Re: allowable cost? Herbert B. Chermside 19 May 2004 09:58 EST
WOAH!!! DANGER!!! The problem is differentiating between F&A charged (or reduced, or waived), and Recovered F&A. The F&A Revenue recovered is the institution's to do with as it will. Though you have to be careful that the use doesn't contravene F&A rate development rules. I suggest, to avoid confusing this revenue with F&A Charged that you decide to give that revenue account a name that CLEARLY differentiates, so those who are not skilled in sponsored programs finance don't get confused. Maybe "Recovered Indirect" -- that tells where it came from but avoids "F&A" in the name. I also suggest that the revenue in this account is moved to other accounts (as revenue or budget authority) and spent from there. Much cleaner! This also makes sure that when spent, the purpose of the expenditure goes into the correct F&A pools (including purposes unallowable under A-21 for F&A pools). And decisions about using this recovery should be made at an institutional level. One use for some of it might be to go back to the dean, chair, and/or PI whose project(s) earned it. Or you can move it to pay for some of the utilities, library, or whatever pools generated it. Michelle, technically you can use these RECOVERIES in the ways you suggested, IF the institutional policies provide for it. For example, some of the recovery may go into a pool from which matching funds (I assume you mean specifically Mandatory Committed Cost Sharing) can be committed; I suggest this use be under the control of, say, a dean, or in a small institution, even higher. "Faculty may pay themselves salary" sounds like you are confusing these recoveries with F&A charges, but if the recovery went to a department chair, he could use the funds to pay (non-sponsored) salaries, or, better yet, to pay teaching faculty who need to cover his department's teaching responsibilities when faculty on sponsored programs get release time for paid sponsored work. Chuck At 09:45 AM 5/19/2004, you wrote: >Good morning..you mean F&A can be used as matching funds on federal >awards; that faculty may pay themselves salary? Thanks >Michelle > >At 04:15 PM 5/18/2004 -0400, you wrote: >>Recovered F&A is yours to use in any way you see fit. It is NOT "federal >>funds" in the manner meant when regs say you can't use federal funds to >>lobby. However, use should follow whatever policies you have internally >>for using institutional funds for lobbying. >> >>Chuck >> >> >>At 03:52 PM 5/18/2004, you wrote: >>>Good Afternoon, >>> >>>Can one use recovered F & A costs to pay a consultant who will be doing >>>what could be defined as lobbying activities? >>> >>>Thank you, >>> >>>Lori Messer, MPA, CRA >>>Director >>>Research & Sponsored Programs >>>Wake Forest University >>>P.O. Box 7528 Reynolda Station >>>Winston-Salem, NC 27109 >>>(336) 758-5888 >>>(336) 758-1959 fax >>> >>> >>>====================================================================== >>>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") >>>====================================================================== >> >>Herbert B. Chermside, CRA >>Special Asst. to VP-Research >>Virginia Commonwealth University >>PO BOX 980568 >>Richmond, VA 23298-0568 >>Voice: 804-827-6036 >>Fax 804-828-2051 >>e-mail xxxxxx@vcu.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") >>====================================================================== > >Michelle M. Plaud, CRA >Assistant Director >Grants & Contracts >University of Massachusetts Dartmouth >508 999-8509 (voice) >508 999-8868 (fax) > Herbert B. Chermside, CRA Special Asst. to VP-Research Virginia Commonwealth University PO BOX 980568 Richmond, VA 23298-0568 Voice: 804-827-6036 Fax 804-828-2051 e-mail xxxxxx@vcu.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") ======================================================================