INSTRUCTIONS FOR COMPLETING
FAS PVO LRP BUDGET

DISCLAIMER: Notwithstanding the provision of a line item description within the form provided, USDA/CCC reserves the right to disapprove any costs it deems inappropriate or reclassify costs according to its cost definitions.

OVERVIEW: This budget format is prepared in Excel. It can be imported into most major spreadsheet software. It is constructed so that FAS can more efficiently and objectively evaluate PVO costs.

PREPARING THE BUDGET REQUEST:

 -- Please note that parts of the budget spreadsheet are intentionally protected.  Do NOT attempt to add, delete, or modify the protected cells; please contact your Program Analyst contact if the budget format does not fit your needs. The cells that require the entry of a dollar amount need to be actual dollar values as opposed to formulas.  If you need to calculate the dollar amounts with formulas, please do so and then copy and “paste special” the values back in as “values” so that formulas do not appear in the final spreadsheet.  Maintaining the proper format is crucial to FAS’ objective of uploading this data into its database. 

 -- For your convenience, a summary table has been added to the second worksheet in the workbook.  This table allows you to view subtotals and totals that cannot be seen on the actual spreadsheet.  If you need to view other subtotals or make other calculations for your own purposes, feel free to save the file under another file name, manipulate the data as you wish, and then enter the relevant data back into the “protected” spreadsheet (following the instructions below) for submission to USDA.  If a manipulated spreadsheet is submitted, it will be returned.

 -- Before completing the budget spreadsheet, save the file from the web into either a Lotus or Excel workbook. If you do not use Lotus or Excel, most spreadsheet software allows you to SAVE AS one of these formats. Use the following naming convention: 1st three letters of PVO name abbreviation + 1st three letters of country name + last two numbers of fiscal year. For example ARCGEO05 for American Red Cross in Georgia, fiscal year 2005.

 -- Complete only those line items that apply to your program; leave all others blank.

GENERAL BUDGET ITEMS

 1. Working from left to right, first complete the yellow columns titled “QTY”, “#UNITS”, and “$/UNIT”.  Please enter only numbers, with up to two decimal places in these columns. Do not enter formulas.  The column “TOTAL” will be calculated automatically.  These are explained below under step 2.

EXAMPLE #2: A person works full-time as Logistics Manager for your 12-month program. The logistics position pays $3,000 per month. You would enter the following in line 005 [Admin, Salaries, Management Staff, Logistics]: Qty= 1; #Units=12; and $/Unit=$3,000. This represents one person, working twelve months at $3,000 per month.  

EXAMPLE #3: A regional director splits her/his time evenly between three countries for 12 months and earns $4,500/month. Since he or she only spends one third of his or her time in your program country, put .33 in the Qty column, 12 in #Units, and $4,500 in $/Unit.  

2.  For all line items that your Negotiated Indirect Cost Recovery Agreement (NICRA) rate applies to, enter the rate as a percentage in the green "NICRA1" column. For example, if your NICRA is 10%, type in 10. Be sure to type in the NICRA rate for each line item where it applies (usually all line items except purchases or capital improvements costing more than $5,000). Only use the "NICRA2" column if your organization is authorized to charge more than one rate to a particular line item. Please remember to submit appropriate USAID (or other cognizant agency) documentation supporting your declared NICRA rate to the Program Analyst.  If your organization does not have a NICRA rate, you must notify your Program Analyst who will provide instructions on obtaining a USDA-sponsored NICRA.  

3. Finally, you may, if you choose, add your own budget narrative, in the far right orange column entitled "Comments". Please use this area to describe any special circumstances not reflected on the form or simply explain whatever you think needs clarification.  If a particular line item is extraordinarily expensive, this is the place to give the justification for the cost.

ADMINISTRATIVE & ITSH, LINE ITEMS 001-132 

1. Expenses should be itemized in the admin/ITSH section (lines 001-132) if any of the following are true:

1)      Capital purchases – where the Cooperating Sponsor (who signs the USDA agreement) retains title;

2)      Salaries & Other Expenses -- In the first and subsequent years of a program, the Cooperating Sponsor directly pays the salary and/or expense; or

3)      The expense involves management oversight directly by the Cooperating Sponsor that is essential to creating a self-sustaining entity or activity.

2. Any expenses related to issuing a tender for commodity procurement should be entered in line item 78, Procurement Tendering Costs.   

3. For Equipment Purchases of Autos or Motorbikes (lines 104 – 106), please provide information in the comments on whether the purchase(s) will be for autos, motorbikes or both.  If both, please provide the number for each type of transportation to be purchased. 

4. Per the LRP Guidelines, participants are required to hire a professional commodity inspection service to survey and report on the quality of all commodities.  Therefore, all participants that are directly procuring commodities should include budgeted amounts for Commodity Inspection Service and Commodity Testing (line items 128 and 129). 

COMMODITY PROCUREMENT, LINE ITEMS, LINE ITEMS 133-162 

1.  If a participant is directly procuring the commodity for distribution, the cost for each commodity should be entered as a separate line item in lines 133-142 under commodity.  The participant should pick the general commodity type from the drop-down box in column G.  For column H, the participant should enter the specific commodity to be procured.  Commodity amounts should be entered and calculated in metric tons. 

2. If a participant is distributing cash for beneficiaries to individually purchase commodities, the information on the anticipated commodities to be purchased by the beneficiaries should be entered in lines 143-152 under cash transfers.  The participant should pick the general commodity type from the drop-down box in column G.  For column H, the participant should enter the specific commodity to be procured (if known).  Commodity amounts should be entered and calculated in metric tons.

3. If a participant is distributing vouchers for beneficiaries to individually purchase commodities, the information on the different amount of vouchers should be entered in lines 153-162 under food vouchers.  The participant should pick the general commodity type of the voucher from the drop-down box in column G.  For column H, the participant should enter the specific commodity to be procured with the voucher (if known).  Voucher amounts should be entered and calculated in metric tons. 

4. The costs in line items 133-162 for commodity procurement, cash transfers and food vouchers should only include the costs of the food procurement.  These lines items should not include any costs associated with the distribution of the commodities, but should only reflect the cost per metric ton of the purchased commodity. 

OCEAN AND INLAND FREIGHT TRANSPORTATION, LINE ITEMS 163-164 

1. If a participant plans to use ocean freight transportation, any related ocean freight costs should be entered under ocean freight transportation costs.  These costs would be costs usually borne by USDA as part of Food for Progress or McGovern-Dole International Food for Education and Child Nutrition Programs. 

2.  A participant will only have inland transportation costs, if the participant ships commodities by ocean carrier and then must transport a commodity from a port of entry through another country(ies) that is not the recipient country.   

EXAMPLE: If a commodity must be transported to Mali by ocean carrier through the port in Dakar, Senegal, any costs associated with transporting the commodity from Dakar, Senegal to the border of Mali would be inland freight transportation.  Any transport costs within Mali would be recorded under the appropriate ITSH line items.

MONITORING AND EVALUATION, LINE ITEMS 165-168 

All activity expenses related to the monitoring and evaluation of the program should be entered in line items 165 – 168.  For example, if a participant hires a consultant or sub-recipient agency to conduct monitoring and evaluation or a market impact assessment, these expenses should be entered under these four line items.  If a participant utilizes a currently employed full-time or part-time staff member to conduct monitoring and evaluation, these expenses should be entered under administration. 

PROJECTS/TECHNICAL ASSISTANCE, LINE ITEMS 169-178 

1.  For each project or activity under your agreement, enter the name of the project or activity in the pink cells under the “DETAIL” column.  Projects or activities will only be training or technical assistance that complement the distribution of food commodities.  Projects or activities do not include commodity procurement and distribution.  These costs should be included in the commodity procurement or ITSH line items. 

NOTE:  If one project has more than one activity associated with it, it is only necessary to breakdown the project into activities if some of the activities will have a NICRA rate applied and some activities will not.   

2.  Enter the total cost of each project in the yellow cells under the “$/UNIT” column.  The “TOTAL” column will be filled in automatically and will be the same figure as entered in the “$/UNIT” column.

AFTER YOU HAVE COMPLETED THE BUDGET FORM: 

-- Please email this file to the Program Analyst that is negotiating the agreement.  If you have any questions about entering your data, feel free to contact either your Program Analyst or the Food Assistance Division at (202)720-4221.