Exceptions to Charging Full Facilities and Administration Costs
15.01.01 Administration of Sponsored Agreements - Research …
- 9.2 It is the intent of the Legislature, that all state agencies and institutions establish procedures to recover all F&A costs based on the rates negotiated with the DHHS. Any exceptions to the use of the negotiated rate will require a statement of explanation to be included in the internal component routing documentation indicating the benefits to the System and the State of Texas that justify cost sharing a portion of the F&A costs of a particular program by the System component, and must have CEO or designee approval. In other words, only the CEO or designee has authority to deviate from the negotiated F&A cost rate when it is in the best interest of the System component and the State of Texas.
Approval Procedure
- Requires a memo from the principal investigator
- Requires justification (benefit to A&M System)
- Must be approved by:
Department Head
Dean
Vice President for Research
Examples of Justification
- Project supports the academic mission of the department and /or college
- Project supports graduate students
- Project provides the only source of funding in an area of significance
Off-Campus F&A Costs
- Seventy to 80 percent of work done off campus
- Significant travel/lodging expenses
- Rental of off-campus space
- Collecting samples in the field only does not qualify as off-campus F&A costs

