5 steps to tell the real cost of a police grant-funded purchase

In order to fully understand the total cost of the purchase of any new tool, technology, vehicle or personnel, you must first research and consider all of the costs related to the project. Grants never pay for the entire cost to the police department. 

Here is how to begin the process of developing a project budget first then extracting the allowable costs of the project and placing those costs into the grant budget.

Step 1: Using a legal pad and/or an excel spreadsheet, begin researching and listing the entire project cost of the acquisition. For example, consider the purchase of new data analysis software:

•    Software package cost
•    Customization costs if needed
•    Annual upgrades costs
•    Annual licensing costs
•    Purchase of any new computers with capacity to utilize new software
•    Purchase of any new peripherals, cables, hardware etc., costs
•    Computer technology upgrades to match the needs of the software
•    Training of officers/employees to utilize the software
•    Cost of Replacement personnel for off duty officers while in training

Step 2: Once you believe that you have exhausted your list, give it to your chief and/or the employee responsible for all purchasing. Have them review and approve the list as complete.

Step 3: Select the funding source. Please note that the determination of what tools, technology or vehicles are needed by the police department is determined during your strategic planning process. This assures that the purchase is a need and not a want. 

There are many options when selecting a finding source for the purchase of new tools, technology or vehicles. 

The most used grant for these items is the Justice Assistance grant. Discretionary grants like Project Safe Neighborhoods or the GREAT grant might also be used. 

Step 4: Select the grant program for application. Read and understand the entire grant announcement. Identify allowable budget costs and those which are not allowable. This will prevent developing a grant budget which had items that will be disqualified for funding at the time of award and contract signing. You do not want to be caught by surprise! The Department of Justice publishes the Federal Financial Guide to help with budget development. 

Step 5: Enter the allowable costs into this budget worksheet. The items which are not allowable in your grant budget will be the responsibility of your police department to either fund directly out of the department’s budget or by searching for an additional grant funder. 

For more information about preparing a grant budget for grant funding click here.  

By starting with a total project budget for any purchase for your department, you, your chief and your municipality/city/county etc. will understand the department’s financial impact of each and every grant your department is awarded. 

Using this process, you will satisfy the financial planning needs of your chief as well as be awarded a fully-funded grant request. It will also increase your success rate in grant funding.