Indirect Cost Rates

To be applied to all grants, contracts and other agreements with federal, state and private entities.

Periodically, the University of New Orleans negotiates its Federal Indirect Cost Rate Agreement through the U.S. Department of Health and Human Services. The current agreement, dated July 9, 2007, is effective from July 1, 2007 through June 30, 2010. The rates shall be enforced until amended by further negotiation. The approved rates are:

Indirect costs are calculated on all direct expenses except:

equipment, fellowships, scholarships, tuition, off-site facility rental costs and the portion of subgrants or subcontracts in excess of $25,000.

U.S. Department of Education and Louisiana Department of Education Teacher Training grants have a mandatory 8% indirect cap. Indirect rates may be negotiated for proposals to state and municipal agencies and private foundations. Negotiated rates in these cases must be submitted for approval of the Vice Chancellor for Research and must have sufficient basis to support the proposed indirect rate. Often the terms for indirect rates are quoted in the literature of the funding agency or private foundation funding source. The federal rate is charged on all proposals to private industry sponsors, unless proposals are under $10,000.