44 CFR §207.6

1. (a)The grantee or subgrantee must use management cost funds provided under this part in accordance with 2 CFR part 200, subpart E—Cost Principles, and only for costs related to administration of PA or HMGP, respectively. All charges must be properly documented in accordance with § 207.8(f).
2. (b)Indirect costs may not be charged directly to a project or reimbursed separately, but rather are considered to be eligible management costs under this part.
3. (c)Activities and costs that can be directly charged to a project with proper documentation are not eligible for funding under this part.