Whenever possible, facilities and administrative costs should be charged to a project's grant.
Facilities and administrative expenditures are related to a particular research project but are not easily assigned to a particular budget category. They include costs incurred by the college for utilities, building space, and administrative services. Where allowed, project budgets should include the approved negotiated facilities and administrative rate. In all cases, the maximum amount allowable (predetermined rate with the Department of Health and Human Services 07/01/2013 to 06/30/2017, dated July 25, 2013) should be charged to the grant:
Private contractual arrangements and other agreements may utilize a different rate.
The waiver of facilities and administrative costs is inconsistent with college policy. When extenuating circumstances dictate, modified facilities and administrative costs may be employed by the director of grants and contracts.
It is extremely important, however, for grant proposals to include the maximum facilities and administrative reimbursement so that budgets for academic programs and general operating funds are not depleted by the cost of research projects. If the sponsor limits facilities and administrative costs, the reduction should appear in the budget as a college contribution to the project.