---
kind: "section"
citation: "38 C.F.R. § 21.443"
title: "38"
number: "21.443"
heading: "Permissible uses of VEPFS grant funds."
url: "https://uscodex.org/cfr/38/21.443"
---

# §21.443. Permissible uses of VEPFS grant funds.

- (a) VEPFS grant funds may be used only to fund outcomes payments if an intervention achieves outcomes at a pre-set target level that has been agreed to in a PFS agreement before service delivery begins for a PFS project with a goal to improve employment outcomes for Veterans with service-connected disabilities.
- (b) To pay for the indirect costs of administering a grant, regardless of whether an intervention achieves outcomes at a pre-set target level, a recipient may:
  - (1) Use a Federally approved indirect cost rate (a rate already negotiated with the Federal Government);
  - (2) Use a 10% de minimis rate of modified total direct costs;
  - (3) Negotiate an indirect cost rate for the first time; or
  - (4) Claim certain costs directly following [2 CFR 200.413](/cfr/2/200.413.md).

## Notes

### Source

Source: 81 FR 52775, Aug. 10, 2016, unless otherwise noted.

### Authority

Authority: 38 U.S.C. 501(a), chs. 18, 31, and as noted in specific sections.

### Source

Source: 49 FR 40814, Oct. 18, 1984, unless otherwise noted.