***On October 1, 2024, The Federal Regulations under 2 CFR 200 increased the capitalization threshold for the definition of equipment from a purchase value of $5,000 to $10,000. The University of Washington has not implemented the higher equipment value threshold at this time and the current threshold remains $5,000.
A University-wide announcement will occur when the threshold is increased to $10,000. Until that time, the University will continue to use the $5,000 threshold.
Purchase of equipment on federal Awards requires written approval from federal sponsors, unless otherwise allowed in the sponsor Terms & Conditions or waived in the Award.
- Definition of Equipment and Purchase Threshold: 2 CFR 200.1 Equipment
- Definition of Acquisition Cost: 2 CFR 200.1 Acquisition Cost
- Definition of computing devices with an acquisition cost greater than $5,000 as “General Purpose Equipment” (GPE): 2 CFR 200.48 General Purpose Equipment and 2 CFR 200.94 Supplies
- GPE must have prior written approval of the sponsor: 2 CFR 200.439 Equipment and Other Capital Expenditures
- Specific inclusion of the equipment in a proposal is considered prior written approval if the proposal is fully funded.
- If the equipment is not included in the proposal, document how the equipment benefited the award and why it was not included in the proposal budget.