You are allowed to apply F&A to the first $25,000 of the entire project period.  If the subaward for the first year is equal or greater to $25,000 then you will recover the entire amount of F&A allowed during the first year; however, if it less, then you may recover F&A over multiple years until you reach the $25,000 threshold.

Judy

Judy L. Bristow
Director
Sponsored Programs Grants Administration
University of Louisville
MedCenter One, Suite 315
501 E. Broadway
Louisville, KY  40202

502.852.8934 (B)
502.852.2594 (F)
502.905.7886 (M)

-----Original Message-----
From: Research Administration List [mailto:xxxxxx@lists.healthresearch.org] On Behalf Of Scott Niles
Sent: Tuesday, September 11, 2012 1:58 PM
To: xxxxxx@lists.healthresearch.org
Subject: [RESADM-L] MTDC/subaward question

Hi folks,

Quick question:
If we are developing a 5-year budget, and included in that budget is a subaward to another institution (let's say it's a total of $250,000 over the entire 5-year project period), is my institution allowed to take indirect costs from the first $25k for each project year, or only the entire project period?

Our institution tends to do one year contracts on such multiyear projects for subcontracts, and renew them each year; however, my argument is that the project is one large scope of work for a multiyear period, and as such, we should only take indirects from the first $25k for the total five year cost of the subaward.

I would appreciate everyone's take on this.

Thanks!
Scott

Scott Niles, MA, CRA
Grants and Contracts Administrator
Office of Research and Sponsored Programs Morehead State University
901 Ginger Hall
Morehead, KY 40351
Phone: 606-783-2278
Fax: 606-783-2130
Web site: http://www.moreheadstate.edu/research

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