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9.06 / Research Sponsored Program Cost Sharing

Purpose:
To establish the authority to commit the University to the sharing of indirect and direct costs of tasks to be performed under external grants and contracts.

Policy Statement:

Indirect Costs
Indirect costs are a reimbursement to the University for the expenses associated with research, training and service conducted under external grants and contracts. These expenses include the cost of administration, depreciation and financing costs for buildings and equipment, utilities, and maintenance and repairs. The indirect cost rate charged by the University is negotiated with and approved by agents of the federal government periodically and represents the real cost of providing services under grants and contracts. The Vice President for Research and Technology Transfer is the only University official authorized to reduce this rate through University cost sharing. Each University unit engaged in providing contractual services to businesses and external funding agencies will be expected to establish and maintain a printed fee structure that has been reviewed by the Office of Research and Technology Transfer and certified as consistent with the basis for rates negotiated with the federal government to establish the University's allowable costs.

Direct Costs
Although principal investigators may initiate requests for the sharing of University resources for direct costs such as salaries, equipment and supplies with the department chair and dean, the Vice President for Research and Technology Transfer is the only University official authorized to grant final approval for such cost sharing. The Vice President for Research and Technology Transfer will consult with the principal investigator, the chair and dean, if necessary, to establish the University's cost share. Principal investigators may not make commitments of salary funding to potential grant employees prior to official notification of the grant award. When a proposal is approved, any final negotiations of the grant or contractual arrangements are made by the Vice President for Research and Technology Transfer in consultation with the principal investigator and, as necessary, legal counsel.

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