How are the consistency requirements under Cost Accounting Standards interpreted in terms of cost-sharing commitments?
The University is required to handle cost-sharing costs consistently and in accordance with OMB Circular A-110, which states that: “All contributions, including cash and third party in-kind, shall be accepted as part of the recipient’s cost sharing or matching when such contributions. . . are verifiable from the recipient’s records. . . .are necessary and reasonable for proper and efficient accomplishment of project or program objectives. . . .are allowable under applicable cost principles (i.e., A-21). . . are provided for in the approved budget when required by the federal awarding agency.” In short, cost-sharing commitments offered by the University in support of a sponsored project must be treated in the same manner as are the direct costs charged to the sponsors of the project.
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