Facilities and administrative (F&A) costs, also known as overhead or indirect costs, are those costs that are incurred for common or joint objectives and therefore cannot be identified readily and specifically with a particular sponsored project, an instructional activity, or any other institutional activity. F&A costs, then, cannot be specifically allocated as a direct cost to any particular sponsored project but are assessed as a percentage of direct costs. F&A costs are real and reimburse the School for costs incurred in the conduct of research, education, or outreach projects. F&A is not profit. Examples of F&A are utilities, maintenance and upkeep of facilities, and library costs. The Office of Research Administration at the Jack, Joseph and Morton Mandel School of Applied Social Sciences, in conjunction with the Dean, is charged with the responsibility of recovering all allowable F&A costs on externally-funded projects. Every grant or contract proposal from the Mandel School is expected to request support for F&A, although the Dean may grant a reduction or waiver pursuant to the F&A Waiver Policy. As a unit of Case Western Reserve University, the Mandel School utilizes the University’s negotiated Federal F&A rate agreement which is negotiated with the University’s cognizant Federal Agency, the Department of Health and Human Services (DHHS). The rate is calculated using a Modified Total Direct Costs (MTDC) base and is subject to administrative change by the University. The current Federal F&A rates are:
- On-Campus: 61.0%
- Off-Campus: 26.0%
In addition, the Mandel School maintains the following rates based on Sponsor and Program type:
|Sponsor or Program Type||Rate & Base|
|*Student Intern/Fellowship Support (ONLY)||0%|
|**Mandel School Standard Training/Consulting Contracts||10% TDC|
|***Local/State Government||20% TDC|
|Profit (Industry)||On-Campus Federal Rate|
*The School will waive F&A for projects that solely support student internships, fellowships, or scholarship, unless sponsors allow F&A for these activities in their written policies, funding descriptions or proposal guidelines.
**This refers to a standard contract template previously approved by CWRU Legal and ORTM departments and is tied to specific speedtypes.
***If a Local, State, or Non-Profit program allows a higher F&A rate as documented in a particular program announcement or opportunity, that higher rate will be used. If a sponsor’s written policy (as applied to all applicants) prohibits or restricts F&A, then the request is limited to the allowable amount. Documentation of sponsor restrictions must be provided to the School (and documented in Sparta) as it reviews the proposal.
Approval Date: November 23, 2015