Re: Indirect cost allocation David R. Fielder 09 Oct 2001 11:54 EST

Of course, if you use recovered IDC to internally fund new research, your Direct cost base will increase resulting (all things being equal) in lower IDC rate, reduced IDC recovery, etc. (unless you also subsidize the IDC applied to that new research).

Why not simply use the IDC for what it's actually recovered for - offsetting real IDC of the institution?  Then, if you want to give PI's funds to do research out of endowments, etc., simply do so, also charging appropriate IDC to those gift funds, of course.

This would certainly help stamp out the perception of PI's that recovered IDC is "funny money" that we administrators can just play games with.

You can probably tell this is just about my favorite pet peeve......


> Date:    Mon, 8 Oct 2001 09:51:37 -0700
> From:    Amy Hibbard <xxxxxx@KGI.EDU>
> Subject: Indirect cost allocation
> Hello all-
> I'm conducting an informal survey of the various policies regarding indirect
> cost allocation.  We're researching the feasibility flowing back of a
> portion of these funds to internal research, and I was wondering how other
> institutions allocate their recovered IDC.
> If funds flow back to fund research, what percentage is returned and what is
> kept for institutional overhead costs?
> How are these flow-back funds allocated within the research structure, i.e.
> a general research fund, department fund, individual PI support?
> How is the spending of recovered IDC funds monitored and by whom?
> Any guidance you can give me will be very helpful.  We're starting to firm
> up our practices into formal policies, and I'd like to create a good
> foundation to work from.
> Thanks,
> Amy
> "All power corrupts, but we need the electricity."
> Amy Hibbard
> Grants Administrator
> Keck Graduate Institute of Applied Life Sciences
> 535 Watson Drive, Claremont, CA 91711
> T: (909) 607-9313 / 607-7855
> F: (909) 607-8086
Mr. David R. Fielder                    tel: 415.600.1600
Vice President, Research                fax: 415.600.1753
Research Institute                 email:
California Pacific Medical Center  website:
2340 Clay Street,  5th Floor
San Francisco, CA 94115

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