Unrecovered Indirect Cost Sharing
Unrecovered indirect cost sharing applies to any grant or contract
where all the following apply:
- there is a cost share pledge on the award or sponsor approval,
- the award or sponsor rules state that the sponsor accepts "unrecovered
indirect costs" as a valid cost share contribution,
- the award's
Facilities and Administrative (indirect) cost rate is less than
the Univerisity's standard F&A rate, which is the federally negotiated rate.
Sometimes the University's F&A (indirect cost) rate is higher than the
rate agreed to on an award. As a result, the University is reimbursed
for fewer overhead costs by the sponsor. In this situation, the University
ends up with a shortfall called "unrecovered indirect costs". Some
sponsors allow this shortfall to be applied as a cost share contribution.
When a budget has cost sharing that includes unrecovered indirect cost,
Grant and Contract Accounting (GCA) adjusts the calculated cost sharing on a
quarterly basis.
If unrecovered indirect costs are used to satisfy a portion of a cost share
pledge, periodically review the budget driver to verify GCA has applied
any allowable unrecovered indirect costs to the cost share pledge. This
cost share will be listed in the budget driver (BGT/screen 6 - Faculty
Effort Certification/screen 03 - Cost Share Inquiry Screen, under object
code 25-99). If you have any questions, send an email to gcaques@u.washington.edu.
If you:
- are preparing your proposal or waiting to hear about a
submitted proposal, contact Grant and Contract Services (GCS) via:
- have cost share questions on your award, contact Grant and
Contract
Accounting (GCA) via:
- have faculty effort questions on your award, contact Management
Accounting and Analysis (MAA) via:
