Dear Janet:

I have been in the same position regarding no established indirect cost
about six yers ago.  What we did here was require the subrecipent forward to
us specific information and we negotiated the rate for them to use.  Today
that would not do.  I suggest that you go to PHS Policy Statement, page
II-33 and II-34 and follow their instructions.  How the negotiations are
done will depend on what type of enity the proposed subrecipent is.

As for the other two, on the checklist they should check of the third block
under "3. Indirect Costs."

I would like to hear how others would handle this.

At 11:41 AM 5/19/99 -0800, you wrote:
>We are submitting an NIH R01 proposal which will include 3 subcontracting
>institutions.  One of them does not have any kind of indirect cost rate
>agreement at all.  The organization is a very small nonprofit.  Can they
>propose or estimate a rate to be used?  The two other subcontracting
>institutions on this same grant also do not have DHHS rate agreements, but
>one has a rate established with US Agency for International Development and
>the other a rate established with Local Independent Charities.  I assume
>it's OK to use these rates in the absence of anything else?
>
>Janet N. Dykes
>Director, Research Finance
>California Pacific Medical Research Institute
>415-561-1605
>
>
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