The Office of Research Services (ORS) is providing the following written procedure in order to streamline the process of the submission of proposals with less than full F&A.
UIC applies the full negotiated Facilities and Administrative Rate (F&A, or indirect cost) to all externally-sponsored projects. Note: The rate for industry-sponsored clinical trials is currently 25% of total direct costs.
In very limited circumstances, a variance from the full negotiated F&A is permitted provided there is sufficient documentation to support the variance. Documentation may be one of the following:
- A copy of the sponsor's most recent published request for proposal or program description clearly stating the applicable F&A; or
- A copy of the sponsor's most current published guidelines or standard policy regarding the applicable F&A (letters or emails from sponsors do not constitute published policy).
Both the Proposal Approval Form (PAF) and the supporting documentation listed above must be submitted to ORS. A waiver request form will not be required when the guidelines or published policies are clearly articulated.
Any other variance in F&A from the UIC federally-negotiated rate or sponsor-approved full rate will rarely be approved. Normally these will need to be handled as an internal matter within your Department and/or College and will be considered institutional support. If an exception is requested, the new waiver request form should be used.
When the sponsor is a foundation/not-for-profit that has limits on administrative costs, all applicable sponsor-allowed direct administration costs must be requested in the project budget. In the unfortunate case that a not-for-profit sponsor has no published guidelines AND refuses to reimburse the University for applicable F&A, we ask that a de minimis rate of 10% of total direct costs be applied (this relies on the same guidance given to us from the federal government regarding sub-recipients without negotiated rates).
If you have any questions regarding this procedure, please contact ORS at 312-996-2862 and you will be connected with a Sponsor Project Specialist who can assist you.