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California Library Literacy Services: Allowable and Unallowable Expenses | August 2023 2 o Other: Other miscellaneous operating expenses incurred in direct support of the literacy program which do not fit into the above categories and are allowable according to CLLS policies. These may include data management systems and internet subscriptions for hot spot services. See “Additional Allowable Expenses” below. • Literacy Materials: Materials for circulation, to provide to the community, to use in the library, and to use in other spaces where library literacy services are provided include: o Circulation materials: Acquisitions included in the library’s general collection to support CLLS. o Materials to provide to the community: These may include books, booklets, workbooks, videos, and other materials given to participants to keep or consume that include:  Collection for new readers’ instruction  Collection about literacy for public awareness  Additions to children’s collection to be utilized for the Family Literacy programming,  Non-print literacy materials o Programming materials: These may include items to support family literacy programming, such as materials to promote learning at home. • Small Equipment: Tablets, computers, hot spot devices, and other small equipment purchases that are not part of the annual operating budget. All equipment items, regardless of physical size, with a purchase price of $4,999 or less per individual item would fall into this category. • Equipment: Long-term, depreciable items in excess of $5,000 per unit that are not part of the annual operating budget. Equipment purchases in excess of $5,000 per unit must be approved by the California State Library. Please contact your grant monitor for more information. • Indirect Costs: Indirect costs or fiscal agent fees charged to the literacy program for payroll processing, accounting, facility space, utilities, etc. The amount budgeted may not be more than 10% of each budget column for your CLLS award(s) and local match(es). We understand the grantee agency often provides additional support for the literacy program in terms of space, utilities, materials, supplies, printing, communications, etc. These costs may be included in indirect, but the total may not exceed 10% of the grant award. These costs do not need to be itemized. Additional Allowable Operations Expenses • Background Checks: The cost of background checks for literacy volunteers is allowable.