(a) Program income is gross income you or a subrecipient earn only as a result of the project activity the period of performance.
(b) Program income includes revenue from:
(1) Services performed under an award;
(2) Use or rental of real or personal property acquired, constructed, or managed with award funds;
(3) Payments by concessioners or contractors under an arrangement with the agency or subgrantee to provide a service in support of grant objectives on real property acquired, constructed, or managed with grant funds;
(4) Sale of items produced under a grant;
(5) Royalties and license fees for copyrighted material, patents, and inventions developed as a result of a grant; or
(6) Sale of a product of mining, drilling, forestry, or agriculture during the period of a grant that supports the:
Mining, drilling, forestry, or agriculture; or
(ii) Acquisition of the land on which these activities occurred.
(c) Program income does not include:
(1) Interest on grant funds, rebates, credits, discounts, or refunds;
(2) Sales receipts retained by concessioners or contractors under an arrangement with the agency to provide a service in support of grant objectives on real property acquired, constructed, or managed with grant funds;
(3) Cash you or a volunteer instructors receive to cover incidental costs of a class for hunter or aquatic-resource education;
(4) Cooperative farming or grazing arrangements; or
(5) Proceeds from the sale of real property.
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Created by
Scott Knight, last updated by Pete Barlow on Feb 24, 2016
1 minute read
4 Comments
Ryan Oster
Oct 07, 2015(a) Program income is gross income you or a subrecipient
subgranteeearn only as a result of the grant supported activity during the period of performancegrant period.Will need to update the reference listed below in the new 50 CFR 80
(4) Cooperative farming or grazing arrangements as described at § 80.98; or
Pete Barlow
Feb 24, 2016Thanks Ryan. These changes were incorporated
Tom Barnes
Jan 28, 2016In (b)(2), we need to sort out the difference between rent paid for a (true) lease, and rent paid for a license. The conveyance document for both true leases and licenses are typically called "leases," but the attributes of the agreement and not the name ascribed to it, determine the difference. Only the rent from a license should be treated as program income. Rent paid as compensation for the acquisition of a true lease should be treated as proceeds from the disposition of real property (or personal property in a few cases where a lease is considered personal property under State law). We should discuss this with the Solicitor's Office.
Pete Barlow
Feb 24, 2016Tom, Let's discuss this, as I'm not sure how the response here doesn't achieve the distinction. Rent paid on real property would be considered program income, wouldn't it? Whether or not the agreement conveyed rights that made it a true lease or (license) lease? If either of the payments satisfied the requirements of (a), seems we'd consider it program income. What am I missing?