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What is a Central Service Cost Allocation Plan (CAP)?

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What is a Central Service Cost Allocation Plan (CAP)?

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A Central Service CAP is a means by which allowable costs of ‘central service departments’ are gathered, analyzed, and reported in an acceptable format which summarizes indirect costs applicable to ‘operating departments.’ These operating departments can then use the certified plan to claim federal reimbursement or to include the indirect costs as matching funds on grant applications.

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