Institutions should disclose how the segment's total indirect costs are identified and accumulated in specific indirect cost categories allocated to applicable indirect cost pools and service centers within each major function or activity, how service center costs are accumulated and "billed" to users, and the specific indirect cost pools and allocation bases used to calculate the indirect rates that are used to allocate accumulated indirect costs to federally sponsored agreements or similar final cost objectives. A continuation sheet should be used wherever additional space is required or when a response requires further explanation to ensure clarity and understanding.

The following Allocation Base Codes are provided for use in connection with Items 3.1.0 and 3.3.0.

A. Direct Charge or Allocation
B. Total Expenditures
C. Modified Total Cost Basis
D. Modified Total Direct Cost Basis
E. Salaries and Wages
F. Salaries, Wages and Fringe Benefits
G. Number of Employees (head count)
H. Number of Employees (full-time equivalent basis)
I. Number of Students (head count)
J. Number of Students (full-time equivalent basis)
K. Student Hours -- classroom and work performed
L. Square Footage
M. Usage
N. Unit of Product
O. Total Production
P. More than one base (Separate Cost Grouping) 1/
Y. Other(s) 1/
Z. Category or Pool not applicable

1/ List on a continuation sheet, the category and sub-grouping(s) of expense involved and the allocation base(s) used.
 

3.1.0     Indirect Cost Categories - Accumulation and Allocation.
revised 7/1/01

This item is directed at the identification, accumulation and allocation of all indirect costs of the institution. (Under the column heading, "Accumulation Method", insert "Yes" or "No" to indicate if the cost elements included in each indirect cost category are identified, recorded and accumulated in the institution's formal accounting system. If "No" describe on a continuation sheet, how the cost elements included in the indirect cost category are identified and accumulated. Under the column heading "Allocation Base", enter one of the allocation base codes A through P, Y, or Z to indicate the basis used for allocating the accumulated costs of each indirect cost category to other applicable indirect cost categories, indirect cost pools, other institutional activities, specialized service facilities and other service centers. Under the column heading "Allocation Sequence" insert 1,2, or 3 next to each of the first three indirect cost categories to indicate the sequence of the allocation process. If cross-allocation techniques are used, insert "CA". If an indirect cost category listed in this section is not used, insert "NA.")
 

Indirect Cost Category	Accumulation Method	Allocation Base Code	Allocation Sequence
(a) Depreciation/Use Allowance/Interest
Building	Yes	L	1
Equipment	Yes	L
Capital Improvements to Land	Yes	P
Interest	n/a	n/a
(b) Operation and Maintenance	Yes	L	2
(c) General Admin and General Exp	Yes	D	3
(d) Departmental Admin.	No	D
(e) Sponsored Projects Admin.	Yes	D
(f) Library	Yes	Y
(g) Student Admin and Services	Yes	A
(h) Other	n/a	n/a	n/a

1/ Describe on a Continuation Sheet.
 

3.2.0     Service Centers. Service Centers are departments of functional units which perform specific technical or administrative services primarily for the benefit of other units within a reporting unit. Service Centers include "recharge center" and the "specialized service facilities" defined in Section J of Circular A-21. (The codes identified below should be inserted on the appropriate line for each service center listed. The column numbers correspond to the paragraphs listed below that provide the codes. Explain on a Continuation sheet if any of the services are charged to users on a basis other than usage of the services. Enter "Z" in column 1, if not applicable.)
 

	(1)	(2)	(3)	(4)	(5)	(6)
(a) Scientific Computer Operations	Z
(b) Business Data Processing	Z
(c) Animal Care Facilities	A	C	C	A	A	B
(d) Other Service Centers with Annual Operating Budgets exceeding $1,000,000 or that generate significant charges to Federally sponsored agreements either as a direct or indirect cost. (Specify below; use a Continuation Sheet, if necessary)

(1) Category Code: Use code "A" if the service center costs are billed only as direct costs of the final cost objective; code "B" if billed only to indirect cost categories or indirect cost pools; code "C" if billed to both direct and indirect cost objectives.

(2) Burden Code: Code "A" -- center receives an allocation of all applicable indirect costs; Code "B" -- partial allocation of indirect costs; Code "C" -- no allocation of indirect costs.

(3) Billing Rate Code: Code "A" -- billing rates are based on historical costs; Code "B" rates are based on projected costs; Code "C" -- rates are based on a combination of historical and projected costs; Code "D" -- billing are based on the actual costs of the billing period; Code "Y" -- other (explain on a continuation sheet).

(4) User Charges Code: Code "A" -- all users are charged at the same billing rates; code "B" -- some users are charged at different rate that other users (explain on a continuation sheet).

(5) Actual Costs vs. Revenues Code: Code "A" -- billing (revenues) are compared to actual costs (expenditures) at least annually; Code "B" -- billing are compared to actual cost less frequently than annually.

(6) Variance Code: Code "A" -- Annual variance between billed and actual costs are prorated to users (as credits or charges); Code"B" -- variances are carried forward as adjustments to billing rate of future periods; Code "C" --variances are charged or credited to indirect costs; Code "Y" -- other (explain on a continuation sheet).
 

3.3.0     Indirect Cost Pools and Allocation Bases.
(Identify all of the indirect cost pools established for the accumulation of indirect costs, excluding service centers, and the allocation bases used to distribute accumulated indirect costs to federally sponsored agreements or similar cost objective within each major function or activity. For all applicable indirect cost pools, enter the applicable allocation base code A through P, Y, or Z to indicate the basis used for allocating accumulated pool costs to federally sponsored agreement or similar cost objectives.)

                                                                                                                   Allocation
Indirect Cost Pools                                                                                 Base Code

A. Instruction

X         On-Campus                                                                                    D
X         Off-Campus                                                                                    D
______ Other 1/                                                                                      ______

B. Organized Research

X     On-Campus                                                                                         D
X     Off-Campus                                                                                         D
______ Other 1/                                                                                       ______

C. Other Sponsored Activities

X     On-Campus                                                                                         D
X     Off-Campus                                                                                         D
______ Other 1/                                                                                       ______

D. Other Institutional Activities 1/ ___X______ (revised 11/4/04)

3.4.0     Composition of Indirect Cost Pools. (For each pool identified under Items 3.1.0 and 3.2.0, describe on a continuation sheet the major organizational components, subgroups of expenses, and element of cost included.)

1/ Describe on a Continuation Sheet
 

3.5.0     Composition of Allocation Bases   For each allocation base code used in Items 3.1.0 and 3.3.0, describe on a continuation sheet the makeup of the base. For example, if a modified total direct cost base is used, specify which of the elements of direct cost identified in Part II, Direct Costs, that are included, e.g., materials, salaries and wages, fringe benefits, travel costs, and excluded, e.g., subcontract costs over the first $25,000. Where applicable, explain if service centers are included or excluded. Specify the benefitting functions and activities included. If any cost objectives are excluded from the allocation base, such cost objectives and the alternate allocation method used should be identified. If an indirect cost allocation is based on Cost Analysis Studies, identify the study, and fully describe the study methods and techniques applied, the composition of the specific allocation base used, and the frequency of each recurring study.
 

3.6.0     Allocation of Indirect Costs to Programs That Pay Less than Full Indirect Costs.
Are appropriate direct costs of all programs and activities included in the indirect cost allocation bases, regardless of whether allocable indirect costs are fully reimbursed by the sponsoring organizations?

A.     X      Yes

B. ______ No 1/

1/ Describe on a continuation sheet.