Indirect Rate Recovery for Non-Profits & Pass-Through Entities

Overview

Our session will include a discussion regarding indirect rate strategies for cost recovery.  We will cover negotiating indirect rates with pass-through entities and alternative indirect cost recovery methods. A look at applying the PPP Loan Forgiveness credit.  Understanding the definition of sub-awards and the MTDC allocation base, and where best  to allocate bonus expense.  Included in this session will be a selected review of the Uniform Guidance FAQs regarding indirect rates for States and Municipalities, as well as recently issued FAQs that impact indirect rates and cost recovery.

Prerequisites

None

Objectives

• Learn about the benefits of using indirect rates,
• Understanding the limitations of the 10% de minimis indirect rate,
• How to work with your Pass-Through Entity (PTE) to negotiate an indirect rate,
• Dealing with grant close-out and resolving indirect rates,
• What some municipalities and state governments have done to ensure the opportunity to negotiate an indirect rate in lieu of the 10% de minimis indirect rate, and
• Problematic cost issues with sub-recipients.

Highlights

• Indirect rates
• Sub-recipient relationship with PTEs
• PPP loan forgiveness credit
• The District of Columbia and MD laws on settlement of indirect rates with PTEs
• 10% de mnimis rate vs. indirect rate negotiation