731 - Departmental Administrative Expenses

Section 200.413 of the Office of Management and Budget’s (OMB) uniform guidance may pose some particular problems for institutional costing practices and goes directly to the principle of consistency. It states: “(c) The salaries of administrative and clerical staff should normally be treated as indirect (F&A) costs. Direct charging of these costs may be appropriate only if all of the following conditions are met: (1) Administrative or clerical services are integral to a project or activity; (2) Individuals involved can be specifically identified with the project or activity; (3) Such costs are explicitly included in the budget or have the prior written approval of the… Read More