Facilities & Administrative Costs (Indirect Costs)

F&A - Indirect Costs

Facilities & Administrative (F&A) costs are those costs associated with providing and maintaining the infrastructure that supports the research enterprise (buildings and their maintenance, libraries, etc.) and which cannot easily be identified with a specific project. The university encourages including the appropriate F&A costs in all proposal budgets, unless the sponsor specifically prohibits them, and it expects that F&A costs will be recovered to the maximum extent possible.

WSCU has a negotiated indirect rate to be used on all grant applications to federal agencies and other funding agencies. This negotiated rate is 38%.

When an F&A rate lower than the appropriate university approved rate is used, the rate is applied to all direct costs (i.e., the base to which the F&A rate is applied is total direct costs, not modified total direct costs), unless the sponsor specifically excludes certain categories.

Western State Colorado University established the “Indirect Cost Recovery Fund” where recovered indirect costs collected on federal grants are deposited. Recovered Indirect Costs will be distributed between the Indirect Cost Recovery Fund and the principle investigator’s (PI) or program director’s (PD) department. For a copy of the policy for distribution of Finance and Administration Costs contact the Office of Sponsored Programs and Grants.