2006 Department Administrators Training Emory University School of

2006 Department Administrators Training Emory University School of Medicine Finances

Presentation Topics o Facility and Administrative Costs o General and Administrative (G&A) 1

Facility and Administrative Costs (FAC) 2

Facilities and Administrative Costs (previously known as indirect costs) Costs which cannot be readily and specifically identified with a specific project, program or activity, but which provide an overall benefit to Emory and sponsored agreements. These are charged to University funds and recovered through the application of the F & A rate. 3

Facilities and Administrative Costs o FAC Rate agreement is re-negotiated regularly. o Fringe rates are re-negotiated every year. o Emory’s cognizant federal audit agency is DHHS. o Current rate agreement is under development/negotiation. o Rates differ by location, category of activity, and sponsoring agency. 4

Facility and Administrative Cost Rates At-A-Glance 5

EU FAC Waiver Policy o Posted on OSP’s website at http: //www. osp. emory. edu/policies. cfm o Highlights include: Full federal FAC rate for federal sponsors n Lower FAC rate accepted from non-profits if published and applied consistently (documentation from agency required) n Industry CTs – minimum FAC rate is 25% n Industry-sponsored research – full federal FAC rate n Waiver request to School/Dean with final review/approval by OSP n Review for adherence to DHHS/Fed and OMB regulations, bond agreement restrictions, IRS guidelines, etc. n 6

F&A Components 7

How School of Medicine FAC Funds are Used FAC Recovery is used to offset Research-related expenses n Research-related University costs allocated to School of Medicine q Operating and Maintenance Costs for Research Space q Office of Sponsored Programs q Office of Grants and Contracts Accounting q Institutional Review Board q Office of Technology Transfer q Office of VP Research Administration 8

How School of Medicine FAC Funds are Used, continued q School of Medicine Direct Costs Portion of HSC Library n Space Rental (TEC, EUH, Emory Briarcliff, Wesley Woods) n Debt Service on research related buildings n Research Infrastructure (DAR and EHSO) n Support for School Core Labs (Service Centers) n School of Medicine Clinical Trials Office n Portion of departmental research administration n SOM Research Administration & Business & Finance Offices n 9

General and Administrative (G&A) 10

General and Administrative (G&A) o Established to offset University Allocation to SOM o 10% charge against all expenditures in Ledger 2 and non -grant and contract accounts o G&A does not apply to School funded accounts or practice plan funded accounts 11