| VOLUME: III |
POLICIES RELATED TO CONTRACT AND GRANT ADMINISTRATION |
| SUBJECT: |
Sponsored Program Proposals and Facilities and Administrative Recovery (F&A), formerly
known as Indirect Costs |
| SOURCE: |
Financial Management Services |
| DATE ISSUED: |
October 1990, Revised January 1996, Revised July 2002 |
| POLICY NO.: |
III-1 |
| RATIONALE: |
Provide direction for recovery of all program costs of grants by requiring that facilities and administrative costs are included in the proposed budgets. |
| POLICY: |
Full F&A cost recovery is to be included in all sponsored program proposals. The F&A cost rates are set through negotiations with the federal government to recover actual
expenses incurred by the university. Exceptions to the policy are made for certain proposals to the State of Indiana and proposals where the agency guidelines state
that no F&A cost or less than full F&A cost will be paid. Non-federal organizations whose guidelines will not permit F&A cost will be reviewed to determine if some
of the F&A items might be included as direct cost.
Exceptions to the policy are to be initiated by the department and approved by the school/responsibility center, appropriate campus research office (Research and Sponsored Programs IUPUI for Indianapolis or Sponsored Research Services IUB for Bloomington and regional campuses) and the Assistant Vice President for Research.
|
| DEFINITIONS: |
F&A costs are those that are incurred for common or joint objectives and therefore cannot be identified readily and specifically with a particular sponsored project, an instructional activity or any other institutional activity. |
| PROCEDURE REFERENCE: |
See Important Notice 89-18 and 02-5. |
| CROSS REFERENCE: |
See Contract and Grant Administration Policy III-10, Facilities and Administrative Cost Rates for On- and Off-Campus Projects
and OMB Circular A-21. |
| RESPONSIBLE ORGANIZATION: |
Financial Management Services |
