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3.7 Property and Equipment

Real Property Acquired With Discretionary Funds

Discretionary funds cannot be used for land acquisition.

  • Subject to obligations and conditions set forth in Title 28 CFR Part 66 [PDF - 224 Kb] and Title 28 CFR Part 70 [PDF - 216 Kb], when real property is acquired under an award, the title to the property vests with the recipient.
  • The use of property by you as the recipient is subject to the same principles and standards outlined for property acquired with formula funds.
  • You must follow the same principles and standards outlined for subrecipients, except you must request disposition instructions from the Federal agency, not the State.
  • With regard to the transfer of title to the awarding agency or to a third party designated/approved by the awarding agency, you or your subrecipient shall be paid an amount equal to your or your subrecipient’s percentage of participation in the purchase of the real property applied to the current fair market value of the property.