# 2 CFR § 1130.110: Property trust relationship

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.110

## Section

- **Citation:** 2 CFR § 1130.110
- **Heading:** Property trust relationship
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 2—Federal Financial Assistance > Subtitle B—Federal Agency Regulations for Grants and Agreements > CHAPTER XI—DEPARTMENT OF DEFENSE > SUBCHAPTER D—ADMINISTRATIVE REQUIREMENTS TERMS AND CONDITIONS FOR COST-TYPE GRANTS AND COOPERATIVE AGREEMENTS TO NONPROFIT AND GOVERNMENTAL ENTITIES Source:85 FR 51161, Aug. 19, 2020, unless otherwise noted. > PART 1130—PROPERTY ADMINISTRATION: GENERAL AWARD TERMS AND CONDITIONS > Subpart A—Title to Property (PROP Article I)

## Text

(a) OMB guidance. OMB guidance in 2 CFR 200.316 describes the property trust relationship. It states that:
(1) Recipients must hold real property, equipment, and intangible property acquired or improved under grants or cooperative agreements in trust for the beneficiaries of the projects or programs under which the property was acquired or improved; and
(2) A Federal agency may require a recipient to record liens or other appropriate notices of record to indicate that personal or real property was acquired or improved under a grant or cooperative agreement, making the property's use and disposition subject to the award terms and conditions.
(b) DoD implementation. A DoD Component's general terms and conditions must specify that recipients hold title to real property, equipment, and intangible property acquired or improved under DoD grants and cooperative agreements in trust for the beneficiaries of the projects or programs carried out under those awards.
(c) Award terms and conditions. A DoD Component's general terms and conditions:
(1) Must include the wording appendix A to this part provides for paragraph B.1 of PROP Article I, except that a DoD Component may instead reserve Section B if there will be no acquisition or improvement of real property, equipment, or intangible property under awards using those general terms and conditions or subawards under those awards.
(2) May add wording to the reserved paragraph B.2 of the wording of Section B of PROP Article I to require recipients to record liens or other notices of record, as described in paragraph (a) of this section.

## Nearby sections

- [2 CFR § 1130.100 § 1130.100 Purpose of PROP Article I.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.100.md)
- [2 CFR § 1130.105 § 1130.105 Title to property acquired under awards.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.105.md)
- [2 CFR § 1130.110 § 1130.110 Property trust relationship.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.110.md)
- [2 CFR § 1130.115 § 1130.115 Title to federally owned property.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.115.md)
- [2 CFR § 1130.120 § 1130.120 Federal interest in donated property.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.120.md)
- [2 CFR § 1130.125 § 1130.125 Federal interest in property improved under awards.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.125.md)
- [2 CFR § 1130.200 § 1130.200 Purpose of PROP Article II.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.200.md)
- [2 CFR § 1130.205 § 1130.205 Insurance coverage for real property and equipment.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.205.md)
- [2 CFR § 1130.210 § 1130.210 Other property management system standards for States.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.210.md)
- [2 CFR § 1130.215 § 1130.215 Other property management system standards for institutions of higher education, nonprofit organizations, local governments, and Indian tribes.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.215.md)
- [2 CFR § 1130.300 § 1130.300 Purpose of PROP Article III.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.300.md)
- [2 CFR § 1130.305 § 1130.305 Use of real property.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.305.md)
- [2 CFR § 1130.310 § 1130.310 Disposition of real property.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.310.md)
- [2 CFR § 1130.400 § 1130.400 Purpose of PROP Article IV.](https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.400.md)

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-2-1130.110. Check the current official text before relying on it. Not legal advice.