An official website of the United States government. The Negotiated Indirect Cost Rate Agreement shall not change any monetary ceiling, obligation, or specific cost allowance or disallowance provided for in each grant or contract between the parties. The Standard Grant is not limited by value or type of cost. Level of Federal fundingvalue= c. Reports generated from their accounting systemd. The cognizant Mission initially negotiates, and subsequently updates, the NICRA on a company-wide basis; not per grant/award. The CPS should include, as a minimum, the following information: The Statement of Treatment of Paid Absences certificate recognizes the organizations treatment of vacation, holiday, sick, and other paid absences. Check out this list if your organization is eligible to apply for project funding from USAID! ( Continue reading) News Administrative Assistant, Download Example - Multiple Allocation Method, Title changed in the section 3.B of the Table of Contents from Time Distribution Report to Personnel Activity Report. PDF The USAID Grant & Contract Process - United States Agency for A list of subawards under your prime awards (required for Modified Total Direct Cost (MTDC) base only). Deep in the midst of our Kickstarter last year, we submitted a crowdsourced proposal to USAID's Development Innovation Ventures (DIV) funding mechanism that runs a year-round competition for innovative innovators innovating innovation. In some instances, a single indirect cost rate for all activities of an organization or for each major function of the organization may not be appropriate, since it would not take into account those different factors which may substantially affect the indirect costs applicable to a particular segment of work. We have created specific templates to help guide and facilitate your management of local subgrants under US Government funding. Unsolicited Proposals Include the level of transaction testing performed by the independent auditor on direct and indirect costs claimed. Review executive compensation of the top five executives for reasonableness. a. Review how to effectively interpret USAID assistance solicitations. PDF Grants Manual - United States Agency for International Development Further, if at any time during the fiscal year an organization determines that its current provisional rate is no longer accurate and materially misstated it should advise M/OAA/CAS/OCC accordingly. A grantee can provide valuable input as to what is needed to complete the objectives of the grant and provide technical completion of the grant by verifying the delivery of goods or completion of services as needed. Reliability and accuracy of an organizations labor charging system is essential. Therefore, the organization must agree in writing not to recoup the reduction in the rates on other awards with the U.S. Government - the reduction must be taken from other non-governmental sources of revenues. Work with USAID - U.S. Agency for International Development A lock () or https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely. Concept Paper Format and Submission for USAID's - fundsforNGOs If a small business has clearly established indirect cost rates, pools and bases that an external CPA firm has validated, this should be sufficient for the recognition of indirect cost rates under the award. An unsolicited application refers to grants or cooperative agreements. But wait! An official website of the United States government. DOCX Archive - U.S. Agency for International Development Technical . other proposals submitted by those oraanizationF which are duly registered. The Appendix I includes a sample of the USAID Negotiated Indirect Cost Rate Agreement (NICRA). This sample can be used as a reference tool in the development of your organization's grant budget narrative. 2 CFR 200, Subpart F, Appendix IV, Section C.1.b., c., d., and e identifies and defines the following indirect cost rates: ProvisionalA provisional rate or billing rate is a temporary indirect cost rate applicable to a specified period and is used for interim billings pending the establishment of a final rate for the period. Download now of 15 FY2015 & FY2016 Development Innovation Ventures Annual Program Statement (APS) APS-OAA-15-000006 CFDA #: 98.001 Issuance Date: October 20, 2015 Closing Date: November 1, 2016 Pursuant to the Foreign Assistance Act of 1961, as amended, the United States Government, Discover resources to help you successfully prepare proper cost proposals. The Overhead, Special Cost, and Closeout Branch (M/OAA/CAS/OCC), within the Cost Audit Support Division, Office of Acquisition and Assistance, within the Bureau for Management is the central unit authorized to negotiate indirect cost rates with concerns awarded contracts, grants or cooperative agreements by USAID. For each type of rate proposed provide a detailed rate calculation to include the pool of expenses, the base of application, and all unallowable costs. A grantee that expends less than $750,000 during the entity's fiscal year in federal awards is exempt from the single audit required by 2 CFR 200, Subpart F, Section 501(d). Federal government websites often end in .gov or .mil. Include the level of transaction testing performed by the independent auditor on direct and indirect costs claimed. All matters concerning the award itself must be directed to the Contracting or Agreement Officer. The .gov means its official. The appeal must be in writing and must be postmarked within thirty (30) calendar days of receipt of the AOs final decision. Today, we give you a grant proposal template with a purpose to give grassroots NGOs a better idea of what to include in a grant proposal to convince the donor to get your amazing projects funded. Review and analyze direct costs for the determination of: Review the grant budget and payments, or grantee records, for a determination of: (if deemed feasible under the circumstances), Check with the appropriate Agreement Officer for any problems he/she may be aware of relating to the charging of costs. The Office of Management and Budget (OMB) published Title 2 of the Code of Federal Regulations Part 200 (2 CFR 200), titled Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards to streamline the Government-wide guidance on Administrative Requirements, Cost Principles, and Audit Requirements for Federal awards. UA 10.4.4A, Tanya Broadnax, Closeout Management Analyst. M/OAA/GRO/EGAS-DGP-10-001. Payroll documentation should be maintained to support the charging of salaries as direct or indirect (download example below). If any litigation, claim or audit is started before the expiration of the 3-year period, the records shall be retained until all litigations, claims or audit findings involving the records have been resolved. This section of the guidance applies to organizations that are requesting new provisional rates for future periods and/or the finalization of provisional rates for past periods. There are instances when the allocation base will include annual, sick, and holiday leave as part of the base of application. Not all projects proposals submitted . Download Appendix I through Appendix V [PDF 238 KB], Indirect Cost Rate Guide for Non-Profit Organizations. Federal award recipients that recover administrative overhead costs through the use of an indirect cost rate (ICR) must submit an annual ICR proposal to: The organization must have an established accounting system prior to being awarded a grant or contract with a federal government agency. Typically these are costs that would not be incurred if it was not for the awarded contract or grant. FinalA final indirect cost rate is applicable to a specified past period based on the actual costs of the period. Some examples of these types of activities include: The checklist below addresses the documentation to provide and steps needed when an organization is seeking a NICRA for the first time. 2 CFR 200, Subpart F, Appendix 4, Section C.2.f. Please refer to Section 1.F below titled Determination of Indirect Cost Rates and Cost Allocation for information on the base of application. Once a NICRA is issued, either by a Mission or M/OAA/CAS/OCC, this NICRA will apply to all Federal awards. Maintenance of membership rolls, subscriptions, publications, and related functions. Additionally, the agreement is more complicated than are other formats as the full volume of the Standard Provisions for Non-U.S. Nongovernmental Organizations or U.S. Nongovernmental Organizations are required and attached to the grant document, in addition to other provisions from WaterAids prime award. Download Example - Direct Allocation Method [PDF 62 KB]. Any limitations placed upon the full recovery of indirect costs, i.e. 6th floor, 20 Canada Square, London, E14 5NN. PDF $*5((0(17 EHWZHHQ DQG - United Nations Office on Drugs and Crime Provide any input related to any anticipated changes in business volume, organizational structure, and/or indirect rate structure for the new fiscal year. 1. 2 CFR 200, Subpart F, Appendix IV, Section B. identifies the following specific methods for allocating indirect costs. Failure by the parties to agree on any final rate(s) under this provision is considered a dispute within the meaning of the Standard Provision, Disputes. If a dispute arises in a negotiation of an indirect cost rate between the cognizant agency for indirect costs and the nonprofit organization, the dispute must be resolved in accordance with the appeals procedures of the cognizant agency for indirect costs. Assure that the indirect cost rate calculation is in accordance with the accepted rate methodology. Generally, an organization uses the prior years final indirect cost rates as the new provisional (until amended) rates when an organization believes the final rates represent a reasonable estimate of the next years expected actual rates. 2 CFR 200, Subpart E, Section 200.413 (f), states that the costs of activities performed by the non-Federal entity primarily as a service to members, clients, or the general public when significant and necessary to the non-Federal entity's mission must be treated as direct costs whether or not allowable, and be allocated an equitable share of indirect (F&A) costs. EXECUTIVE SUMMARY The Oriental region of Morocco is world renowned for its olives, figs, citrus, and meat. If the foreign entity has an award issued from Washington, M/OAA/CAS/OCC will negotiate and issue the issuance of a NICRA. The administrative requirements and cost principles apply to new awards authorized on or after December 26, 2014. Through this Annual Program Statement (APS), USAID announces its desire to engage new . Reconcile the indirect cost rate proposal to the audited financial statements. You can find additional guidance in the 'Using and managing local subgrants manual' that is designed for codification of our approach to managing local subgrants under USAID funding for each specific project (please contact [emailprotected] for a copy of the manual). Labor hour changes are initialed, dated, authorized, and documented. The following is a list of some of the elements that must be provided for in the labor charging system: The direct labor amount must be supported by the organizations labor distribution report, and internal accounting system. USAID has relaunched its open innovation program, Development Innovation Ventures ( DIV ), and is now accepting grant applications for products, technologies, services, or applications that can scale breakthrough solutions to critical global development challenges to improve millions of lives. Refer to Appendix V for a sample of a deviation letter from the NICRA. The forms and their use have been incorporated into our manual Using and managing local subgrants. Did your organization receive more than $10 million in federal funding of direct costs in the fiscal year(s) in which you are requesting an indirect cost rate? Expected Results9 Component 1: Evidence-based policy making strengthened9 The rate should be expressed as the percentage of allowable indirect costs to the allocation base costs selected. USAID Procurement Announcements for a listing of solicitations. Immediately upon receiving an appeal, the Deputy Assistant Administrator, Bureau for Management, or designee, and the AO must forward the appeal to the Bureau for Management, Office of Acquisition and Assistance, Compliance Division (M/OAA/C) at [email protected]. Solicitations describe the requirement or program and explain how USAID will evaluate submissions. Determine that "pass-through" funds have been excluded from the base. Depreciation schedule if depreciation is included as indirect costs. To create a long-lasting social change, USAID offers grants to NGOs around the world for tackling important issues related to equal rights and opportunities for women. This paragraph applies to the following types of documents and their supporting records: indirect cost rate computations or proposals, cost allocation plans, and any similar accounting computations of the rate at which a particular group of costs is chargeable (such as computer usage chargeback rates or composite fringe benefit rates). Administrative Assistant, [email protected], 2020-916-2576. A lock () or https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely. USAID-BHA Grant 2020-2022 Questions & Answers Question 1: Is there a minimum or maximum length of implementation period per activity? The rate should be expressed as the percentage which the total amount of allowable indirect costs bears to the base selected. Federal government websites often end in .gov or .mil. 2 CFR 200, Subpart F, Appendix IV, Section C.2.g states that the result of each negotiation must be formalized in a written agreement between the cognizant agency for indirect costs and the nonprofit organization. This checklist is also included in Appendix III, Indirect Cost Rate Proposal Checklist for First Time NICRA, and includes the basic instructions to complete and submit an indirect cost rate proposal. Administration is defined as general administration and general expenses such as the director's office, accounting, personnel and all other types of expenditures not listed specifically under one of the subcategories of Facilities (including cross allocations from other pools, where applicable). Understand the basic rules and principles for developing reasonable, realistic, and consistent cost proposals in response to USAID funding opportunities (assistance awards). Indirect costs are applied equitably across all of the business activities of the organization according to the benefits each gains from them. Each grouping must then be allocated individually to benefitting functions by means of a base which best measures the relative benefits. After USAID issues a final indirect cost rate, M/OAA/CAS/OCC will establish a provisional rate for the next fiscal year. The 2 CFR 200.430(i), Standards for Documentation of Personnel Expenses, states that charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. 383 Below is a copy of a genuine proposal that won funding from USAID. It is USAID's policy that grantees that agree to an indirect cost rate ceiling that is less than the government-wide NICRA rate in a contract or grant for cost sharing or other reasons shall not recoup the amounts occasioned by the reduction in the rates on other agreements with the U.S. Government. Prior year audited financial statements including any affiliated organizations, and the single audit in accordance with 2 CFR 200, Subpart F, Section 200.512(a)(1). FixedA fixed rate is an indirect cost rate with the same characteristics as a predetermined rate, except that the difference between the estimated costs and the actual costs of the period covered by the rate is carried forward as an adjustment to the rate computation of a subsequent period.