Matt,

Slightly longer explanation:

The F&A rate is made up of two components Facilities and Administration.

Since the Federal government caps the Administration component at 26%, off-campus rates, which do not contain the Facilities component, generally are 26%. Some institutions have off-campus rates below that, but it is rare that administrative costs at an  institution fall below the cap.

When using an off-campus rate, it is allowable to direct charge those costs which would normally be in the facility component of your on-campus rate. An example of this would be rental fees incurred for a facility which would most likely include utilities, janitorial services, etc.

At my institution, because we have had some large off-campus rental locations, we considered them to be on-campus, extended some campus services to them (telephone, internet, janitorial services, etc.) and charged our full on-campus rate. We then internally charged the associated costs against the F&A recovery.

Larry

~~~~~~~~~~~~~~~~~~~~~~~
Larry Waxler, Director
Office of Sponsored Programs
University of Southern Maine
1 Chamberlain Avenue
P.O. Box 9300
Portland, ME  04104-9300
Telephone: 207-780-4413
Telefax: 207-780-4927

>>> "Barron, Jennifer" <xxxxxx@JHSPH.EDU> 2/20/2013 1:30 PM >>>
Yes. A simplified explanation is it's essentially just the "A" of our "F&A". No facilities costs are included.

From: Research Administration List [mailto:xxxxxx@lists.healthresearch.org] On Behalf Of Matthew Katz
Sent: Wednesday, February 20, 2013 1:27 PM
To: xxxxxx@lists.healthresearch.org
Subject: [RESADM-L] off-campus indirect cost rates

Does anyone have an off-campus federally negotiated indirect cost rate that's different from their on-campus rate and can you explain to me how that works?  Thanks
Matt

Matthew D. Katz, MHA
Assistant Vice President,
Sponsored Research and Contracts Management
Western University of Health Sciences
309 E. 2nd Street
Pomona, CA  91766-1854
(909) 469-5567
(909) 469-5569 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.healthresearch.org (click on the "LISTSERV" link in the upper right corner)

A link directly to helpful tips: http://tinyurl.com/resadm-l-help ======================================================================

======================================================================
 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.healthresearch.org (click on the
 "LISTSERV" link in the upper right corner)

 A link directly to helpful tips:  http://tinyurl.com/resadm-l-help
======================================================================

======================================================================
 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.healthresearch.org (click on the
 "LISTSERV" link in the upper right corner)

 A link directly to helpful tips:  http://tinyurl.com/resadm-l-help
======================================================================