Direct Cost Limit - Third Tier F&A Question Joanne Cobble (30 Aug 2013 14:36 EST)
Re: Direct Cost Limit - Third Tier F&A Question Wood, Roger (30 Aug 2013 15:04 EST)
Re: Direct Cost Limit - Third Tier F&A Question Sonavie Ong (30 Aug 2013 19:57 EST)
Re: Direct Cost Limit - Third Tier F&A Question Wood, Roger (30 Aug 2013 22:51 EST)
Re: Direct Cost Limit - Third Tier F&A Question Joanne Cobble (30 Aug 2013 20:05 EST)
Re: Direct Cost Limit - Third Tier F&A Question Marisa Steffers (30 Aug 2013 21:48 EST)
Re: Direct Cost Limit - Third Tier F&A Question Joanne Cobble (30 Aug 2013 22:15 EST)
Re: Direct Cost Limit - Third Tier F&A Question Moise, Jessica (31 Aug 2013 09:34 EST)
Re: Direct Cost Limit - Third Tier F&A Question Young, Katherine S (31 Aug 2013 10:53 EST)
Re: Direct Cost Limit - Third Tier F&A Question Moise, Jessica (31 Aug 2013 11:49 EST)
Re: Direct Cost Limit - Third Tier F&A Question Young, Katherine S (01 Sep 2013 11:12 EST)

Re: Direct Cost Limit - Third Tier F&A Question Marisa Steffers 30 Aug 2013 21:48 EST

why not just make the 3rd sub-contract a second sub-contractor of the prime?
________________________________________
From: Research Administration List [xxxxxx@lists.healthresearch.org] On Behalf Of Joanne Cobble [xxxxxx@FOUNDATION.SDSU.EDU]
Sent: Friday, August 30, 2013 9:05 PM
To: xxxxxx@lists.healthresearch.org
Subject: Re: [RESADM-L] Direct Cost Limit  - Third Tier F&A Question

Thank you. As we interpreted the guidelines....

Sent from my iPad

On Aug 30, 2013, at 5:01 PM, "Wood, Roger" <xxxxxx@INFOEDGLOBAL.COM<mailto:xxxxxx@INFOEDGLOBAL.COM>> wrote:

Joanne,
Consistent with how standard sub awards work, the total costs of the third-tier sub award formally include both directs and indirects of the sub – as direct costs on the second-tier sub and, by extension on the prime. However, for purposes of assessing compliance with NIH direct cost limits on awards (e.g., the $500,000 annual costs rule), the third-tier sub award costs would be excluded just as would the second-tier sub award  indirect costs.

Roger

Roger Wood, SR PRODUCT MANAGER
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From: Joanne Cobble <xxxxxx@FOUNDATION.SDSU.EDU<mailto:xxxxxx@FOUNDATION.SDSU.EDU>>
Reply-To: Research Administration Discussion List <xxxxxx@lists.healthresearch.org<mailto:xxxxxx@lists.healthresearch.org>>
Date: Friday, August 30, 2013 3:36 PM
To: "xxxxxx@lists.healthresearch.org<mailto:xxxxxx@lists.healthresearch.org>" <xxxxxx@lists.healthresearch.org<mailto:xxxxxx@lists.healthresearch.org>>
Subject: [RESADM-L] Direct Cost Limit - Third Tier F&A Question

We are trying to confirm if we would exclude the third tier subcontract F&A for the purposes of calculating the direct cost prior approval letter?
The NIH guidance isn’t very clear…
Thank you. Joanne

·       Direct costs:
o   In the rare case of third tier subawards, section F.5 “subawards/consortium/contractual” costs should include the total cost of the subaward, and the entire third tier award is considered part of the direct costs of the consortium for the purposes of calculating the primary applicant’s direct costs.
o   Cost Principles. Regardless of what cost principles apply to the parent grantee, the consortium is held to the standards of their respective set of cost principles.
·       F&A:
o   Consortium F&A costs are NOT included as part of the direct cost base when determining whether the application can use the modular format (direct costs < $250,000 per year), or determining whether prior approval is needed to submit an application (direct costs $500,000 or more for any year).

Joanne Cobble
Sponsored Programs Coordinator
Sponsored Research Development
San Diego State University Research Foundation
5250 Campanile Drive
San Diego, CA 92182-1931
619-594-5505
619-594-4950 (fax)
xxxxxx@foundation.sdsu.edu<mailto:xxxxxx@foundation.sdsu.edu>
http://www.foundation.sdsu.edu

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