We are implementing a new incentive plan for research whereby a fixed percent
of indirect cost recovery (and other variables) are returned to the
investigators.  Through this discussion a few questions have surfaced and I am
sharing them with the listserve participants in the hope of receiving some
insight into how others are treating similiar situations.

The first of two questions:
 What policy does your institution have with respect to an
 investigator's request to reduce an audited indirect cost rate
 in order to meet the budget parameter of a perspective sponsor?

 All too often we hear the PI say:"My budget is already bare-bones.
 The only place I can cut is the indirect cost rate."

Second question involves "liaison" or industrial work:
 What policy does your institution have with respect to managing
 the interactions between faculty (research centers and institutes) and
 industrial concerns?  Specifically I would like to know if there
 are institutions charging different indirect cost rates for sponsored
 research funded by public companies vs. "purchase of service" type work
 performed for public companies.

 We have in place larger centers/institutes that charge  "liaison
 membership" fee to companies that benefit from the collaborative efforts
 of a center.  In addition specific "liaison projects" are sometimes an
 offshoot of this membership and are funded separately - since the work is
 often very specific and unique to the company.  Often the PI will ask for
 a break on the IC since the company is a "paying" liaision member.  What
 if any of you have a policy with respect to such a situation?

Does any of this sound familiar?  If you would like to share your experiences
please respond either thru the server or directly to me.

Thanks

Tom

Tom Meischeid, Director
Office of Research & Sponsored Programs
Lehigh University
e-mail: xxxxxx@ lehigh.edu
telephone: (610) 758-3021
fax: (610) 758-5994