Indirect Cost Recovery Policy


This document sets forth the Research Foundation (RF) policy on recovery of indirect costs incurred in the conduct of sponsored programs within the State University of New York (SUNY).

Agreement Language on Indirect Costs

The Research Foundation provides services to the University pursuant to a contract dated June 1, 1977.

Regarding indirect costs, the agreement states the following: “Allowances by sponsors for the recovery of indirect costs attributable to facilities or services provided by the University such as administrative services, building space, utilities, janitorial services, libraries, etc., shall be deemed to be the costs of the Foundation for the purpose of obtaining reimbursement of such costs from sponsors. The Foundation shall attempt to obtain from sponsors the maximum possible reimbursement of indirect costs and, if applicable, net release time funds, subject to specific procedures and criteria adopted by the University governing the approval of overhead reimbursement rates and reductions or waivers thereof.”

Income Policy

In 1991, the Research Foundation Board of Directors adopted an income policy based on the principle that campuses are responsible for all costs associated with sponsored program activity, including Research Foundation central office costs. Campuses receive an allocation annually of all income they generate less central office costs. Implicit in this policy is an incentive for each campus to maximize indirect cost recovery in order to support sponsored program and agency activity.

Board Resolution on Indirect Costs

In 1992, the Research Foundation Board of Directors adopted an indirect cost policy that delegated authority for waiving full indirect costs, if necessary, to the campus president, or the president's designee.


The campus president or designee is responsible for assuring that all costs for sponsored program administration (both campus and central office) are covered. Authority of the campus president or designee to accept awards at less than the maximum allowable indirect cost rate is predicated on the ability of the campus to meet its sponsored program administration costs.




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