VCOM Institutional Policy and Procedure Manual

VCOM Policy and Procedure

Policy #R015

Edward Via College of Osteopathic Medicine

Policy Order No: R015 Effective Date:

August 25, 2014

Signature on File ____________________________________________ Dixie Tooke-Rawlins, D.O. Provost, Executive Vice President and Founding Dean Signature on File ____________________________________________ James F. Wolfe, Ph.D. President

VCOM Consistency in Charging Administrative and Clerical Costs Policy

1. PURPOSE .......................................................................................................................................... 1

2. POLICY ............................................................................................................................................. 2

3. PROCEDURES ................................................................................................................................. 2

4. DEFINITIONS .................................................................................................................................. 3

5. REFERENCES.................................................................................................................................. 3

6. DURATION OF POLICY................................................................................................................ 3

1. PURPOSE

Per S ection 200.413 of the Office of Management and Budget, “ Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards”, direct costs are those costs than can be specifically identified with an award or that can be directly assigned to such activities relatively easily with a high degree of accuracy. Costs incurred for the same purpose in like circumstances must be treated consistently as either direct or indirect (F&A) costs. Consistency in this context means all costs incurred for the same purpose, in like circumstances, must be treated uniformly as either direct costs or as indirect costs. For example, certain types of costs, such as the salaries of administrative and clerical staff, fringes, office supplies, postage, etc. are normally treated as indirect (facilities and administrative) costs. These same types of costs cannot be charged directly to federally sponsored agreements, unless the circumstances related to a particular project are clearly different from the normal operations of the institution. The consistency standard must be applied to all departmental administrative expenses. Departmental administrative expenses normally include such activities as answering the telephone, making appointments, performing word processing tasks, preparing proposals, making travel arrangements, ordering supplies, and keeping records for the department or unit. The costs associated with these

VCOM Consistency in Charging Administrative and Clerical Costs Policy

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