Policy Statement:
In keeping with indirect cost recovery rates negotiated with the
Department of Health and Human Services, acting on behalf of the
federal government, and fiscal policies of the federal Office of
Management and Budget, Wichita State University (WSU) is obligated
to charge indirect costs on all University contracts where
services are provided to external entities, individuals, agencies
and businesses, including those negotiated on behalf of WSU
laboratories, offices, and other facilities (WSU Service Centers)
that provide such services for fees. The budgets of said WSU
Service Center contracts for services should clearly indicate the
indirect costs that are being charged at the federally negotiated
rate and the amount of indirect costs that are being shared, if
appropriate. The Office of Research Administration (ORA),
which monitors such budgets, is responsible on behalf of the
Provost for maintaining compliance with federal regulations
relating to indirect costs.
Since indirect costs are charged in part to recover expenses associated with the use of WSU buildings, utilities, and equipment, WSU service centers are required to budget a minimum of 10% of direct costs in all research, service, and training programs for the recovery of indirect costs. These costs will be recovered by ORA and placed in the appropriate WSU accounts that support the development and management of WSU's research and sponsored program mission through the redistribution of such funds to project directors, department chairs, and deans in accordance with the WSU policy entitled Sponsored Programs: Indirect Costs (Revised), effective July 1, 1989. Exceptions to the Service Center Indirect Cost Policy when necessary will be determined by the Provost.
Implementation:
This policy will be distributed to WSU Service Center directors
for implementation.
Effective Date:
October 1, 1997