I was wondering if anyone with experience in cooperative agreements could answer a question concerning indirect cost limitations. My agency has a 10% ICL on cooperative agreements with non-profit recipients. With such a restriction in place, is it proper to allow such recipients to claim as contributions those amounts of indirect costs that are above the 10% mark?

For example, a non-profit recipient that has a prior approved 25% indirect cost rate receives award of a cooperative agreement that includes a 10% ICL. Due to the ICL the recipient can be reimbursed for only 10% of their indirect costs. But, can the recipient apply the remaining 15% as part of their contribution amount?

By Anonymous on Thursday, May 17, 2001 - 10:26 am:

In other words, are otherwise approved indirect costs allowable costs when they are above an IDL.

By Ndepass on Monday, December 17, 2001 - 02:29 pm:

The 15% should be applied as an amount contributed. We assume that the 25% rate is audited and the makeup of the cost pool contains approved costs in line with the applicable circulars.