Allowable and Non-Allowable Costs Guidance
3. Specific Cost Guidance by Category
3.27. Maintenance and repair costs
Ref: 2 CFR Part 200, §200.452.
Costs incurred for necessary
maintenance, repair, or upkeep of buildings and equipment (including Federal property unless
otherwise provided for) which neither add to the permanent value of the property nor
appreciably prolong its intended life, but keep it in an efficient operating condition, are
allowable. Costs incurred for improvements which add to the permanent value of the buildings
and equipment or appreciably prolong their life shall be treated as capital expenditures.
Request prior approval from your CTE Program Coordinator.