MONTANA BOARD OF REGENTS OF HIGHER EDUCATION
 Policy and Procedures Manual

SUBJECT:  RESEARCH AND PUBLIC SERVICE
Policy 404 - Indirect Cost Recovery Rate
Effective January 31, 1986; Issued February 24, 1986

Board policy:

1. The indirect cost recovery rate for the units of the Montana University System shall be as follows:

a. Federal project grants or contracts: The annually determined, federally audited rate for each unit shall be used;

b. State project grants or contracts:

(1) For grants or contracts for research, the indirect cost recovery rate shall be 20 percent of total direct costs or 30 percent of salaries, wages and benefits, whichever is less.

(2) For training programs, the indirect cost recovery rate shall be 8 percent of total direct costs.

(3) For all grants or contracts where the original source of funds is a federal program, the federally audited rate for the unit receiving the grant or contract shall be applied.

c. Private individual or corporation project grants or contracts:
The indirect cost rate negotiated by each unit shall be used.

d. In special circumstances, the units are authorized to use indirect costs to meet required cost sharing in grants and contracts.

e. When two or more units of the Montana University System are seeking the same grant or contract, they will use the rate established by this policy or will use the same rate.

History:

Item 23-001-RO379, Indirect Cost Recovery Rate (Revised), Montana University System, May 30, 1979 and January 31, 1986.