Notes

• Use the above rates from the Facilities & Administrative Cost Rate Agreement (effective Feburary  27, 2024) on new, renewal, revision and competitive supplement grant, contract or subaward/subcontract proposals submitted to government or non-profit agencies without an approved indirect cost policy waiver in place. 
• Revised F&A rate agreement (June 24, 2024) to add composite benefit rates (CBR) 2024-2025.
• Revised F&A rate agreement (December 21, 2023) to add composite benefit rates (CBR) 2022-2024.
• Revised F&A rate agreement (May 13, 2023) to add composite benefit rates (CBR) 2021-2022.
• Revised F&A rate agreement (June 29, 2020) to add the new composite benefit rates (CBR).
• Use "Febuaray 27, 2024" as the DHHS agreement date on the NIH application checklist page, or when an agreement date is requested by other funding agencies. 
• Awards issued with the November 27, 2017 rates will continue to apply the old rates through to the end of the competitive segment. Apply the new rates  to any competitive renewals.
• Awards issued with the May 23, 2012 rates will continue to apply the old rates through to the end of the competitive segment. Apply the new rates  to any competitive renewals.

Each UC campus negotiates its own F&A rates with the Department of Health & Human Services (DHHS). When UC campuses collaborate on sponsored projects, each campus applies its own negotiated F&A rate to its Modified Total Direct Cost (MTDC) base, and includes those F&A costs in the budget submitted to the applicant campus.

• The total (direct + F&A) cost of UC Subcontracts/Subawards (out to other UC campuses) is always exempt from F&A costs at UCSF on Federal awards (non-Federal applications will vary per policy).
• The applicant campus excludes the collaborating campus’ total costs from its Modified Total Direct Cost base calculation. Include the total cost of the UC subcontract as a direct cost in the UCSF budget, but the exclude the entire UC subcontract from the UCSF MTDC calculation.

UC Campus to Campus Indirect Cost Application Job Aid 

• Completely On- and Off-Campus Projects
• Multiple Project Sites (On- and Off-Campus) 
• UCSF Federal Rate Agreement Language
• Moving from Off- to On-Campus Locations
• Working from Home

On vs. Off-Campus

Multiple Project Sites (On- and Off-Campus)

• If a project is conducted partially on-campus and partially off-campus, apply the on- or off-campus rate based on where the majority of the work of the project is to be performed. UCSF salary costs should be used as the term of measurement.
• Simultaneous use of both an on-campus and off-campus rate for a project may be allowable for any given year if all of the following conditions are met:
  • The project is significant (total UCSF salaries, excluding fringe benefits, for the project exceed $250,000/year)
  • The on-campus and off-campus portions of the project can be identified clearly by means of separate budgets
  • The UCSF salary and wages associated with each portion (the on-campus and off-campus portions) of the project must total at least 25% of the total project costs.
• When applying the above criteria, all subcontract/subaward costs should be excluded.
• A separate analysis must be conducted annually.
• Formal approval for the use of both on- and off-campus rates for a competitive project is required from Office of Sponsored Research. Approval must be obtained prior to proposal submission.

UCSF Federal Rate Agreement Language

• Off-Campus Rate: The off-campus rate is applicable to those projects conducted at facilities not owned or leased by the University. If the project is conducted in leased space, and lease costs are directly charged to the project, the off-campus rate must be used.
• Projects Conducted Entirely On-Campus or Entirely Off-Campus: Projects conducted entirely on-campus or entirely off-campus will apply the on-campus or off-campus rate respectively.
• Projects Conducted Partially Off-Campus and Partially On-Campus*: If the project involves work at both on-campus and off-campus sites, either the on-campus or off-campus rate should be applied in most cases, consistent with where the majority of the work is to be performed.  Generally, UCSF salary cost is accepted as a measure of work performed in terms of the total project.
• Use of Both On-Campus and Off-Campus Rates (Split Rate)*: The use of both on-campus and off-campus rates for a given project may be justified if both of the respective rates can clearly be identified with a significant portion of UCSF salaries and wages of the project.  For purposes of this provision, significant is defined as approximately 25% or more of the total costs (excluding subcontracts/subawards) and a project’s total UCSF salary and wage costs exceed $250,000.

*NOTE: Cost shared salaries identified as mandatory or voluntary committed cost sharing (i.e. effort on sponsored agreement budget with no pay) should be included when reviewing UCSF salary costs for determining application of on-campus or off-campus rates and split rates.

Guidance: When Faculty Move From Off- to On-Campus Locations

•  The campus does not expect support for researchers’ efforts to be negatively impacted by a change in their work location. As a result, researchers will not be asked to “make up” for any change in indirect rates through a reduction of their direct cost budgets.
•  Efforts by C&G Accounting and Office of Sponsored Research will be made to negotiate a change in the indirect rates to reflect the proper location of the work with the goal to capture as much of the indirect costs as possible.
•  If a negotiation to a new, higher rate is not possible, the budget will not be revised until there is a competitive break that will allow for inclusion of the new on-campusrate.
• Following competitive breaks, awards are expected to include the on-campus indirect rate. Waivers for exceptions must be supported by the EVCP.

Working From Home

The Office of Sponsored Research has been receiving requests for the off-campus F&A rate (26% rate) due to researchers working from home.  This guidance is to provide additional instructions on the F&A rate that should be applied for research being conducted at a domestic residence.

1. The off-campus F&A rate will not be applied when a principal investigator (PI) conducts research via telework on his/her project off campus from a domestic residence for convenience.
2. All University research activity should be assigned space in a University owned or leased facility or a facility under agreement with another entity. 
3. The F&A rate that was approved at the time of the awarded grant or contract should continue to be applied, even if the research staff are working remotely, as research operating costs continue to be incurred.
4. The off-campus rate is applied when the sponsored project is covering lease costs and other facilities-related costs as direct costs to the project.
5. Lease costs may only be charged to a sponsored project for leases where the University is a party to a signed contract.  All lease agreements should be developed and negotiated under the auspices of the UCSF Department of Real Estate or the appropriate body at UCOP or another UC campus.
6. Rent costs associated with domestic residences may not be charged to UCSF sponsored projects.