02-5  Obsolete

Facilities and Administrative Cost Rates
July 10, 2002

Facilities and Administrative Cost Rates have been established for the period of July 1, 2002 through June 30, 2004.  Please begin using these rates on proposals as appropriate based on the rate effective at the start of the proposal year.                                                                

The agreement for rates effective July 1, 2002 through June 30, 2004 is dated June 17, 2002.  These rates should be used for proposals extending past June 30, 2004 until new rates are established.   

For proposals being submitted that involve two or more fiscal years, budget the rate for the full year that is applicable on the first day of the proposal budget period.  For example, if a four-year research proposal is being submitted with a budget year from May 1, 2002 to April 30, 2003, use the 49% research rate (agreement dated October 9, 1997) which is applicable on the first day of the first budget period.  Rates are not split within a budget year.  The budget for the second, third and fourth years would use the research rate of 50.5% (agreement dated June 17, 2002). 

Base is modified total direct costs, consisting of all salaries and wages, fringe benefits, materials, supplies, services, travel and subgrants and subcontracts up to the first $25,000 of each subgrant or subcontract (regardless of the period covered by the subgrant or subcontract).  Modified total direct costs shall exclude equipment, capital expenditures, charges for patient care, tuition remission, rental costs of off-site facilities, scholarships, and fellowships as well as the portion of each subgrant and subcontract in excess of $25,000.

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