LDRD projects may utilize existing equipment or facilities of the laboratory, and they may acquire or fabricate additional equipment. However, if the scope of the project is to fabricate new innovative equipment, both the operational effort of personnel and purchase of items must be completely covered in the LDRD project budget. LDRD budgets must be able to achieve a self-contained scientific purpose and scope. Thus LDRD projects cannot be proposed solely for the purchase of equipment, since this equipment must be operated to achieve some purpose. However, the preliminary design or prototype fabrication of new equipment may be proposed to extend or develop some new technique, process, capability, etc.
Funds allocated for capital equipment are to be obligated in the same fiscal year.
For approved projects, divisions must retain notes or documentation of cost estimates provided in the proposed budgets, following budgetary guidance issued by the Chief Financial Officer. These notes should include the estimates of staffing levels and notes of vendor quotes or catalog references. Notes for funded projects should be held in division files for potential cost validations to be performed by the Department of Energy or other auditors. During proposal preparation, Principal Investigators should retain notes in anticipation of these cost validation requirements. Please consult with division staff or the Budget Office for specific details of your division's burden rate and indirect charges.