Nest week.

-----Original Message-----
From: Anita Quinn [mailto:xxxxxx@MTU.EDU]
Sent: Monday, September 25, 2000 12:48 PM
To: xxxxxx@HRINET.ORG
Subject: fringe benefit question

I have been working on a "Fringe Benefit Cost Recovery Committee" (mmmm
fun!) for the past few months.

We have changed from DHHS to ONR as our cognizant agency, which has
prompted this campus wide discussion. The committee has academics,
institute, finance, human resource, and budget reps on it.

With DHHS we did not have to justify our fringe rate or method as part of
our rate negotiations.

There has been quite a discussion on how to recover vacation, holiday, and
sick leave (VHS) on sponsored projects.  In the past we have used a rate
concept, whereby the sponsored account is charged a rate, and it is pooled,
then the pool is charged for the VHS.  The committee wants us to explore
the direct charging of VHS, right into the sponsored account.

I have a few reservations... I'd like some feedback from some of you who
know the details of how VHS is charged to your sponsored
accounts....Specifically.....

1.  How do soft dollar employees know which project to charge VHS to,
especially if they work on several accounts that are short term.

2.  Is it allowable to DIRECTLY charge holiday and charge a POOLED RATE for
vacation and sick leave.

I would appreciate any comments you can provide, or a contact person at
your university who is up to speed with the details of costing VHS in
sponsored accounts.

Thanks!
Anita Quinn
Director of Research Services
Michigan Technological University
1400 Townsend Drive
Houghton, MI     49931-1295

phone 906-487-2225
fax   906-487-2245
xxxxxx@mtu.edu

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