Activities carried out by University personnel under agreement with other State agencies entail F&A costs as well as direct. State policy allows F&A costs on awards to universities to be applied in accordance with the federal F&A cost reimbursement rates pursuant to OMB Circular A-21.
In accordance with Grants Information Memorandum 13, and the above citation, provision for full F&A cost recovery should be included in grant and contract proposals to State agencies except where F&A cost recovery is limited or excluded by statute.
Questions concerning this matter may be directed to Office of Sponsored Programs, extension 3-4043.
JY