What is the difference between a subcontract and a consultant agreement?
The primary difference is that a subcontract is almost invariably with another institution and a consultant agreement is almost invariably with an individual (non-UNF employee). Subcontractual effort usually entails a complex portion of the primary project to be performed at another institution. The agreement would usually involve the other institution’s full project costs, including its negotiated indirect cost (F&A) rate, and come to us with a statement of work, full budget, and a “letter of intent” to perform the assigned task should an award be made. Consultant effort is usually limited to the performance of one activity by one individual. Activity is generally short term or infrequent and the pay line is usually determined by a rate per day which includes travel, expenses, and any other overhead.