Office of Sponsored Programs

Current Facilities and Administrative Cost Rate

Facilities and Administrative (F&A) Costs Effective July 1, 2005, new Facilities and Administrative cost rates are in effect pursuant to negotiations with the US Department of Health and Human Services. Rates on currently active sponsored projects will be "grandfathered" in with the understanding that the new rates will be utilized at the time of competitive renewal.

Facilities and Administrative costs are true costs which must be remanded to Boise State University in order to support the infrastructure necessary to provide services for externally funded projects.

Definitions:
F&A: F&A costs are general operating costs incurred by the University in support of research, instruction, and other sponsored activities. Typically, F&A costs cannot be readily attributed to, or directly charged to, specific individual projects. F&A costs should be included as a separate line item in the budget of each proposal submitted to external funding agencies.

On-campus: a project is determined to be an "on campus" project if any Boise State University resources are utilized in the management or execution of the project, i.e., report-writing, data analysis, etc.

Off-campus: a project is determined to be an "off campus" project if it is conducted in its entirety without any BSU resources at any stage of the project.

Research: Sponsored Research means all research and development activities that are sponsored by federal and non-federal agencies and organizations. This term includes activities involving the training of individuals in research techniques where such activities utilize the same facilities as other research and development activities and where such activities are not included in the instruction function.

Research seeks fuller knowledge of a subject and involves investigation aimed at the discovery of new facts or revision of accepted theories. Research projects may include laboratory work, testing and evaluation, questionnaires, pre-and post-tests, and statistical analysis.

Instruction: Sponsored Instruction means the teaching and training activities of an institution established by grant, contract, or cooperative agreement. These activities may be offered for credits toward a degree or certificate or on a noncredit basis, and may be offered through regular academic departments or through separate divisions, such as summer school or extension. (Research training is not included; it is included under Research, above.)

"Instruction" is the proper code when the primary purpose of the project involves training, curriculum development, instruction, demonstration, or efforts to improve pedagogical methods. Instructional projects may include some elements of research, particularly if new techniques of instruction or curriculum content are being developed. This does not change the definition of the project to "research."

Other Sponsored Activities (OSA): "Other Sponsored Activities" are programs and projects sponsored by federal and non-federal agencies which involve the performance of work other than instruction and organized research. Examples include health service projects, community service programs, service and technical assistance projects, such as student assistance to corporations and government, and conferences. This category also includes sponsor-designed testing, clinical trials, evaluations, non-credit community education.

Note: If a proposal is solely to purchase equipment, the project should be coded according to the principal use of the equipment, e.g., research, instruction, or other.

Projects which cannot be easily coded into one of the above categories should be reviewed by the Office of Sponsored Programs.

Modified Total Direct Costs: (MTDC): The "modified total direct cost" is the base on which the F&A rate is charged. It is the sum total of all direct costs less equipment in excess of $5,000 per unit, capital expenditures, tuition remission, rental costs of off-site facilities, scholarships, and fellowships as well as the portion of each subgrant and subaward in excess of $25,000.

Federal Flow-Through: If funds requested from a sponsor originate with a federal agency, the funds are considered to be "federal flow through" and the F&A rate used for federal grants and contracts may be used if allowed by the sponsoring agency.

Rates Effective July 1, 2005:

FEDERAL SPONSORS:

Research
41% of Modified Total Direct Costs for on-campus projects 26% of Modified Total Direct Costs for off-campus projects

Instruction
50% of Modified Total Direct Costs for on-campus projects 26% of Modified Total Direct Costs for off-campus projects

Other Sponsored Activities
28.5% of Modified Total Direct Costs for on-campus projects 26% of Modified Total Direct Costs for off-campus projects

STATE OF IDAHO AGENCIES
(INCLUDES COUNTY, MUNICIPAL, HEALTH DISTRICTS, AND JOINT PLANNING ENTITIES) 20% of the Total Direct Costs

PRIVATE PROFIT-MAKING OR NON-PROFIT SPONSORS:
25% of Total Direct Costs OR the appropriate federal rate, whichever is greater

To determine which F&A rate to apply, follow these instructions:

Identify the sponsoring agency type. If the funds are not from a federal agency (or federal flow-though) use the appropriate rate for agency type above.
If the sponsoring agency is federal follow steps 3-6
Identify if the project is research, instruction, or other sponsored activity. (See definitions.)
Identify if the project will be performed on- or off- campus (see definitions)
Determine the modified total direct costs (see definitions)
Multiply the Modified Total Direct Costs by the appropriate rate

Reduction and Waiver of F&A Costs:
It is the policy of Boise State University to apply the full relevant F&A cost rate to all externally sponsored projects. Requests for waivers or partial waivers of the F&A costs are rarely granted by the Office of the Vice President for Research with the exception of non-profit charitable foundations and a few federal programs, which limit F&A costs as a matter of policy.

Requests for an F&A cost waiver or partial waiver must be initiated by the project's principal investigator (PI) and endorsed by the department chair or unit director and college dean. The request is submitted to the Office of the Vice President for Research by the college dean with accompanying justification. The Vice President for Research is responsible for final approval or denial of the request.

The following factors will be considered with every request for a waiver of F&A costs:

The grounds on which the waiver might be justified to other faculty whose projects carry full overhead;
The total cost to Boise State University;
The likelihood that an award would be seriously jeopardized without a waiver and the potential effect of the loss on the faculty member's overall research program;
The benefit of the waiver to new or junior faculty members or in support of research efforts in new directions which otherwise might not be sufficiently developed to attract typical peer-reviewed awards;
The effect of a waiver to increase direct costs available for student support.

Waiver of F&A costs will not be granted in cases where any of the following apply:

The research is sponsored by a profit-making or foreign organization;
The research involves any requirements imposed by the sponsor with respect to intellectual property;
Granting the waiver might appear to establish a precedent for future projects.


		• maps	• index	• search	• directories