(1) Personnel and Administrative: Costs reported for reimbursement must be based on actual wages for Grantee's staff or contracted staff, and may include benefits (e.g., health care, vacation, sick leave, retirement and/or social security contribution) that are customarily paid by the Grantee. Personnel benefit charges shall be calculated in proportion to the actual time worked on a Project. No more than five percent of the Grant shall be used for administrative costs.

(2) Travel: Costs for mileage, meals, and lodging. Grantees shall retain all records described in Section 545.

(3) Operational: Supplies and materials may be purchased for a specific Project, provided the items are claimed at a cost no higher than the original purchase price paid by the Grantee. Items not specifically listed in the Grant Agreement must be approved by the Department prior to purchase.

(4) Equipment: The cost of Equipment purchased for the Project shall not exceed the minimum amount necessary to accomplish the Project. Expenditures shall reflect costs outlined in the budget narrative as defined in Section 530.

(5) Media Campaigns.

(6) Training that is sponsored by the Department for the California Healthcare, Research, and Prevention Tobacco Tax Act of 2016 Tobacco Fund, or related to the Project for which the Grant was awarded.

(7) Decoys for undercover operations.