Office of Student Learning & Partnerships
CRITERIA FOR DISTINGUISHING EQUIPMENT
FROM MATERIALS AND SUPPLIES
34 CFR §74.34
At the first “No” on this chart, the item is declared to be supply, not equipment.
Lasts more than one year
Repair rather than replace
Independent unit rather than being
incorporated into another unit item
Cost of tagging and inventory small
percentage of item
Exceed minimum dollar value mandated
by the state or other governmental unit
A.Indirect costs are those that have been incurred for common or joint purposes benefiting more than one cost objective and cannot be readily identified with a particular final cost objective with effort disproportionate to the results achieved (OMB Circular A-87).
Expenditures to reimburse another educational agency for special education and related services rendered to students residing in the legal boundaries of the paying school district are allowable.
C.Services Purchased from another LEA within the State Including Transfer Fees
D.Operation of Building Services
Utility services (nonenergy) such as water/sewer services are allowable.
Repairs and maintenance of property (ordinary upkeep) that does not materially increase the value or useful life of the capital asset are allowable.
E.Rental or Lease Services
Expenditures incurred for rental of space for project personnel and possible classroom space are allowable.