Overview:NWAHSHS values contributed services and property that are to be used to meet a cost sharing or matching requirement at their fair market values at the time of contribution, unless award documents or Federal agency regulations identify specific values to be used.

NWAHSHS shall claim contributions as meeting a cost sharing or matching requirement of a Federal award only if all of the following criteria are met:1. They are verifiable from NWAHSHS records.2. They are not included as contributions for any other Federally assisted project or program.3. They are necessary and reasonable for proper and efficient accomplishment of project or program objectives.4. They are allowable under OMB Circular A-122.5. They are not paid by the Federal government under another award, except where authorized by Federal statute to be used for cost sharing or matching.6. They are provided for in the approved budget when required by the Federal-awarding agency.7. They conform to all provisions of OMB Circular A-110.8. In the case of donated space, (or donated use of space), the space is subject to an independent appraisal to establish its value.

Procedures:

Valuation and Accounting TreatmentIn-kind typically falls into one of the following categories:1. Cash• NWAHSHS shall recognize cash contributions as in-kind income in the period in which they are spent on allowable program costs. • Any discounts received on goods or services are recognized as in-kind only if such discounts are not available to the general public.

2. Space, buildings, land and equipment• Space:• Will be valued at the fair rental value of comparable space as established by an independent appraisal of comparable space and facilities in a privately-owned building in the same locality• Information on the date of donation and records from the appraisal will be maintained in a property file• If less than an arms-length transaction, will be valued based in actual allowable costs not to exceed fair market value• In order to consider below fair rental value rent a donation for In-Kind purposes, the Agency must have a letter signed by the Landlord stating that it is his/her intention to donate the difference between actual rent and Fair Rental Value to the Agency. This letter should be updated if an appraisal alters the amount of the donation.• Buildings and Land:• If the purpose of the contribution is to assist the Agency in the acquisition of equipment, building, or land, the total value of the donated property may be claimed as matching with prior approval of the awarding agency.• If the purpose of the donation is to support activities that require the use of equipment, buildings or land, depreciation or use charges (e.g. rent) may be claimed as matching, unless the awarding agency has approved using the full value as match.• Equipment, buildings or land are valued at their fair market value as determined by an independent appraiser. Information on the date of donation and records from the appraisal will be maintained in a property file.• Appraisals:• In order to claim any In-Kind for space donation the Agency must get appraisals completed by Certified Appraisers every three to five years, or as needed due to significant changes in the local real estate market.

3. Volunteer time and servicesVolunteer services furnished by professional and technical personnel, consultants, and other skilled and unskilled labor will be included in in-kind if the services are an integral and necessary part of the program.

Volunteer services will be valued at rates consistent with those paid for similar work in the Agency. For skills not found in the Agency, rates will be consistent with those paid for similar work in our labor market. Rates should include gross hourly wages plus fringe benefits calculated based on fringe benefits received by employees in similar positions, or on agency average.

Volunteers must possess qualifications and perform work requiring those skills in order to be valued at greater than an unskilled labor rate.

NWAHSHS requires volunteers to document and account for their contributed time in a manner similar to the timekeeping system followed by employees. Each program that uses volunteers will provide the volunteers a sign-in sheet (HSF-4 Volunteer Time and In-kind Tracking and HSF-5 Volunteer Time and Mileage) which collects the following information:• Date service was performed• Volunteer name and address• Hours donated• Service provided• Signature of volunteer

4. SuppliesDonated supplies must be used in the program and shall be valued at fair market value at the time of donation. Supplies can be counted as match only if the program would have purchased such items itself.

Record keeping and reportingEach Local program and Central Office will provide the volunteers a sign-in sheet (HSF-4 Volunteer Time and In-kind Tracking and HSF-5 Volunteer Time and Mileage).

The sign-in sheets will be delivered to the Accounting Department monthly so they can be tallied, valued, and recorded as in-kind in the accounting records.• The Management Team will develop FY In-Kind Goals.• In-Kind will be reported monthly on a spreadsheet by chart of accounts:6010 Rent 6100 Utilities 6300 Building Maintenance6810 Office Equipment/Repair 6875 Outdoor Equipment 7000 General Supplies7010 Office Supplies 7100 Classroom Supplies 8220 Fatherhood Activities8250 Parent/Community Volunteers 8260 Professional Volunteer 8270 Parent/Community Travel8310 Medical and Dental 8510 Literacy Services 8660 Other• The Fiscal Officer will use the spreadsheets to verify the monthly financials.• The Fiscal Officer will provide the spreadsheet to the Executive Director.• The Executive Director will report the In-Kind data to the Governing Board and Policy Council comparing to the monthly In-Kind Goals.• The Governing Board and Policy Council will review the In-Kind Data at their meetings.

The following flowchart should be referenced in determining allow ability of In-Kind.