comply with regulations regarding conflicts of interest

related to procurement?
The Department of the Treasury 32 Office of Gulf Coast Restoration

A. Yes. No employee, officer, or agent of a recipient may participate in the selection, 

award, or administration of a contract supported by a Federal award if he or she has a 

real or apparent conflict of interest. The recipient must maintain written standards of 

conduct, to include conflict of interest policies, governing the actions of its employees 

who are engaged in the award and administration of a contract. The written standards

must provide for disciplinary actions to be applied for violations of such standards by 

its officers, employees, or agents. See 2 CFR § 200.318(c) for additional information 

on procurement standards.

Q64. When does the applicant need to comply with the Davis-Bacon Act for grants 

awarded by Treasury under the RESTORE Act?

A. Davis-Bacon Act-related provisions apply to grants awarded by Treasury under the 

RESTORE Act in two situations:

• Davis-Bacon Act-related provisions are applicable for a construction project if it is 

for the construction of a project that can be defined as a “treatment works” in 33 

USC 1292; and

• Davis-Bacon Act-related provisions are applicable for a construction project 

regardless of whether it is a “treatment works” project when Direct Component 

award funds are used on a construction project in conjunction with federal 

financial assistance from another federal agency that requires enforcement of 

Davis-Bacon Act-related provisions.

Q65. Where can the applicant go for more information on the Davis-Bacon Act as it 

may apply to the applicant?

A. Please contact your project officer at Treasury. Also, the Department of Labor (DOL) 

oversees the administration of Davis-Bacon Act-related provisions and has extensive 

information on the Davis-Bacon Act and Davis-Bacon Act-related provisions on the 

DOL website.

Q66. What are “treatment works”?

A. Pursuant to 33 USC 1292, the definition of treatment works means:

1) Any devices and systems used in the storage, treatment, recycling, and 

reclamation of municipal sewage or industrial wastes of a liquid nature to 

implement 33 USC 1281 of the Federal Water Pollution Control Act, or necessary 

to recycle or reuse water at the most economical cost over the estimated life of the 

works, including intercepting sewers, outfall sewers, sewage collection systems, 

pumping, power, and other equipment, and their appurtenances; extensions, 

improvements, remodeling, additions, and alterations thereof; elements essential 

to provide a reliable recycled supply such as standby treatment units and clear 

well facilities; and any works, including the acquisition of the land that will be an 

integral part of the treatment process (including land used for the storage of 

treated wastewater in land treatment systems prior to land application) or is used 

for ultimate disposal of residues resulting from such treatment and
The Department of the Treasury 33 Office of Gulf Coast Restoration

2) Any other method or system for preventing, abating, reducing, storing, treating, 

separating, or disposing of municipal waste, including storm water runoff, or 

industrial waste, including waste in combined storm water and sanitary sewer 

systems. 

Examples of “treatment works” projects funded with Direct Component grants include 

but are not limited to:

• wastewater treatment plants and decentralized wastewater 

treatment systems;

• connections of lateral sewer lines from private residences or 

public properties to the public sewer;

• stormwater control systems including stormwater ponds and 

outfalls;

• improvements or upgrades to sewer systems; and

• installation of water reuse systems 

Buy America Requirements – General Questions

Q67. What is the Build America, Buy America Act?

A. On November 15, 2021, President Biden signed into law the Infrastructure Investment 

and Jobs Act (“IIJA”), Pub. L. No. 117-58, which includes the Build America, Buy 

America Act (the Act) that strengthens Made in America Laws and will bolster 

America’s industrial base, protect national security, and support high-paying jobs. 

Unless a waiver covering the project is in effect, the Act requires that no later than

May 14, 2022, Treasury must ensure that grants for infrastructure projects made under 

the RESTORE Act, Direct Component program comply with the Buy America 

Preference requirements set forth in section 70914 of the Act by including it in the 

terms and conditions of each applicable award.

The Act requires the following Buy America Preference requirements: 

(1) All iron and steel used in the project are produced in the United States. This 

means all manufacturing processes, from the initial melting stage through the 

application of coatings, occurred in the United States;

(2) All manufactured products used in the project are produced in the United 

States. This means the manufactured product was manufactured in the United

States, and the cost of the components of the manufactured product that are 

mined, produced, or manufactured in the United States is greater than 55 

percent of the total cost of all components of the manufactured product, unless 

another standard for determining the minimum amount of domestic content of 

the manufactured product has been established under applicable law or 

regulation; and

(3) All construction materials are manufactured in the United States. This means 

that all manufacturing processes for the construction material occurred in the 

United States.
The Department of the Treasury 34 Office of Gulf Coast Restoration

Q68. What is “infrastructure” under the Build America, Buy America Act? 

A. The term “infrastructure” under the Act means public infrastructure projects including 

but not limited to the structures, facilities, and equipment for, in the United States, 

roads, highways, and bridges; public transportation; dams, ports, harbors, and other 

maritime facilities; intercity passenger and freight railroads; freight and intermodal 

facilities; airports; water systems, including drinking water and wastewater systems; 

electrical transmission facilities and systems; utilities; broadband infrastructure; and 

buildings and real property.

Treasury is working with the OMB Made in America Office (MIAO) to identify, 

develop, and publish additional definitions to terms that further describe how Buy 

America Preference requirements apply to the RESTORE Act, Direct Component 

program. This includes identifying and listing RESTORE Act eligible activities that 

include construction but that do not qualify as “infrastructure” as defined by the Act. 

Definitions used in the Buy America Preference award term are available on the

Treasury RESTORE Act - Buy America Preference webpage.

Q69. Does the Buy America Preference requirements set forth in section 70914 of the 

Build America, Buy America Act apply to Treasury’s RESTORE Act grant 

programs?

A. RESTORE Act, Direct Component grants for infrastructure projects as defined by the 

Act are required to comply with the Buy America Preference requirements set forth in 

section 70914 of the Act. The Buy America Preference requirements applies to all new 

Direct Component grants and monetary amendments to existing Direct Component 

grant for an infrastructure project made on or after May 14, 2022 unless a waiver 

covering the project is in effect. The Buy America Preference requirements do not 

apply to grants under the Centers of Excellence Research Grants Program.

Q70. Does the Buy America Preference requirements apply to every Direct 

Component award that includes construction activities?

A. No. Prior to making an award, Treasury will determine whether funds from a 

particular award under the Direct Component program will be used to procure iron, 

steel, manufactured products, or construction materials for an infrastructure project as 

defined in section 70912(5) of the Act and OMB Memorandum M-22-11. If Treasury 

determines that no funds will be used to procure such items for an infrastructure

project, then the Buy America Preference requirements will not apply to that award.

See FAQs #78 and #79 for more specifics regarding the application of the Act to 

Direct Component-funded construction projects and the types of Direct Component 

projects that are not subject to the Buy America Preference requirements.

Q71. Federal financial assistance that are for “pre and post disaster or emergency 

response expenditures” are exempt from the application of Buy America

Preference requirements outlined in section 70914 of the Build America, Buy 
The Department of the Treasury 35 Office of Gulf Coast Restoration

America Act. Does the Direct Component grants qualify for this “post disaster”

exemption?

A. According to the OMB Memorandum M-22-11, “pre and post disaster or emergency 

response expenditures” exempt from the Buy America Preference requirements

“consist of expenditures for financial assistance that are (1) authorized by statutes 

other than the Stafford Act, 42 U.S.C. §§ 5121 et seq., and (2) made in anticipation of 

or response to an event or events that qualify as an “emergency” or “major disaster” 

within the meaning of the Stafford Act, id. § 5122(1), (2).” Direct Component grants

do not qualify for the “post disaster” exemption because the Deepwater Horizon oil 

spill was not a “major disaster” or “emergency” as determined by the President as 

provided in the Stafford Act at 42 USC § 5122(2). 

Q72. Do the Buy America Preference requirements apply to RESTORE Act grants 

which are made from the Gulf Coast Restoration Trust Fund not appropriated 

funds?

A. Yes. As stated in section II of OMB Memorandum M-22-11, the Buy America 

Preference requirements set forth in section 70914 applies to all federal financial 

assistance as defined in 2 CFR 200.1, “whether or not funded through IIJA-where funds 

are appropriated or otherwise made available and used for a project for infrastructure.”

(see also section 70912(4)(A) of the Act).

Q73. Are there resources for the Direct Component grant recipients and subrecipients 

to identify available construction materials that comply with Buy America 

Preference requirements?

A. Resources are in development. The Act directs OMB to issue guidance that will assist 

agencies as they apply the new Buy America Preference requirements. OMB must issue 

standards that define the term “all manufacturing processes” as it relates to construction 

materials. OMB sought input from the public concerning the Act's requirement that any 

infrastructure projects funded with Federal financial assistance use only construction 

materials “produced in the United States.”

OMB has issued a Request for Information that sought input from the public 

concerning the Act's requirement that any infrastructure projects funded with Federal 

financial assistance use only construction materials “produced in the United States.”

Treasury will include links on the RESTORE Act Buy America webpage to any 

resources that are developed and published as a result of this request.

Q74. Where can I find more information about Buy America Preference

requirements?

A. OMB has established the Made in America Office, which has provided more 

information about Buy America Preference requirements and waivers. This includes a 

presentation developed by OMB that guides the reader through the OMB Buy 

America Preference implementation guidance.
The Department of the Treasury 36 Office of Gulf Coast Restoration

WHAT TRIGGERS BUY AMERICA PREFERENCE REQUIREMENTS

Q75. Would all funds proposed in the budget of a new Direct Component award for 

an infrastructure project, including third-party funds, be required to comply 

with the Buy America Preference requirements described in the Act?

A. Yes. The Buy America Preference requirements apply to all iron, steel, manufactured 

products, and construction materials purchased for the infrastructure project, even if it 

is funded by both Federal and non-Federal funds under one or more awards.

Q76. Would the Buy America Preference requirements apply to an existing Direct 

Component award for infrastructure made before May 14, 2022, if the recipient 

requires additional third-party funds to cover actual construction costs that are 

higher than those estimated at the time of award?

A. No. The Buy America Preference requirements are only applicable if the recipient 

requests and is approved for a monetary amendment to its existing Direct Component 

award for an infrastructure project after May 14, 2022 and there is no waiver in effect 

for that project, or if the recipient supplements the infrastructure project with funding 

from another federal financial assistance award that is subject to the Buy America 

Preference requirements set forth in section 70914 of the Act or other domestic

procurement preference requirements. 

Q77. Would the Buy America Preference requirements apply to a monetary 

amendment to an existing Direct Component grant for an infrastructure project

made after May 14, 2022 if the additional funds will be used to cover increased 

costs due to cost escalation and inflationary pressures for executed contracts and 

budgets for purchase of covered materials agreed upon prior to May 14, 2022?

A. The Buy America Preference requirements will not apply to a monetary amendment to 

an existing Direct Component grant for an infrastructure project made after May 14, 

2022, if a waiver is in effect at the time that Treasury obligates funds for the monetary 

amendment, or the additional requested Direct Component funds is not for the 

procurement of iron, steel, manufactured products, or construction materials for use on 

the infrastructure project. However, the Buy America Preference requirements will 

apply to the monetary amendment to an existing Direct Component grant for an 

infrastructure project if it is made after May 14, 2022 and there is no waiver in effect 

that covers the project, and the additional funds the recipient seeks are for the 

procurement of iron, steel, manufactured products, or construction materials for use on 

the infrastructure project.

Q78. Would the Buy America Preference requirements apply to Direct Component 

grants for non-infrastructure activities (e.g., architectural design costs and 

administrative costs)?
The Department of the Treasury 37 Office of Gulf Coast Restoration

A. No. Buy America Preference requirements does not apply to non-infrastructure 

spending under an award that also includes an infrastructure project. The Buy 

America Preference is only applicable if the recipient is requesting Direct Component 

funds under a new award or an amendment to an existing award to purchase iron, 

steel, manufactured products, or construction materials for use on an infrastructure 

project.

Q79. Does the Buy America Preference requirements apply to all Direct Component 

grants for construction or real property improvements?

A. No. The Buy America Preference requirements only apply to Direct Component 

grants for infrastructure projects as defined in section 70912(5) of the Build America, 

Buy America Act and the Office of Management and Budget (OMB) memorandum, 

M-22-11 issued on April 18, 2022. Treasury will determine on a case-by-case basis 

whether the Buy America Preference requirements apply to construction or real 

property improvement projects that do not squarely fall within the definition of 

infrastructure as set forth in the Build America, Buy America Act and OMB memo 

M-22-11.

Q80. Which types of Direct Component construction projects are not considered 

infrastructure as defined by the Build America, Buy America Act?

Treasury has determined that construction projects whose primary purpose is to protect 

or restore the environment and/or recover natural ecosystem functions are not 

infrastructure as defined by the Act. Such projects are not subject to the Buy America 

Preference requirements outlined in the Act.

Examples of Direct Component restoration construction projects that Treasury would 

not generally consider to constitute infrastructure would include:

• Marsh restoration and creation;

• Dune restoration;

• Greenway trails;

• Blueway trails;

• Coral reef outplanting and nurseries; and

• Oyster reef restoration

Q81. Does the Buy America Preference requirements apply to Direct Component 

awards for infrastructure projects awarded prior to May 14, 2022?

A. No. The Buy America Preference requirements do not apply retroactively to Direct 

Component awards made prior to May 14, 2022. If in the future the costs of the 

project increase, requiring a change order to the contract, and a monetary amendment 

to an existing grant is warranted to purchase iron, steel, manufactured products, or 

construction materials for use on an infrastructure project, then the Buy America 

Preference requirements will apply to the award. See response to FAQs #75 and #76
The Department of the Treasury 38 Office of Gulf Coast Restoration

for more detail about when the Buy America Preference applies to amendments to 

existing Direct Component grants. 

WAIVERS FROM BUY AMERICA PREFERENCE REQUIREMENTS

Q82. Are there any general applicability waivers from application of the Buy America

Preference requirements in effect for the RESTORE Act, Direct Component 

awards?

A. Treasury has a general applicability public interest adjustment period waiver from 

application of the Buy America Preference requirements in order to provide Treasury

and the Direct Component recipients with a six-month adjustment period to develop 

policies and procedures for implementing the requirements. The waiver was finalized

on July 13, 2022 and is effective from July 13, 2022 to January 12, 2023. The waiver 

is posted on the RESTORE Act Buy America Preference webpage.

Q83. What other general applicability waiver(s), if any, will Treasury propose?

A. Treasury has identified the need to request from OMB several additional general 

applicability waivers that Treasury proposes are in the public interest. These include, 

but are not limited to, a De Minimis waiver (project purchases below a de minimis 

threshold such as 5% of project costs up to some maximum); a Small Grants waiver 

(for projects below the simplified acquisition threshold, or other Agency-defined 

limit); a Minor Components waiver (for miscellaneous minor components comprising 

no more than some minimum of the material total cost); and a Pipeline waiver (for 

projects that are through a design phase and in the implementation pipeline prior to 

enactment of the Act). Treasury will use the six-month adjustment period to develop 

and finalize additional waivers, publish them for public comments, and approve them.

Treasury has stood up a Working Group with Direct Component grant recipients that, 

among other activities, will work to identify, scope, and develop general applicability 

waivers. If you are interested in joining the Working Group, please contact the OGCR 

Policy Analyst, Bridget Cotti-Rausch (bridget.cotti-rausch@treasury.gov) for more 

information. 

Q84. Will there be opportunities to expedite a waiver request in situations where 

delay would be injurious to the project?

A. In limited situations where there is an urgent need in an unforeseen and exigent 

circumstance, Treasury has the authority to waive the application of Buy America 

preference requirements without submitting the waiver for public comment and to 

OMB for their review and determination. Treasury will evaluate these requests on a 

case-by-case basis.

It is the intent of Treasury to implement the Buy America Preference requirements in 

such a way that increases domestic production but keeps projects moving. Treasury 
The Department of the Treasury 39 Office of Gulf Coast Restoration

will consider, in a timely manner, a recipient’s request for nonavailability waivers 

should the market research indicate that there is insufficient supply of a necessary 

material or if the timing of production is insufficient to satisfy the requirements of the 

project and meet project timelines. Treasury encourages RESTORE Act, Direct 

Component recipients to coordinate early with their subrecipients and contractors so 

that there is sufficient time to perform thorough market research to identify potential 

qualifying alternate items, products, or materials.

ADMINISTRATIVE COSTS

Q85. Is there a limitation on administrative costs under Direct Component awards?

A. Yes. A recipient may not use more than three percent of the grant funds received for 

administrative costs. Administrative costs are defined at 31 CFR § 34.2 as “indirect 

costs for administration incurred by the Gulf Coast states, coastal political 

subdivisions, and coastal zone parishes that are allocable to activities authorized under 

the Act. Administrative costs do not include indirect costs that are identified 

specifically with, or readily assignable to, facilities as defined in 2 CFR § 200.414.”

Costs borne by subrecipients and contractors do not count toward the three percent 

cap.

Q86. May a recipient with an open grant in which indirect costs were capped under 

the grant-by-grant method submit a grant amendment to add funds or revise the 

budget to increase the amount it receives for indirect costs for that grant under 

the aggregate method for calculating administrative costs?

A. Yes. A recipient of an open grant may submit a request to amend the grant to add 

funds or revise the budget to increase the amount for indirect costs for the project, not 

to exceed its approved indirect rate, provided it has sufficient funds in its 

administrative cost pool.

Q87. How will a recipient know how much money is available in its administrative 

cost pool to pay for otherwise eligible indirect costs for its grants?

A. Treasury will periodically post to the RESTORE Act website the amount of funds each 

recipient has in its Direct Component administrative cost pool, in a manner similar to 

how Treasury posts periodic updates to the Trust Fund allocation tables on the 

RESTORE Act website.

Q88. If a recipient does not expend all of its budgeted indirect costs by the time a 

grant is closed out, are the unused funds for indirect costs returned to the 

administrative cost pool?

A. Yes. Unused funds allocated for indirect costs for a project will be returned to a 

recipient’s administrative cost pool when the grant is closed out. The process is similar 

to the deobligation of unused project funds and return to a recipient’s Trust Fund 

allocation following the closeout of an award.
The Department of the Treasury 40 Office of Gulf Coast Restoration

Q89. May a recipient receive more funds for indirect costs for a grant than the 

amount they would receive under its Negotiated Indirect Cost Rate or de 

minimis rate if its administrative cost pool holds sufficient funds available to 

support such a request?

A. No. A recipient may not receive more funds for indirect costs in a grant than is 

allowed based on its Negotiated Indirect Cost Rate or de minimis rate for that grant, 

regardless of how much funding is available in its administrative cost pool.

Q90. If a recipient lacks sufficient funds in its Direct Component administrative cost 

pool to cover the full amount of indirect costs on a grant, may it make up the 

shortfall by using funds available in its Spill Impact Component administrative 

cost pool?

A. No. Administrative cost pools are established by component and remain discrete. A 

shortfall in the administrative cost pool for one component may not be offset by using 

funds available in the administrative cost pool of another component.

Q91. May a recipient choose to use less than the full amount of funding available in its 

administrative cost pool to pay for indirect costs on a grant?

A. Yes. A recipient is free to limit its recovery of indirect costs on any grant. A recipient

has the discretion to use or not use any of the funds in the administrative cost pool for 

a grant, or to use only a portion of the total amount to which it is entitled to pay for a 

project’s indirect costs under a grant. A recipient may decide to limit its use of funds 

in its administrative cost pool on one grant in order to make sure the administrative 

cost pool has sufficient funds to cover its indirect costs on another grant. A recipient 

may never spend more than it has available in its administrative cost pool for indirect 

costs, but it is free to spend less for indirect costs than the amount available in its 

administrative cost pool.

Q92. If a recipient lacks sufficient funds in its administrative cost pool at the time of 

application and award of a grant, may it later amend the grant to use funds 

subsequently deposited into the Trust Fund and available in its administrative 

cost pool?

A. Yes. See the answers to questions in FAQs #85 and #86 above.

Q93. May a recipient request reimbursement for indirect costs previously capped at 

3% of a total award under the grant-by-grant method for a grant that has been 

closed?

A. In limited circumstances, a recipient may request that Treasury reopen a closed grant 

to be reimbursed for indirect costs that were capped at 3% under the grant-by-grant 

method. Additionally, if a recipient is unable to recover the full amount of a grant’s 

indirect costs due to insufficient funds in its administrative cost pool at the time the 

award is closed, a recipient may ask Treasury to reopen the award and seek full
The Department of the Treasury 41 Office of Gulf Coast Restoration

indirect cost recovery if and when its administrative cost pool holds sufficient funds. 

To minimize the burdensome process of opening closed grants, Treasury strongly 

encourages recipients to inform Treasury prior to closeout if they plan to later seek 

reimbursement of indirect costs for an award under the aggregate method once 

sufficient funds become available in their administrative cost pool.

Q94. How does a recipient request to use the aggregate method for calculating 

administrative indirect costs?

A. A recipient may request the use of the aggregate method for calculating administrative 

indirect costs by providing the following information with a new award application, 

amendment request, or closeout:

1. A written request to use the aggregate method for calculating administrative 

indirect costs and the dollar amount requested; and,

2. A table of administrative costs requested to date and the available funds in the 

recipient’s administrative indirect cost pool. (NOTE: We recommend using the 

worksheet from the Aggregate Method Administrative Cost Tool).

OTHER APPLICATION PROVISIONS

Q95. What must an applicant do if it does not have a negotiated indirect cost (IDC) 

rate?

A. The answer to this question differs depending on the applicant. A cognizant agency for 

negotiating IDC rates is determined by the Federal agency that provides a recipient 

with the majority of its federal funding. If they do not have a current IDC rate, some 

applicants must negotiate one with their cognizant agency. Some applicants may not 

need to negotiate an IDC with their cognizant agency. If an applicant has never 

negotiated an IDC rate with the Federal government and receives $35 million or less in 

direct federal funding per year, it may be eligible to use 10% of the project’s modified 

total direct costs as its eligible IDC rate in lieu of negotiating an IDC rate with its 

cognizant agency. However, if it does so, it must keep the documentation of this 

decision on file (see 2 CFR § 200.414(f)), and must contact its cognizant federal 

agency to determine if that agency will require the applicant to submit its IDC 

documentation for review. Treasury staff is available to discuss applicants’ specific 

indirect cost rate questions on a case-by-case basis.

Q96. Is there a cost sharing or matching requirement for Direct Component grant?

A. No. There is no cost sharing or matching requirement for Direct Component grant.

Q97. What does Treasury require if an applicant wants to use Direct Component 

funds as the non-Federal cost-share of another Federal award?

A. Treasury’s implementing regulations at 31 CFR § 34.200(b) allow eligible applicants 

to use funds under the Direct Component to satisfy the non-Federal cost-share of an 
The Department of the Treasury 42 Office of Gulf Coast Restoration

activity that is eligible for funding under 31 CFR§ 34.201 and authorized by Federal 

law. Applicants seeking to use Direct Component funding to cover their non-Federal 

cost-share of another federally funded project or program which is a Direct 

Component eligible activity must include the following in its application to Treasury: 

1. If the other Federal agency already has approved the activity, the applicant 

must submit a copy of the grant agreement or other approval documents as part 

of its Direct Component application;

2. If the other Federal agency has not approved the activity, the applicant must 

submit a letter of commitment from that agency or other documentation that 

indicates that the applicant will receive funding, along with the project 

description/scope of work, and performance metrics as part of its Direct 

Component application; and

3. If the other Federal agency has not approved the activity, the applicant must 

submit a narrative describing the activity’s status and the approximate timeline 

for the Federal agency to approve or decline the activity as part of its Direct 

Component application. 

Treasury will not award funds for the non-Federal cost-share until the other Federal 

agency has approved the activity and Treasury received documentation of the 

approval. 

Q98. The RESTORE Act Direct Component Financial Assistance Application 

requires applicants to identify key personnel. Who are key personnel?

A. Key personnel should include the applicant organization director who is authorized to 

sign the grant application and award, the technical person who is responsible for the 

project, and the financial person who is responsible for the award’s accounting and 

financial records. The RESTORE Act Standard Terms and Conditions require 

recipients to notify Treasury if there are any changes in identified key personnel.

PROGRAM INCOME

Q99. How would a recipient (or subrecipient) quantify and report program income if 

the facility being improved with RESTORE Act grant funds is operating at a 

loss during the award period of performance?

A. Treasury authorizes RESTORE Act award recipients to calculate net income in 

accordance with 2 CFR § 200.307(b) which provides “costs incidental to the 

generation of program income may be deducted from gross income to determine 

program income, provided these costs have not been charged to the Federal award.”

Q100. If a recipient is using RESTORE Act grant funds to make improvements to 

only a portion of an existing facility, would revenue generated by other portions of 

the facility be considered program income?

A. Program income is defined in 2 CFR § 200.1 as “gross income earned by the nonFederal entity that is directly generated by a supported activity or earned as a result of 
The Department of the Treasury 43 Office of Gulf Coast Restoration

the Federal award during the period of performance;” therefore, the income generated 

by an existing portion of the facility is not considered program income, so long as no 

improvements to the amenities of the existing portion are being paid for by Direct 

Component funds. Any income generated during the Federal award period of 

performance from the use of any new or improved facility features or amenities that 

are purchased with Direct Component funds would be considered program income.

For example, a state park is spending Direct Component grant funds to improve and 

create additional campsites for recreational vehicles. During the award period of 

performance, the existing campsites are continuing to generate income for the park. 

The income generated by existing campsites is not considered program income 

because no improvements to the amenities of the existing campsites are being paid for 

by Direct Component funds. Any income generated during the award period of 

performance from the use of the new campsites for recreational vehicles that are paid 

for with Direct Component funds, is program income. 

All program income determinations are project scope-specific and should be 

determined prior to award or at the earliest point possible post-award. Consult with 

your OGCR project officer about whether a proposed improvement directly generates 

income as a result of the Federal award.

POST-AWARD 

Q101. How should funds be drawn down if there is a non-federal match on the award?

A. Federal and non-federal funds should be drawn proportional to the percentage of 

federal to non-federal funds in the award for all allowable and allocable incurred costs, 

unless otherwise specified in the award document. Treasury may include a Special 

Award Condition in the Notice of Award specifying the percentage of Direct 

Component federal funds and non-federal funds.

Q102. How should a recipient account for the non-federal share on a Federal Financial 

Report (FFR)?

A. The recipient must account for all costs in the award, which includes costs associated 

with both the federal and non-federal share, and provide the information on the 

semiannual FFR, SF 425 under Recipient Share, rows 10 i-k.

Q103. Is prior approval by Treasury required for a subrecipient budget revision?

A. Prior approval from Treasury is only required when the subrecipient’s budget revision 

requires a change to the recipient’s federal award. Otherwise, the recipient is 

responsible for addressing its subrecipient’s budget revisions. Recipients should notify 

Treasury of its subrecipients’ budget revisions in their semiannual performance and 

financial reports. 
The Department of the Treasury 44 Office of Gulf Coast Restoration

Q104. Is a monetary amendment required prior to a recipient adding third-party funds 

to a Direct Component project to cover increased costs due to inflationary 

pressures and cost escalation?

A. No. A monetary amendment is only required when a recipient is seeking additional 

Direct Component funds for an existing Direct Component grant or when the addition 

of third-party funds will also result in a new activity or a change to the scope or size of 

the project under an existing Direct Component grant. When the recipient is only 

adding third-party funds to supplement the increased costs on its existing Direct 

Component project due to inflationary pressures and cost escalation in materials and 

services the recipient would need to notify Treasury in writing at the time that it is 

determined that third-party funds will be used to cover the increased costs and provide 

evidence sufficient to Treasury that the third-party funds are immediately available for 

use on the project (see the proof of other funds guidance below). Once Treasury is 

satisfied and accepts the information provided, then the recipient may proceed with 

using the third-party funds. 

The final grant budget can be updated to reflect the third-party funds if the grant is later 

amended or at closeout when the grant budget should be adjusted to reflect the 

additional third-party funds. Treasury will accept the following documentation as proof 

of available other funds:

o Bonds: When an applicant wishes to use bond funds as part of its budget on a 

project using Direct Component funds, it must show that it has the legal 

capacity and authority to issue bonds sufficient to cover the total cost of the 

project less the federal funds of the Direct Component grant. A statement 

from the applicant’s attorney or bond attorney certifying to the applicant’s 

capacity and authority will suffice as documentation.

o Grants/loans: When an applicant wishes to use a grant or loan from a third 

party as part of its budget on a project using Direct Component funds, it must 

provide a letter of commitment or similar confirmation, signed by an 

authorizing official, that it will receive a grant or loan from a third party 

sufficient to cover the total cost of the project less the federal funds of the 

Direct Component grant.

o Local funds (cash): When an applicant wishes to use cash as part of its budget 

on a project using Direct Component funds, it must submit as part of its 

application an assurance signed by its Chief Executive Officer, attorney, or 

authorizing official certifying that the local funds will be available for the 

project, have been budgeted expressly for the project, and will not be used for 

any purpose other than the project.

COMPLIANCE
The Department of the Treasury 45 Office of Gulf Coast Restoration

Q105. If an eligible applicant identifies issues as part of its operational self-assessment 

(OSA), how should the applicant address them prior to receiving a grant award?

A. If an eligible applicant identifies issues, the applicant should document them in its 

OSA and take measures to meet the requirements outlined in 2 CFR § 200.303 

(Internal controls) of the OMB’s Uniform Administrative Requirements, Cost 

Principles, and Audit Requirements for Federal Awards. This section states that “[t]he 

non-Federal entity must: (a) Establish and maintain effective internal control over the 

Federal award that provides reasonable assurance that the non-Federal entity is 

managing the Federal award in compliance with Federal statutes, regulations, and the 

terms and conditions of the Federal award. These internal controls should be in 

compliance with guidance in ‘Standards for Internal Control in the Federal 

Government’ issued by the Comptroller General of the United States and the ‘Internal 

Control Integrated Framework’, issued by the Committee of Sponsoring Organizations 

of the Treadway Commission (COSO).”

Q106. How should eligible applicants monitor their own performance and compliance

and that of their subrecipients?

A. Eligible applicants must monitor their own performance and compliance to adequately 

report their performance to Treasury. Pass-through entities must manage and monitor

their subrecipients in accordance with 31 CFR §§ 200.331 through 200.333, and:

• Ensure that subrecipient agreements have all the information required by 2 

CFR §200.332 and all terms and conditions of the grant award 

• Evaluate and document the risk of each subrecipient 

• Confirm that the subrecipient is not suspended or debarred 

• Create written monitoring procedures 

• Document compliance (periodic reporting, reports of findings, corrective 

action plans and follow-up)

• Review subrecipient Single Audit reports and take necessary action

SPECIAL LOUISIANA PARISH PROVISIONS

Q107. Are the Louisiana Parish Allocations specified in the Trust Fund Allocation 

Tables effective?

A. Yes, the Louisiana Parish Allocations specified in the Trust Fund Allocation Tables

became effective October 14, 2014, when Treasury published an interim final rule 

specifying allocations for each Louisiana parish. The final rule reiterates the 

previously specified allocation percentages, which became final on the effective date 

of the final rule, February 12, 2016. They are based on a weighted formula in the 

RESTORE Act and data from the United States Census Bureau and the United States 

Coast Guard. See 79 Federal Register 44325.
The Department of the Treasury 46 Office of Gulf Coast Restoration

Q108. Must a Louisiana parish certify to the Governor that the parish has a 

comprehensive land use plan before submitting a Direct Component application 

to Treasury?

A. Yes. In order to have a complete Direct Component application, a Louisiana parish 

must include with the application its certification to the Governor that the parish has a 

comprehensive land use plan. If the parish chooses to submit a planning assistance 

grant application for the preparation of a multiyear plan, the parish must include the 

certification as part of its planning assistance grant application.

Q109. May a Louisiana parish prepare a multiyear plan without a comprehensive land 

use plan certification?

A. Yes. A Louisiana parish may begin work on a multiyear plan prior to certifying to the 

Governor that the parish has a comprehensive land use plan. However, Direct 

Component planning assistance funds are not available for the preparation of a 

multiyear plan until after the parish includes with the application a certification to the 

Governor that the parish has a comprehensive land use plan.

RESTORE GRANTS MANAGEMENT SYSTEM (RGMS)

Q110. How may an eligible entity under Treasury’s RESTORE Act grant programs 

obtain access to Treasury’s RESTORE Grants Management System (RGMS) for 

its employees and contract staff?

A. RGMS was set up to allow eligible entities to manage their own user accounts. Any 

RGMS user assigned to the Project Investigator/Project Director (PI/PD) role may add 

or remove users with the following roles: Authorized Official (AO), PI/PD, Program 

Support Staff, Financial Officer, and Financial Support Staff. Please see the RGMS 

User Guide for a complete description of the permissions for each of these roles. 

Additionally, the PI/PD may change user roles for existing system users. For example, 

the PI/PD may change the role of their entity’s user in RGMS from Financial Support 

Staff to Financial Officer.

If an eligible entity’s designated PI/PD is unable to discharge his or her duties 

regarding managing user access to the entity’s account on RGMS, either because that 

individual is no longer employed by the entity, has been reassigned to another role, or 

is on extended leave, the entity must designate another employee as the PI/PD in 

RGMS. In order to do so, the entity’s AO (which must be the same individual as the 

individual with an active AO user account in RGMS) must email 

RGMShelpdesk@treasury.gov with this request and copy the OGCR Awards Program 

Analyst assigned to the entity. This request must be on the entity’s letterhead, be 

signed by the AO designated in RGMS, and include the full name, title, direct work 

phone number, and work email address of the employee for whom the AO is 

requesting a PI/PD user role in RGMS.
The Department of the Treasury 47 Office of Gulf Coast Restoration

If an eligible entity’s designated AO is unable to discharge his or her duties regarding 

managing user access to the entity’s account on RGMS, either because that individual 

was not re-elected, is no longer employed by the entity, has been reassigned to another 

role, or is on extended leave, the entity must designate another employee as the AO in 

RGMS. In order to do so, the entity’s most senior official (i.e., the most senior elected 

official if the entity is a parish or county, such as the parish president, or if the entity is 

a state, the executive director of the state agency delegated to administer the Direct 

Component and/or Centers of Excellence Research Grants Program grant(s) on behalf 

of the state entity) must email RGMShelpdesk@treasury.gov with this request and 

copy the OGCR Awards Program Analyst assigned to the entity. This request must be 

on the entity’s letterhead, be signed by the entity’s most senior official, and include the 

full name, title, direct work phone number, and work email address of the employee 

for whom the entity’s most senior official is requesting an AO user role in RGMS.

Please note that while contractors may serve in the Program Support Staff or Financial 

Support Staff, or Financial Officer roles, under no circumstances shall they be 

permitted to have PI/PD, AO, or FO roles in RGMS.