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Guidelines for Indirect Costs

Facilities and Administrative Costs

Rates are negotiated every three years with the federal government and are based on legitimate costs of utilities, facilities, and administration not charged on a pro rata basis in grants. The rate applies to all federal grants and contracts and is used as a guideline in determining indirect costs for other granting agencies. Unless specifically prohibited by an agency, indirect costs must be included in all proposal budgets.

Colgate's Current Facilities and Administration (F&A) Rate

On campus: 51% of modified total direct costs (MTDC). Includes all direct costs except: capital expenditures (individual items of equipment costing >$5,000, buildings, alterations or renovations); that portion of each subaward in excess of $25,000; student support costs (e.g. student stipends during the academic year, scholarships, fellowships); and rental/maintenance for off-site activities.

Off campus: 20% of modified total direct costs (exclusions above). This rate is used for projects performed in facilities not owned by Colgate and to which rent is directly allocated to the grant, if more than 50% of the project is performed off-campus.