(a) Except as provided in grant guidelines, competitive grants may fund costs for staff, equipment, capital expenditures, supplies, professional services, and other typical operating expenses, as permitted by §2.110(b) of this title (relating to Scope of Subchapter). The purpose of competitive grants is not for collection development or other activities primarily focused on the acquisition of library materials or resources.
(b) Except as provided in grant guidelines, competitive grants may not fund the following:
  (1) Capital expenditures related to the purchase of real property or buildings;
  (2) Capital expenditures related to the construction or expansion of facilities, including fixtures and services;
  (3) Capital expenditures related to renovation costs, including fixtures and services;
  (4) Food, beverages, or food delivery equipment or services;
  (5) Awards, honoraria, prizes, gifts, or incentives;
  (6) Equipment or technology not specifically needed to carry out the goals of the grant;
  (7) Transportation /travel for project participants or non-grant funded personnel;
  (8) Databases currently offered or similar to ones offered by the agency (i.e., a magazine index database may not be purchased if a comparable one is provided by the agency);
  (9) Collection development purchases not targeted directly to the grant goals nor integral to the service program;
  (10) Advertising or public relations costs not directly related to promoting awareness of grant-funded activities;
  (11) Performers or presenters whose purpose is to entertain rather than to educate; or
  (12) Other expenses as excluded in the grant guidelines.

Source Note: The provisions of this §2.112 adopted to be effective March 5, 2007, 32 TexReg 1068; amended to be effective June 25, 2023,48 TexReg 3224; amended to be effective March 12, 2024, 49 TexReg 1458