Assistance considerations...
Length and Time Phasing of Assistance
Not to exceed 20-year contracts. After signing of contract, subsidy is payable commencing with loading of cargo on first outbound voyage.
Formula and Matching Requirements
The subsidy paid for liner vessels may not exceed the difference between the subsidizable cost of wages, subsistence of officers and crews on passenger vessels, and the fair and reasonable cost of insurance and maintenance and repairs not compensated by insurance, over the estimated subsidizable and fair and reasonable costs of the same items if the vessels were operated under foreign flag. Any vessel operating in an essential bulk service may be paid such sum as determined necessary by the Secretary of Transportation to make the cost of operating such vessel competitive with the cost of operating similar vessels under the registry of a foreign country.
Note:
A formula may be based on population, per capita income, and other statistical factors. Applicants are informed whether there are any matching requirements to be met when participating in the cost of a project. In general, the matching share represents that portion of the project costs not borne by the Federal government. Attachment F of OMB Circular No. A-102 (Office of Management and Budget) sets forth the criteria and procedures for the evaluation of matching share requirements which may be cash or in-kind contributions made by State and local governments or other agencies, institutions, private organizations, or individuals to satisfy matching requirements of Federal grants or loans.
Cash contributions represent the grantees' cash outlay, including the outlay of money contributed to the grantee by other public agencies, institutions, private organizations, or individuals. When authorized by Federal regulation, Federal funds received from other grants may be considered as the grantees' cash contribution.
In-kind contributions represent the value of noncash contributions provided by the grantee, other public agencies and institutions, private organizations or individuals. In-kind contributions may consist of charges for real property and equipment, and value of goods and services directly benefiting and specifically identifiable to the grant program. When authorized by Federal legislation, property purchased with Federal funds may be considered as grantees' in-kind contribution.
Maintenance of effort (MOE) is a requirement contained in certain legislation, regulations, or administrative policies stating that a grantee must maintain a specified level of financial effort in a specific area in order to receive Federal grant funds, and that the Federal grant funds may be used only to supplement, not supplant, the level of grantee funds.