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Facility & Administrative Costs
(formerly called indirect cost rate)
The federally negotiated facility & administrative costs rates are:
On-campus: 54% of salaries and wages
Off-campus: 12% of salaries and wages
The facility & administrative cost base is total salaries and wages (S&W Base) only; fringe benefits are not included in the calculation. The date of the university's current DHHS
Finance & Administrative Cost Negotiation Agreement is June 15, 2004, and the
rate is effective until August 31, 2008. TWU's Point of Contact (POC) for our
federally negotiated F&A rate is Arturo Cornejo (Phone: 214-767-3313).
Some agencies and particularly foundations and corporations will not agree to pay our federally negotiated rate. One exception is the U.S. Department of Education which frequently indicates on budget forms that the maximum allowable indirect cost rate is 8% of total direct costs (not of salaries and wages). Indirect cost rates cannot be changed arbitrarily. TWU may agree to waive collection of all or a portion of indirect costs when required by a sponsor or for other valid reasons. Such waivers must be requested and approved by the
Director of the Office of Research & Sponsored Programs prior to submission of the proposal.
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