On-Campus versus Off-Campus Facilities & Administrative Rate

When preparing proposal budgets, consideration should be given to whether the on-campus or off-campus negotiated Facilities & Administrative rate should be used as the basis for indirect cost reimbursement.

The on-campus rate should be used in most cases, but the off-campus rate may be appropriate when the research will be conducted at an off-site location. Locations where the off-campus rate is appropriate include buildings that are not owned by the University and, typically, are sufficiently remote from the University campuses to receive separate mail, telephone, and other intercampus support services. Departments should consult with OSR to confirm which rate is appropriate.

In cases where the off-campus rate is used, space rental cost should generally be included in the proposal budget. This cost should reflect an estimate of the proportionate share of the total lease cost based on the amount of square feet that will be used for the research project.

In cases where the research will be conducted in both on- and off-campus locations, an assessment of the relative proportions should be made. When more than 50 percent of the research will be performed at an off-site location (as measured by direct salaries and wages), indirect cost reimbursement should be apportioned between the on- and off-campus components.

When less than 50 percent of the effort will be performed off-site, the entire project should be considered on-campus. The off-campus Facilities & Administrative rate is the administrative component of the negotiated on-campus rate.