Hi Katrina,

The administrative costs is the A in your F&A rate. As of 1991, universities were capped at an A of 26%, and then the rest of the makeup of your indirect rate becomes the F. So, in your case, your campus' rate being 50% most likely means that your A is 26% and that currently your F is 24%. This also plays into your off-campus research rate -- which is usually 26% for most universities.

Happy Friday!

Lindsey

LINDSEY DEMERITT, CRA

Director, Sponsored Projects, Dell Medical School Office of Research

Dell Medical School | The University of Texas at Austin

o: 512.495.5500 | c: 407.919.9556 | xxxxxx@austin.utexas.edu | dellmedschool.utexas.edu

On Fri, Jul 16, 2021 at 5:10 PM Katrina Brandli <xxxxxx@uafs.edu> wrote:

Good afternoon,

In studying for the CRA exam, I read that as of October 1, 1991, administrative costs charged to grants have been limited to 26% of modified total direct costs (MTDC)-see link below. Is this still in effect? Our university negotiated rate is 50% on campus.

https://clintonwhitehouse4.archives.gov/textonly/WH/EOP/OSTP/html/analysis_univ.html

Thank you!

Katrina Brandli

Grants Compliance Officer

Business Center 119

University of Arkansas- Fort Smith

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