HOPWA administrative costs are capped twice over: 3 percent of the grant for the grantee and 7 percent of amounts received for each project sponsor

hopwa.financial.administrative_cost_caps_three_percent_grantee_seven_percent_sponsor · v1.0.0

Administrative expenses are an eligible activity, but under two separate ceilings applied to two different bases. EACH GRANTEE MAY USE NOT MORE THAN 3 PERCENT OF THE GRANT AMOUNT for its own administrative costs relating to administering grant amounts and allocating them to project sponsors. EACH PROJECT SPONSOR receiving amounts from a HOPWA grant MAY USE NOT MORE THAN 7 PERCENT OF THE AMOUNTS RECEIVED for administrative costs. The two are not a single 10 percent pool: a grantee that spends 4 percent has exceeded its cap even if total administration across the grant is under 10, and a sponsor's 7 percent is measured on what that sponsor received rather than on the whole grant. A reviewer therefore needs the pass-through amounts, not just the grant total, to test either limb.

Confidence

high

Effective from

1992-12-28

Consequence model

agency finding with cure

Last reviewed

2026-08-31