Valerie, we would not conisder this a subcontract as envisioned by our
F&A rate agreement. This sounds more like a purchase of services and
not  subcontracting  a part of the substantive effort under the prime
agreement. In this case, I think you F&A rate would apply to the entire
amount of the purchase order.

Steve

On Thu, 2 Dec 1999 15:29:14 -0500 Valerie Seaquist
<xxxxxx@EMAIL.UAH.EDU> wrote:

>         I believe that we all agree that F&A (indirect) should be
> charged only to the first $25K of a subcontract issued under a contract
> or grant. I'm curious as to how other universities would handle the
> following situation:
>
>         A university purchase order is issued (from a contract/grant
> account) to a company/individual/whatever in an amount greater than
> $25K for something such as computer lab. maintenance, calibration of
> equipment, machining of parts. (This is just a regular requisition =
> purchase order situation not a university subcontract under a prime
> with university T&C's and prime flow-down clauses.) Should we charge
> indirect on only the first $25K of this purchase order amount? If so,
> are we saying that this purchase order is a subcontract? If not, why
> not?
>
> As always, thank you for your input.
>
> Val Seaquist
> Office of Research Administration
> The University of Alabama in Huntsville
> 256-890-6000 x 228
> 256-890-6677 (fax)
> xxxxxx@email.uah.edu
>
>
> ======================================================================
>  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.hrinet.org (click on "Listserv Lists")
> ======================================================================

----------------------
Stephen Erickson
Director, Office of Research Administration
Boston College
Telephone: 617-552-3344
Local fax: 2-0747
Fax from Off-Campus: 413-895-8328

======================================================================
 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.hrinet.org (click on "Listserv Lists")
======================================================================