Osu F&A Rate Agreement: Understanding the Basics
If you are working in the field of research, you may have come across the term “F&A rate agreement.” This refers to the indirect cost rates negotiated between Oregon State University (OSU) and the federal government for sponsored projects.
In simple terms, F&A stands for “Facilities and Administrative” costs. These are the expenses associated with conducting research that are not directly related to a specific project. Examples of such costs include utilities, rent, and administrative support.
OSU negotiates its F&A rate agreements with the federal government`s Office of Naval Research and Department of Health and Human Services (HHS). The university`s F&A rate is calculated as a percentage of the direct cost of the project (i.e., the costs directly attributed to the research). This indirect cost rate helps to cover the expenses associated with conducting the research.
The F&A rate agreement is important because it affects the amount of funding that OSU receives for sponsored projects. The higher the F&A rate, the more support the university can receive to cover indirect costs associated with research.
It is worth noting that the F&A rate does not apply to all sponsored projects. Some private sponsors, such as foundations and corporations, may negotiate different rates based on their own guidelines. However, for most federally-funded sponsored projects, the F&A rate agreement is a critical component of the funding process.
OSU`s current F&A rate agreement with the federal government was negotiated in 2016 and is set to expire on June 30, 2021. Negotiations for a new agreement will begin in the near future.
In conclusion, the F&A rate agreement is a crucial aspect of research funding at OSU. It helps to cover the indirect costs associated with sponsored projects, and it has a direct impact on the university`s ability to receive funding for research. Understanding the basics of the F&A rate agreement will help researchers and administrators navigate the funding process with greater ease.
