Re: Cost sharing questions Quinn, Bradley L 25 Jan 2001 12:47 EST
We rarely use volunteer (in-kind) effort for cost sharing. When we do, the documentation criteria in section .__23d, A-110 are followed. We will allow a reasonable benefits and payroll taxes allowance and apply the appropriate University's indirect cost rate, subject to the awarding agency approval in .__23b, A-110. The donated labor and benefits would be included in the MTDC base. From: John D. Pepe [mailto:xxxxxx@STROUDCENTER.ORG] Sent: Wednesday, January 24, 2001 8:04 AM To: xxxxxx@HRINET.ORG Subject: Re: Cost sharing questions Craig - My understanding related to your scenario: First, volunteer time supported by a valid effort reporting time/log sheet would be acceptable as an in-kind match. Also, the value of volunteer services provided should be determined by the prevailing wage paid for similar duties performed, and is not necessarily limited to minimum wage. Secondly, even though volunteer wages are not expensed in the accounting system, F&A on this amount can still be determined and recognized as cost share. The value of "material" volunteer services enters the F&A mix when the rate is determined/negotiated with the federal cognizant agency since it becomes a component of the denominator in determining the rate. John D. Pepe Controller Stroud Water Research Center 970 Spencer Road Avondale, PA 19311-9514 Voice: (610) 268-2153, ext. 253 Fax: (610) 268-0490 E-mail: xxxxxx@stroudcenter.org -----Original Message----- From: Research Administration List [mailto:xxxxxx@hrinet.org]On Behalf Of Craig Reynolds Sent: Wednesday, January 24, 2001 8:12 AM To: xxxxxx@HRINET.ORG Subject: Cost sharing questions Hi All, I've posed these questions to a number of folks in my region and have received some, uh, "wildly divergent" answers. So, I'm going to put the issues to the broader RESADM community. First, the scenario: a Project Director needs to supply a 1:1 match on a non-research grant and wants to know if she may count her students' volunteer time on the project as an in-kind match. It's worth noting that the students aren't being paid, either with agency or university funds, although such pay would be considered an allowable and necessary direct cost. So, given there's nothing in the accounting system that could substantiate the effort, can we use this as in-kind cost share, provided we document the effort in a log and value it at minimum wage? (Personally, I'm real uncomfortable with this, but some folks have assured me that this practice has even survived an audit.) Second, I'm still confused as ever about using unrecovered F&A as cost sharing. I know that under A-110 Section 23 it is an allowable practice provided prior agency approval is given, but I'm confused about the implications of such a practice vis-a-vis A-21. As in the above scenario, there is nothing in the accounting system that would substantiate the cost share. Or am I missing something here? Moreover, wouldn't the unrecovered F&A used as cost sharing have to be taken out of F&A pool for future F&A negotiations? I appreciate your collective thoughts/wisdom on this! I've read A-110 and A-21 a number of times and still am not sure of the answers. Thanks, Craig -- Craig Reynolds / Office of Research and Sponsored Programs / Foust 251 / Central Michigan Univ. / Mt. Pleasant, MI 48859 / T: (517) 774-3859 / F: (517) 774-3438 / E: xxxxxx@cmich.edu ====================================================================== Instructions on how to use the RESADM-L Mailing List, including subscription information and a web-searchable archive, are available via our web site at http://www.hrinet.org (click on "Listserv Lists") ====================================================================== ====================================================================== Instructions on how to use the RESADM-L Mailing List, including subscription information and a web-searchable archive, are available via our web site at http://www.hrinet.org (click on "Listserv Lists") ====================================================================== ====================================================================== Instructions on how to use the RESADM-L Mailing List, including subscription information and a web-searchable archive, are available via our web site at http://www.hrinet.org (click on "Listserv Lists") ======================================================================