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Presumptions on Capital Expenditures <br />For administrative convenience, the final rule provides presumptions on whether a <br />Written Justification is required — and required to be submitted to Treasury through reporting — <br />based on the type and size of the capital expenditure, as detailed in the table below. <br />As discussed above, Tribal governments are not required to complete the Written <br />Justification for applicable capital expenditures, but the associated substantive requirements <br />continue to apply, including the requirement that a capital expenditure must be reasonably <br />designed to benefit the individual or class that experienced the identified impact or harm and <br />must be related and reasonably proportional to the extent and type of impact or harm. <br />If a project <br />has total <br />expected <br />capital <br />expenditures <br />of <br />and the use is enumerated by <br />Treasury as eligible, then254 <br />and the use is beyond those <br />enumerated by Treasury as <br />eligible, then255 <br />Less than $1 <br />million <br />No Written Justification required <br />No Written Justification required <br />Greater than <br />or equal to $1 <br />million, but <br />less than $10 <br />million <br />Written Justification required but <br />recipients are not required to submit <br />as part of regular reporting to <br />Treasury <br />Written Justification required and <br />recipients must submit as part of <br />p <br />regular reporting to Treasury <br />$10 million or <br />more <br />Written Justification required and <br />recipients must submit as part of <br />regular reporting to Treasury <br />254 Whether or not a Written Justification is required, recipients should still determine that the response is related and <br />reasonably proportional to the public health emergency and its negative economic impacts. Treasury recognizes that <br />enumerated eligible uses are "related" to the public health emergency and its negative economic impacts and <br />presumed to be reasonably proportional, except recipients pursuing projects with expected total capital expenditures <br />equal to or greater than $1 million should still independently determine that the expenditures are a reasonably <br />proportional response. Enumerated projects with total expected capital expenditures under $1 million receive a safe <br />harbor and deemed to meet the related and reasonably proportional standard. <br />255 Whether or not a Written Justification is required, recipients should still determine that the response is related and <br />reasonably proportional to the public health emergency and its negative economic impacts. Treasury presumes that <br />projects with total expected capital expenditures under $1 million are reasonably proportional in size to responding <br />to the public health emergency and its negative economic impacts; however, recipients should determine that the <br />response otherwise meets the requirements of the standard, including that the response is related to the public health <br />emergency and its negative economic impacts. <br />201 <br />