Program Budget

Title XX Social Services (DFI)
Program Manual FY21

  1. Budget and Budget Revisions
  2. Reasonableness of Cost
  3. Unallowable Costs
  4. Allowable Costs
  5. Other Costs

A. Budget and Budget Revisions

The budget is a part of the program plan and includes the 25% match. The budget consists of direct and administrative costs. The administrative costs budgeted must be less than or equal to 20% of direct costs and must be traceable to a cost allocation methodology. 

After the budget is in place, line item transfers may occur without a budget amendment if the cumulative amount transferred is 10% of the line item to which the transfer is made. However, for transfers more than 10%, a written explanation of the transfers and a revised budget must be submitted to the Bureau of Basic Supports - Title XX 30 days prior to the transfer.  A format for submitting a budget change(s) is located in Exhibit II.

B. Reasonableness of Cost

A cost is reasonable if, in its nature and amount, it does not exceed that which would be paid by IDHS or sponsoring state agency for the same service funded. Service providers should be prepared to document their claim for reasonableness including the basis for allocating administrative costs.

C. Unallowable Costs

The following are examples of activities or items which are not generally eligible for reimbursement:

  1. Medical and remedial care which is not supportive of and required as a component of a broader Title XX Social Services Block Grant service. In addition, the individual receiving the medical component cannot be eligible for the medical component under Title XIX and neither the individual nor the provider may be eligible for reimbursement under Title XVIII.
  2. Room and board, unless the room and board is supportive of and required as a component of a broader Title XX Social Services Block Grant service component, reimbursement cannot be claimed. In addition, room and board is not eligible for reimbursement as a component of foster care delivered through a foster home. According to the Title XX Social Services Block Grant rules, room and board can be provided for a short term as an integral but subordinate part of a social service, or temporary emergency shelter provided as a protective service.
  3. Child day care services which do not meet state licensing standards as established by the Department of Children and Family Services.
  4. Educational services made generally available to residents of the State through any state or local educational agency, i.e., education mandated by legislation.
  5. In-reach services provided in facilities such as hospitals, prisons or skilled nursing facilities, which are the inherent responsibility of the facility, are not eligible. In-reach services provided by other than facility staff, but unavailable to individuals in the catchment area, are eligible.
  6. Participant wages, salaries, fringe benefits, or any other direct payments to participants for maintenance needs.
  7. Purchase, construction, or major modifications of any land, building, other facility, or fixed equipment, except to the extent of depreciation or use allowances in accordance with Federal cost principles.
  8. Housing costs for families or individuals including rent, deposits, purchase, construction, major renovation, or repairs.
  9. Goods or services provided in-kind by private organizations or individuals (unless used as in-kind match).
  10. Carrying out any maintenance assistance payments functions or other functions or activities not related to the Title XX Social Services Block Grant services.
  11. Interest costs associated with loans.
  12. Out of state travel expenses.

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D. Allowable Costs

The following are examples of activities/items which are generally eligible for reimbursement:

  1. Staff salary, fringe benefits and travel involved in the provision of Title XX Block Grant services.
  2. Minor equipment, furniture, supplies, office space and communications. Prior to the purchase of fixed equipment over $1,000, the provider must receive approval in writing from IDHS.
  3. Cost of agency staff attendance at meetings pertinent to the development or implementation of Federal and State service policies and programs.
  4. Cost of technical assistance, data collection, surveys and studies performed by other public agencies, private organizations or individuals to assist the State Agency in developing, planning, monitoring and evaluating the services program.

    This does not include program research activities performed by the provider agency, unless the agreement contains such a provision and it is consistent with the Projected Expenditure Report.

  5. Cost to the agency for the use of volunteers in the program (recruiting, training, supervision or out-of-pocket expenses of volunteers).
  6. Costs of transportation (such as tokens or tickets) and medical examinations when necessary for the development of a service plan or when precedent to obtaining a service for an individual, provided such medical examination is not available to the individual under Title XVIII or Title XIX of the Act.
  7. Facility operating costs such as rent, utilities, buildings and grounds maintenance, insurance and other costs (except fixed equipment and furniture) incurred in normal operations.
  8. Administrative support costs such as staff salaries, computer time, supplies and communications.
  9. Insurance to cover public liability.
  10. Management and General costs are allowed as a separate budget line item. However, each component making up the line item must be detailed in the budget narrative.
  11. The cost of program audits performed by personnel external to the provider. The provider must illustrate the methodology used to estimate the audit cost for the DFI program.

E. Other Costs

It is advised that providers seek prior approval from IDHS before including costs which are not identified as allowable or unallowable.

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