The sponsor doesn pay overhead/indirect costs/F & A costs, or pays them at a reduced rate. May I submit a proposal anyway?
Since indirect costs are real costs, they do not disappear if a sponsor declines to pay them. They must be paid by someone. ECU’s policy is to recover full indirect costs from the sponsor of the project whenever possible. However, when a nonprofit sponsor has an official, written policy regarding indirect costs, the university will usually agree to honor it and “share the costs” of the project with the sponsor, as long as the same policy is uniformly applied to all grantees. For sponsors who pay reduced, or no, indirect costs, the PI should complete the RAMSeS Budget – (Cost Sharing or Cash Matching section) and attach a copy of the sponsor policy.
Related Questions
- If a State does not have an approved agreement for indirect costs, may it use an estimated rate and then submit a Change in Scope later on?
- What Facilities and Administrative costs (indirect costs/overhead) rate should I use on a proposal to a foundation?
- How many days do I have to submit a final (based on incurred costs) indirect cost rate proposal?
