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Re: grants with small companies Sandra Mann 22 Jun 1995 08:42 EST

>Tony Silbert, wrote:
>
><Just my opinion, but I think the basic policy that the institution
>shouldn't
><take on any research project that costs them money is reasonable and anyone
><desiring concessions should squirm and produce serious justifications.  I
><think a policy that relieves the investigator of this process is another
>step
><backward in the battle to present indirect costs as _real_ costs.
>
>Good point , well taken!  This is an educational issue which, unfortunately,
> has been ambiguous in giving mixed signals to faculty.   It's our role to
>help correct that misinformation to the "reality challenged."
>
>Diane Gilbert wrote:
>
><For those of you who do "negotiate" with companies, how
> <      do you justify to the federal auditors that you charged industry
> <      (separate from clinical trials) a lower rate than you do the feds?
> <     Being currently in the position outlined, general comments would also
> <      be greatly appreciated on this topic.  (I do fully appreciate and
> <      sympathize with the faculty position, but the thought of the
>potential
> <      of jeopardizing the federal indirect cost rate restrains acting on
> <      that sympathy.)
>
>Outside of changing wet diapers for a baby, few people look forward to or
>actually appreciate change!!!    Industry has historically given small
>amounts of support in a largely government sponsored research arena, for
>which they felt little need to add additional administrative/facility
>support.    Past practice reinforces this mind set, which now challenges
>this tension in a new era of a completely different portfolio of sponsored
>research.
>
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>Gary P. Naegel
>Administrator, Pharmacology
>Yale School of Medicine
>333 Cedar Street  P.O. 208066
>New Haven, CT  06520-8066
>(203) 785-4373
>FAX: (203) 785-7670
>xxxxxx@yale.edu

>

AT UF, I recommend that industry be charged the full federal rate when
possible, using the offsite rate if the project is done on the commercial
entity's site.  If small and local entity's cannot handle the full overhead
and if there is a reasonable and intelligent reason for still wanting to do
the project, if it is a simple fixed fee lump sum agreement with little or
no administrative requirements we will charge the federal reate for "other"
which is abot 20%.   Showing reduced indirect as the University's cost
sharing to make up the difference between what you are actually getting and
the federal rate may also help show that the indirect cost, while reduced is
still an actual cost to the university.  Hope this is some help.
Sandra Mann, MPA  xxxxxx@nervm.nerdc.ufl.edu
Assistant Director, University Research
University of Florida
219 Grinter Hall
Gainesville, Florida 32611