Dear Colleagues,
We have recently transitioned from a salaries and wages F&A cost
base to an MTDC base. As we have begun to implement our new negotiated F&A
rate, we are experiencing some disagreement among central administration concerning
how to define MTDC. According to A-21, “Equipment, capital
expenditures, charges for patient care and tuition remission, rental costs,
scholarships, and fellowships as well as the portion of each subgrant and
subcontract in excess of $25,000 shall be excluded from modified total direct
costs.”
We are in agreement on the interpretation of everything included here
with the exception of the definition of “subgrant or subcontract”
and hope that fellow research administrators can provide some additional
insight. Specifically, we would like to know if you differentiate between
a subcontract issued to an entity that has been determined to be a vendor and a
subaward to an entity that has been determined to be a subrecipient. In
other words, do you include vendor agreements in the MTDC base, but exclude the
portion of subawards that exceeds $25,000 or do you exclude the portion of both
vendor agreements and subawards that exceeds $25,000 from the MTDC base?
Any information you are willing to share on this issue will be much
appreciated. Please feel free to respond to me directly at xxxxxx@eku.edu if you
prefer.
Thanks so much,
Tiffany
Tiffany
L. Hamblin
Associate
Director, Sponsored Programs
Jones 414, Coates CPO Box 20
521 Lancaster Avenue
Richmond, KY 40475-3102
(859) 622-3636
(859) 622-6610 fax
xxxxxx@eku.edu
www.sponsoredprograms.eku.edu
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