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Federal F&A Rate Update

Published August 16, 2023 via Research News

Per the University’s Federal negotiated facilities and administrative (F&A) cost rate agreement, Federal awards that have a competitive start date on or after July 1, 2021, will utilize a 55.5% (MTDC) F&A rate effective 7/1/23. Accordingly, the F&A rates for these awards were updated in Workday to the 55.5% rate earlier this month (Rate Agreement = 1. Federal Rate Agreement (07/01/2019) and Cost Rate Type = On-Campus Research). The list of the awards/grants that were updated with the new rate can be found in Box via this link.

Sponsored Projects Accounting (SPA) suggests that the PI or his/her designee should review their awards to determine if the budgeted amount for Indirect Costs on each Grant Line (GR#) needs to be adjusted based upon the application of the lower rate. It is the academic unit’s responsibility to monitor the direct and F&A budget amounts throughout the project’s life. Accordingly, SPA maintains a F&A Re-budget Template to assist with this review and it is located on SPA’s website via this link. If the academic unit determines that a re-budgeting of funds between directs and F&A due to the rate change is deemed necessary, a copy of the Re-budgeting Template should be attached to the related Budget Amendment (BA) in Workday. SPA will not initiate/process these adjustments.

Note: If you find an award that did not change and you feel it should have based upon the above noted logic, then please contact the appropriate SPA team mailbox (,, or

If you have any other questions about this information, please contact Lindsay Danner (, Liz Colletta ( or Joe Gindhart ( in SPA.