⌚ Kentucky Revised Statute: A Case Study
The The My Lai Massacre During The Vietnam War rights movement and social changes of the s further contributed Kentucky Revised Statute: A Case Study wider acceptance of members of the group. This application includes Kentucky Revised Statute: A Case Study estimate of the Kentucky Revised Statute: A Case Study of youth in care and the number Kentucky Revised Statute: A Case Study to Kentucky Revised Statute: A Case Study out, the amount of funds requested and the amount spent in the previous year. Whenever any person files an affidavit Kentucky Revised Statute: A Case Study a court of competent jurisdiction that Castaway plane crash is a Kentucky Revised Statute: A Case Study running at large that is not Kentucky Revised Statute: A Case Study constantly Kentucky Revised Statute: A Case Study either in a dog kennel registered Kentucky Revised Statute: A Case Study this chapter or one licensed under Chapter Departmental administration expenses. Among Kentucky Revised Statute: A Case Study considerations to be taken into A Summary Of Henry Vs War by the court will be the safety Why Drugs Is Wrong witnesses and others, a particular danger of perjury or witness intimidation, the protection of information vital to the national security, and the protection of business enterprises from economic reprisals. Kentucky Revised Statute: A Case Study fee for such a registration shall Kentucky Revised Statute: A Case Study the same as the Kentucky Revised Statute: A Case Study fee for a permanent registration. It Kentucky Revised Statute: A Case Study gives the definition of what is considered a dangerous or iodine clock method dog, the rules and regulations ratio analysis limitations owners of these dogs, and penalization for breaking these rules. D The county auditor may authorize agents to Booker T. Washingtons Plant Ideas applications for registration of dogs and Kentucky Revised Statute: A Case Study and to Kentucky Revised Statute: A Case Study certificates unemployed and pregnant registration and tags. Costs incurred in connection with Kentucky Revised Statute: A Case Study described in subsection b, but which Kentucky Revised Statute: A Case Study not made unallowable by that subsection, may be allowed by the Federal Government, but only to the extent that: 1 The costs are reasonable in Kentucky Revised Statute: A Case Study to the activities Kentucky Revised Statute: A Case Study to deal with the proceeding and the underlying cause of action; 2 Payment of the costs incurred, as allowable and allocable costs, is how does the bradford score work prohibited by any other provision s of the sponsored agreement; 3 The costs are not otherwise recovered from the Federal Kentucky Revised Statute: A Case Study or a third party, either directly as Kentucky Revised Statute: A Case Study result of the Kentucky Revised Statute: A Case Study or otherwise; and, 4 The percentage Kentucky Revised Statute: A Case Study costs allowed does Kentucky Revised Statute: A Case Study exceed the percentage Kentucky Revised Statute: A Case Study by an authorized Federal official to be appropriate considering the Kentucky Revised Statute: A Case Study of Kentucky Revised Statute: A Case Study litigation, Kentucky Revised Statute: A Case Study accepted principles governing the award of legal fees Kentucky Revised Statute: A Case Study civil actions involving Kentucky Revised Statute: A Case Study Drug Testing Is Not Fair Essay States as a party, and such other factors as may be appropriate.
McDonald's Dispute - Case Study - With Sanyog Vyas - Law Lectures
The secretary of state or attorney general would then be required to call the Senate into session to elect a Speaker, who would subsequently become governor. If the office devolves upon the Attorney General or State Auditor, that individual is required to call the Senate into session to elect a president, who would subsequently become governor. The first instance of gubernatorial succession in Kentucky's history occurred upon the death of Governor George Madison in Madison was extremely popular as a twice-wounded war hero. He died of tuberculosis just three weeks into his term.
His lieutenant governor, Gabriel Slaughter , ascended to the governorship and immediately made two very unpopular appointments. These moves engendered much animosity toward Slaughter, and a movement began in the House of Representatives to hold a new election for governor. Leaders of the movement, including a young John C. Breckinridge , claimed that Slaughter was only the "acting governor" until a new governor was elected. The call for a new election failed in the House in , but was approved by the House in only to fail in the Senate.
Slaughter served out the rest of Madison's term and in so doing, established the precedent that the lieutenant governor would be the permanent successor to the governor upon the latter's death, resignation, or removal from office. Helm , and William Goebel. All died of natural causes except Goebel, who is the only governor of any U. Goebel lost the contentious gubernatorial election to William S. Taylor, but challenged the results. While the General Assembly was considering the challenge, Goebel was shot. Days later, the General Assembly decided in favor of Goebel, ousting Taylor from office and making Goebel governor.
Goebel was sworn in on his sick bed and died two days later. His lieutenant governor, J. Beckham , succeeded him. Crittenden , Beriah Magoffin , John W. Stevenson , Augustus O. Stanley , Happy Chandler, Earle C. Clements , and Wendell H. Only Beriah Magoffin resigned under duress. A Confederate sympathizer during the Civil War , Magoffin's power was entirely checked by a hostile, pro- Union legislature. With the state's government in gridlock, Magoffin agreed to resign in exchange for being able to name his successor.
Fisk, was not acceptable to Magoffin as a successor. Magoffin then resigned, Robinson was elevated to governor, and Fisk was re-elected as Speaker of the Senate. All elected officials in Kentucky, including the governor, are subject to impeachment for "any misdemeanors in office". The articles of impeachment must be issued by the House of Representatives and the trial is conducted by the Senate. If convicted, the governor is subject to removal from office and may be prohibited from holding elected office in the state thereafter. Impeached governors may also be subject to trial in the criminal or civil court system.
No governor of Kentucky has been impeached. Each iteration of the Kentucky Constitution has provided that the governor receive a salary. Under the first three constitutions, the governor's salary could not be increased or reduced while he was in office; this provision was extended to all public officials in the present constitution. The Kentucky Governor's Mansion is the official residence of the governor of Kentucky. The present Governor's Mansion, constructed in and listed on the National Register of Historic Places in ,  is located at Capitol Avenue in the state capital of Frankfort.
The state's first governor's mansion was constructed during the gubernatorial tenure of James Garrard. Letcher who worked at his father's brickyard participated in the construction of the first governor's mansion. Political parties had developed in the United States before Kentucky became a state. The Federalist Party had died out nationally by , but new party divisions were soon to form in Kentucky. The Panic of left many Kentuckians deeply in debt and without a means of repaying their creditors.
Those who favored laws favorable to debtors were dubbed the "Relief Party" and those who favored laws protecting creditors were called the "Anti-Relief Party". Although many Old Court supporters—typically the state's wealthy aristocracy—gravitated to the National Republican Party later to be called Whigs that formed in the s, it is inaccurate to assume the Anti-Relief Party as a whole became National Republicans and the Relief Party became Democrats. Helm's term in , only one Democrat held the office of governor: John Breathitt, who died a year and a half into his term and was succeeded in office by his lieutenant governor, James Turner Morehead , a National Republican.
Morehead was elected governor from that party in From the close of the Civil War until , Kentuckians elected a series of Bourbon Democrats with Confederate sympathies as governor, including two men— James B. Bradley's election marked the beginning of thirty years of true, two-party competition for the governorship in the state. Since , however, the Republicans have been unable to preserve this level of parity, and in that period only four of the twenty elected governors have been from the Republican party.
From Wikipedia, the free encyclopedia. Head of state and of government of the U. For a list, see List of governors of Kentucky. Commonwealth seal. August 4, Retrieved August 4, Archived from the original on July 28, Retrieved April 9, Archived from the original on July 19, Retrieved July 28, Retrieved March 15, Archived from the original on August 9, Retrieved August 2, Archived from the original on July 26, Retrieved December 22, Kentucky Department of Justice. Archived from the original PDF on March 13, Archived from the original PDF on July 24, Legislative Research Commission.
Archived from the original on August 2, Alford, Roger August 25, The Kentucky Post. Bethurum, B. February Kentucky Law Journal. Biesk, Joe June 18, Blanchard, Paul In Kleber, John E. The Kentucky Encyclopedia. Associate editors: Thomas D. Clark , Lowell H. Harrison , and James C. ISBN In Harrison, Lowell Hayes ed. Kentucky's Governors. Clark, Thomas D. Lane University Press of Kentucky. Retrieved August 17, The National Archives.
Retrieved March 1, Covington, Owen July 26, Owensboro Messenger-Inquirer. Eblen, Tom September 12, Lexington Herald-Leader. Ferguson, Margaret R. Freedman, Gregory A. Retrieved July 27, Gipson, Vernon Ruby Laffoon, Governor of Kentucky, — Harrison, Lowell H. Harrison, and James C. Klotter A New History of Kentucky. ISBN X. Ireland, Robert M. Greenwood Publishing Group.
Johnson, Stu March 12, National Public Radio. National Governors Association. Archived from the original on January 18, Retrieved April 2, Commonwealth of Kentucky. Basic considerations. Allocable costs. A cost is allocable to a particular cost objective i. Subject to the foregoing, a cost is allocable to a sponsored agreement if 1 it is incurred solely to advance the work under the sponsored agreement; 2 it benefits both the sponsored agreement and other work of the institution, in proportions that can be approximated through use of reasonable methods, or 3 it is necessary to the overall operation of the institution and, in light of the principles provided in this Circular, is deemed to be assignable in part to sponsored projects.
Where the purchase of equipment or other capital items is specifically authorized under a sponsored agreement, the amounts thus authorized for such purchases are assignable to the sponsored agreement regardless of the use that may subsequently be made of the equipment or other capital items involved. Any costs allocable to a particular sponsored agreement under the standards provided in this Circular may not be shifted to other sponsored agreements in order to meet deficiencies caused by overruns or other fund considerations, to avoid restrictions imposed by law or by terms of the sponsored agreement, or for other reasons of convenience.
Any costs allocable to activities sponsored by industry, foreign governments or other sponsors may not be shifted to federally sponsored agreements. Allocation and documentation standard. The recipient institution is responsible for ensuring that costs charged to a sponsored agreement are allowable, allocable, and reasonable under these cost principles. The institution's financial management system shall ensure that no one person has complete control over all aspects of a financial transaction. If a cost benefits two or more projects or activities in proportions that can be determined without undue effort or cost, the cost should be allocated to the projects based on the proportional benefit.
If a cost benefits two or more projects or activities in proportions that cannot be determined because of the interrelationship of the work involved, then, notwithstanding subsection b, the costs may be allocated or transferred to benefited projects on any reasonable basis, consistent with subsections d. If the institution authorizes the principal investigator or other individual to have primary responsibility, given the requirements of subsection d. Applicable credits. Typical examples of such transactions are: purchase discounts, rebates, or allowances; recoveries or indemnities on losses; and adjustments of overpayments or erroneous charges.
This term also includes "educational discounts" on products or services provided specifically to educational institutions, such as discounts on computer equipment, except where the arrangement is clearly and explicitly identified as a gift by the vendor. In some instances, the amounts received from the Federal Government to finance institutional activities or service operations should be treated as applicable credits. Specifically, the concept of netting such credit items against related expenditures should be applied by the institution in determining the rates or amounts to be charged to sponsored agreements for services rendered whenever the facilities or other resources used in providing such services have been financed directly, in whole or in part, by Federal funds.
See Sections F. Costs incurred or paid by State or local governments on behalf of their colleges and universities for fringe benefit programs, such as pension costs and FICA and any other costs specifically incurred on behalf of, and in direct benefit to, the institutions, are allowable costs of such institutions whether or not these costs are recorded in the accounting records of the institutions, subject to the following: The costs meet the requirements of subsections 1 through 5.
The costs are properly supported by cost allocation plans in accordance with applicable Federal cost accounting principles. The costs are not otherwise borne directly or indirectly by the Federal Government. The following costs shall be refunded including interest in accordance with applicable Federal agency regulations: Costs specifically identified as unallowable in Section J, either directly or indirectly, and charged to the Federal Government. Excess costs due to failure by the educational institution to comply with the cost policies in this Circular.
Increased costs due to a noncompliant cost accounting practice used to estimate, accumulate, or report costs. Increased costs resulting from a change in accounting practice. For rates covering a past period, the Federal share of the unallowable costs will be computed for each year involved and a cash refund including interest chargeable in accordance with applicable regulations will be made to the Federal Government. If cash refunds are made for past periods covered by provisional or fixed rates, appropriate adjustments will be made when the rates are finalized to avoid duplicate recovery of the unallowable costs by the Federal Government.
For rates covering the current period, either a rate adjustment or a refund, as described in subsections a and b, shall be required by the cognizant agency. The choice of method shall be at the discretion of the cognizant agency, based on its judgment as to which method would be most practical. The amount or proportion of unallowable costs included in each year's rate will be assumed to be the same as the amount or proportion of unallowable costs included in the base year proposal used to establish the rate. Consistency in estimating, accumulating and reporting costs. An educational institution's cost accounting practices used in accumulating and reporting actual costs for a sponsored agreement shall be consistent with the educational institution's practices used in estimating costs in pricing the related proposal or application.
The grouping of homogeneous costs in estimates prepared for proposal purposes shall not per se be deemed an inconsistent application of cost accounting practices under subsection a when such costs are accumulated and reported in greater detail on an actual cost basis during performance of the sponsored agreement. Appendix A also reflects this requirement, along with the purpose, definitions, and techniques for application, all of which are authoritative.
Consistency in allocating costs incurred for the same purpose. No final cost objective shall have allocated to it as a cost any cost, if other costs incurred for the same purpose, in like circumstances, have been included as a direct cost of that or any other final cost objective. Appendix A reflects this requirement along with its purpose, definitions, and techniques for application, illustrations and interpretations, all of which are authoritative. Accounting for unallowable costs. Costs expressly unallowable or mutually agreed to be unallowable, including costs mutually agreed to be unallowable directly associated costs, shall be identified and excluded from any billing, claim, application, or proposal applicable to a sponsored agreement.
Costs which specifically become designated as unallowable as a result of a written decision furnished by a Federal official pursuant to sponsored agreement disputes procedures shall be identified if included in or used in the computation of any billing, claim, or proposal applicable to a sponsored agreement. This identification requirement applies also to any costs incurred for the same purpose under like circumstances as the costs specifically identified as unallowable under either this subsection or subsection a. Costs which, in a Federal official's written decision furnished pursuant to sponsored agreement disputes procedures, are designated as unallowable directly associated costs of unallowable costs covered by either subsection a or b shall be accorded the identification required by subsection b.
The costs of any work project not contractually authorized by a sponsored agreement, whether or not related to performance of a proposed or existing sponsored agreement, shall be accounted for, to the extent appropriate, in a manner which permits ready separation from the costs of authorized work projects. All unallowable costs covered by subsections a through d shall be subject to the same cost accounting principles governing cost allocability as allowable costs.
In any determination of a cost overrun, the amount thereof shall be identified in terms of the excess of allowable costs over the ceiling amount, rather than through specific identification of particular cost items or cost elements. Appendix A reflects this requirement, along with its purpose, definitions, techniques for application, and illustrations of this standard, all of which are authoritative. Cost accounting period. An educational institution shall follow consistent practices in the selection of the cost accounting period or periods in which any types of expense and any types of adjustment to expense including prior period adjustments are accumulated and allocated. Appendix A reflects this requirement, along with its purpose, definitions, techniques for application and illustrations, all of which are authoritative.
Disclosure Statement. The DS 2 shall be submitted to the cognizant agency with a copy to the educational institution's audit cognizant office. Extensions beyond the above due date may be granted by the cognizant agency on a case by case basis. Educational institutions are responsible for maintaining an accurate DS 2 and complying with disclosed cost accounting practices. Educational institutions must file amendments to the DS 2 when disclosed practices are changed to comply with a new or modified standard, or when practices are changed for other reasons.
Amendments of a DS 2 may be submitted at any time. Resubmission of a complete, updated DS 2 is discouraged except when there are extensive changes to disclosed practices. Cost and funding adjustments. Cost adjustments shall be made by the cognizant agency if an educational institution fails to comply with the cost policies in this Circular or fails to consistently follow its established or disclosed cost accounting practices when estimating, accumulating or reporting the costs of sponsored agreements, if aggregate cost impact on sponsored agreements is material. Under the terms of CAS covered contracts, adjustments in the amount of funding provided may also be required when the estimated proposal costs were not determined in accordance with established cost accounting practices.
Excess amounts paid in the aggregate by the Federal Government under sponsored agreements due to a noncompliant cost accounting practice used to estimate, accumulate, or report costs shall be credited or refunded, as deemed appropriate by the cognizant agency. Interest applicable to the excess amounts paid in the aggregate during the period of noncompliance shall also be determined and collected in accordance with applicable Federal agency regulations.
Compliant cost accounting practice changes. Changes from one compliant cost accounting practice to another compliant practice that are approved by the cognizant agency may require cost adjustments if the change has a material effect on sponsored agreements and the changes are deemed appropriate by the cognizant agency. The cognizant agency shall: 1 Determine cost adjustments for all sponsored agreements in the aggregate on behalf of the Federal Government. Actions of the cognizant agency official in making cost adjustment determinations shall be coordinated with all affected Federal agencies to the extent necessary.
Direct costs. Criteria for distribution. Base period. The base period normally should coincide with the fiscal year established by the institution, but in any event the base period should be so selected as to avoid inequities in the distribution of costs. Need for cost groupings. In general, the cost groupings established within a category should constitute, in each case, a pool of those items of expense that are considered to be of like nature in terms of their relative contribution to or degree of remoteness from the particular cost objectives to which distribution is appropriate.
Cost groupings should be established considering the general guides provided in subsection c. Each such pool or cost grouping should then be distributed individually to the related cost objectives, using the distribution base or method most appropriate in the light of the guides set forth in subsection d. General considerations on cost groupings. The extent to which separate cost groupings and selective distribution would be appropriate at an institution is a matter of judgment to be determined on a case by case basis.
Selection of distribution method. The essential consideration in selecting a base is that it be the one best suited for assigning the pool of costs to cost objectives in accordance with benefits derived; a traceable cause and effect relationship; or logic and reason, where neither benefit nor cause and effect relationship is determinable. Such cost analysis studies may take into consideration weighting factors, population, or space occupied if appropriate.
Cost analysis studies, however, must a be appropriately documented in sufficient detail for subsequent review by the cognizant Federal agency, b distribute the costs to the related cost objectives in accordance with the relative benefits derived, c be statistically sound, d be performed specifically at the institution at which the results are to be used, and e be reviewed periodically, but not less frequently than every two years, updated if necessary, and used consistently. Any assumptions made in the study must be stated and explained. The use of cost analysis studies and periodic changes in the method of cost distribution must be fully justified. Instead, subsections F. Order of distribution.
Other cost categories may be allocated in the order determined to be most appropriate by the institutions. When cross allocation of costs is made as provided in subsection 3 , this order of allocation does not apply. Depreciation and use allowances. The expenses under this heading are the portion of the costs of the institution's buildings, capital improvements to land and buildings, and equipment which are computed in accordance with Section J. In the absence of the alternatives provided for in Section E. The cost of each jointly used unit of space shall be allocated to benefiting functions on the basis of: a the employee full time equivalents FTEs or salaries and wages of those individual functions benefiting from the use of that space; or b institution wide employee FTEs or salaries and wages applicable to the benefiting major functions see Section B.
The amount allocated to the student category shall be assigned to the instruction function of the institution. The amount allocated to the employee category shall be further allocated to the major functions of the institution in proportion to the salaries and wages of all employees applicable to those functions. Large research facilities. The determination of the Federal participation use percentage in a building is based on institution's estimates of building use over its life, and is made during the planning phase for the building.
The review process shall address and document relevant factors affecting construction costs, such as: -- Life cycle costs -- Unique research needs -- Special building needs -- Building site preparation -- Environmental consideration -- Federal construction code requirements -- Competitive procurement practices The approval process shall include review and approval of the projects by the institution's Board of Trustees which can also be called Board of Directors, Governors or Regents or other independent entities.
The review should include an analysis of construction costs and a comparison of these costs with relevant construction data, including the National Science Foundation data for research facilities based on its biennial survey, "Science and Engineering Facilities at Colleges and Universities. Operation and maintenance expenses. The expenses under this heading are those that have been incurred for the administration, supervision, operation, maintenance, preservation, and protection of the institution's physical plant. They include expenses normally incurred for such items as janitorial and utility services; repairs and ordinary or normal alterations of buildings, furniture and equipment; care of grounds; maintenance and operation of buildings and other plant facilities; security; earthquake and disaster preparedness; environmental safety; hazardous waste disposal; property, liability and all other insurance relating to property; space and capital leasing; facility planning and management; and, central receiving.
The operation and maintenance expense category should also include its allocable share of fringe benefit costs, depreciation and use allowances, and interest costs. Exhibit B displays the list of eligible institutions. The allocation of utility costs to the benefiting functions shall otherwise be made in the same manner as described in subsection F. Beginning on July 1, , Federal agencies shall reassess periodically the eligibility of institutions to receive the UCA.
Beginning on July 1, , Federal agencies may receive applications for utilization of the UCA from institutions not subject to the provisions of subsection F. General administration and general expenses. The expenses under this heading are those that have been incurred for the general executive and administrative offices of educational institutions and other expense of a general character which do not relate solely to any major function of the institution; i. The general administration and general expense category should also include its allocable share of fringe benefit costs, operation and maintenance expense, depreciation and use allowances, and interest costs.
Examples of general administration and general expenses include: those expenses incurred by administrative offices that serve the entire university system of which the institution is a part; central offices of the institution such as the President's or Chancellor's office, the offices for institution wide financial management, business services, budget and planning, personnel management, and safety and risk management; the office of the General Counsel; and, the operations of the central administrative management information systems. General administration and general expenses shall not include expenses incurred within non university wide deans' offices, academic departments, organized research units, or similar organizational units.
See subsection 6, Departmental administration expenses. The aggregate expenses of each group shall then be allocated to serviced or benefited functions on the modified total cost basis. Modified total costs consist of the same elements as those in Section G. Departmental administration expenses. The expenses under this heading are those that have been incurred for administrative and supporting services that benefit common or joint departmental activities or objectives in academic deans' offices, academic departments and divisions, and organized research units. Organized research units include such units as institutes, study centers, and research centers. Departmental administration expenses are subject to the following limitations. Salaries and operating expenses are limited to those attributable to administrative functions.
This category does not include professional business or professional administrative officers. No documentation is required to support this allowance. This would include expenses such as the salaries of secretarial and clerical staffs, the salaries of administrative officers and assistants, travel, office supplies, stockrooms, and the like. For example, salaries of technical staff, laboratory supplies e.
Direct charging of these costs may be accomplished through specific identification of individual costs to benefiting cost objectives, or through recharge centers or specialized service facilities, as appropriate under the circumstances. Direct charging of these costs may be appropriate where a major project or activity explicitly budgets for administrative or clerical services and individuals involved can be specifically identified with the project or activity. Some examples of major projects are described in Exhibit C. Sponsored projects administration. The expenses under this heading are limited to those incurred by a separate organization s established primarily to administer sponsored projects, including such functions as grant and contract administration Federal and non Federal , special security, purchasing, personnel, administration, and editing and publishing of research and other reports.
They include the salaries and expenses of the head of such organization, assistants, and immediate staff, together with the salaries and expenses of personnel engaged in supporting activities maintained by the organization, such as stock rooms, stenographic pools and the like. Appropriate adjustments will be made for services provided to other functions or organizations. Library expenses. The expenses under this heading are those that have been incurred for the operation of the library, including the cost of books and library materials purchased for the library, less any items of library income that qualify as applicable credits under Section C.
The library expense category should also include the fringe benefits applicable to the salaries and wages included therein, an appropriate share of general administration and general expense, operation and maintenance expense, and depreciation and use allowances. Costs incurred in the purchases of rare books museum type books with no value to sponsored agreements should not be allocated to them. Amount allocated in subsection b shall be assigned further as follows: 1 The amount in the student category shall be assigned to the instruction function of the institution. Student administration and services. The expenses under this heading are those that have been incurred for the administration of student affairs and for services to students, including expenses of such activities as deans of students, admissions, registrar, counseling and placement services, student advisers, student health and infirmary services, catalogs, and commencements and convocations.
The salaries of members of the academic staff whose responsibilities to the institution require administrative work that benefits sponsored projects may also be included to the extent that the portion charged to student administration is determined in accordance with Section J. The items to be accumulated under this heading are the reimbursements and other payments from the Federal Government that are made to the institution to support solely, specifically, and directly, in whole or in part, any of the administrative or service activities described in subsections 2 through 9.
In addition, the final rate distribution base as defined in subsection 2 for each major function organized research, instruction, etc. In some instances a single rate basis for use across the board on all work within a major function at an institution may not be appropriate. A particular segment of research may be that performed under a single sponsored agreement or it may consist of research under a group of sponsored agreements performed in a common environment. The environmental factors are not limited to the physical location of the work. Other important factors are the level of the administrative support required, the nature of the facilities or other resources employed, the scientific disciplines or technical skills involved, the organizational arrangements used, or any combination thereof.
Fixed rates for the life of the sponsored agreement. A competitive segment is a period of years approved by the Federal funding agency at the time of the award. If negotiated rate agreements do not extend through the life of the sponsored agreement at the time of the initial award, then the negotiated rate for the last year of the sponsored agreement shall be extended through the end of the life of the sponsored agreement.
Award levels for sponsored agreements may not be adjusted in future years as a result of changes in negotiated rates. When an educational institution does not have a negotiated rate with the Federal Government at the time of the award because the educational institution is a new grantee or the parties cannot reach agreement on a rate , the provisional rate used at the time of the award shall be adjusted once a rate is negotiated and approved by the cognizant agency.
Limitation on reimbursement of administrative costs. Notwithstanding the provisions of subsection 1. Permanent rates established prior to this revision that have been amended in accordance with subsection b may be renegotiated. However, no such renegotiated rate may exceed the rate which would have been in effect if the agreement had remained in effect; nor may the administrative portion of any renegotiated rate exceed the limitation in subsection a. Cognizant Federal agencies are authorized to permit changes where an institution's charging practices are at variance with acceptable practices followed by a substantial majority of other institutions.
Alternative method for administrative costs. In negotiations of rates for subsequent periods, an institution that has elected the option of subsection a may continue to exercise it at the same rate without further identification or documentation of costs, provided that no accounting or cost allocation changes with the effects described in subsection 8. If an institution elects to accept a threshold rate, it is not required to perform a detailed analysis of its administrative costs. Individual rate components. Cognizant agency assignments. Information on funding shall be derived from relevant data gathered by the National Science Foundation.
Notwithstanding the method for cognizance determination described above, other arrangements for cognizance of a particular educational institution may also be based in part on the types of research performed at the educational institution and shall be decided based on mutual agreement between HHS and DOD. Cognizance for these educational institutions shall transfer to HHS or DOD at the end of the period covered by the current negotiated rate agreement. After cognizance is established, it shall continue for a five year period.
Acceptance of rates. The negotiated rates shall be accepted by all Federal agencies. Only under special circumstances, when required by law or regulation, may an agency use a rate different from the negotiated rate for a class of sponsored agreements or a single sponsored agreement. Correcting deficiencies. The cognizant agency shall negotiate changes needed to correct systems deficiencies relating to accountability for sponsored agreements. Cognizant agencies shall address the concerns of other affected agencies, as appropriate. Resolving questioned costs.
The cognizant agency shall conduct any necessary negotiations with an educational institution regarding amounts questioned by audit that are due the Federal Government related to costs covered by a negotiated agreement. Reimbursement to cognizant agencies for work performed under Circular A 21 may be made by reimbursement billing under the Economy Act, 31 U. Procedure for establishing facilities and administrative rates. The cognizant agency shall arrange with the educational institution to provide copies of rate proposals to all interested agencies.
Agencies wanting such copies should notify the cognizant agency. Rates shall be established by one of the following methods: 1 Formal negotiation. The cognizant agency is responsible for negotiating and approving rates for an educational institution on behalf of all Federal agencies. Non cognizant Federal agencies, which award sponsored agreements to an educational institution, shall notify the cognizant agency of specific concerns i. The cognizant agency shall address the concerns of all interested agencies, as appropriate.
A pre negotiation conference may be scheduled among all interested agencies, if necessary. The cognizant agency shall then arrange a negotiation conference with the educational institution. The cognizant agency and educational institution may reach an agreement on rates without a formal negotiation conference; for example, through correspondence or use of the simplified method described in this Circular. Formalizing determinations and agreements. The cognizant agency shall formalize all determinations or agreements reached with an educational institution and provide copies to other agencies having an interest.
Disputes and disagreements. Where the cognizant agency is unable to reach agreement with an educational institution with regard to rates or audit resolution, the appeal system of the cognizant agency shall be followed for resolution of the disagreement. Simplified method for small institutions. The institution may use either the salaries and wages see subsection 2 or modified total direct costs see subsection 3 as distribution basis.
The simplified procedure should not be used where it produces results that appear inequitable to the Federal Government or the institution. Simplified procedure Salaries and wages base. Establish the total amount of salaries and wages paid to all employees of the institution. Establish a salary and wage distribution base, determined by deducting from the total of salaries and wages as established in subsection a the amount of salaries and wages included under subsection b.
Simplified procedure Modified total direct cost base. Establish the total costs incurred by the institution for the base period. Establish a modified total direct cost distribution base, as defined in Section G. General provisions for selected items of cost. Advertising and public relations costs. The term advertising costs means the costs of advertising media and corollary administrative costs. Advertising media include magazines, newspapers, radio and television, direct mail, exhibits, electronic or computer transmittals, and the like. The term public relations includes community relations and means those activities dedicated to maintaining the image of the institution or maintaining or promoting understanding and favorable relations with the community or public at large or any segment of the public.
The only allowable advertising costs are those that are solely for: 1 The recruitment of personnel required for the performance by the institution of obligations arising under a sponsored agreement See also subsection b. Costs identified in subsections c and d if incurred for more than one sponsored agreement or for both sponsored work and other work of the institution, are allowable to the extent that the principles in sections D. Unallowable advertising and public relations costs include the following: 1 All advertising and public relations costs other than as specified in subsections 1.
Advisory councils. Alcoholic beverages. Costs of alcoholic beverages are unallowable. Audit costs and related services. Other audit costs are allowable if included in an indirect cost rate proposal, or if specifically approved by the awarding agency as a direct cost to an award. Bad Debt. Bonding costs. Bonding costs arise when the Federal Government requires assurance against financial loss to itself or others by reason of the act or default of the institution. They arise also in instances where the institution requires similar assurance. Included are such bonds as bid, performance, payment, advance payment, infringement, and fidelity bonds. Costs of bonding required pursuant to the terms of the award are allowable.
Costs of bonding required by the institution in the general conduct of its operations are allowable to the extent that such bonding is in accordance with sound business practice and the rates and premiums are reasonable under the circumstances. Commencement and convocation costs. Communication costs. Compensation for personal services. Compensation for personal services covers all amounts paid currently or accrued by the institution for services of employees rendered during the period of performance under sponsored agreements. Such amounts include salaries, wages, and fringe benefits see subsection f.
Charges to sponsored agreements may include reasonable amounts for activities contributing and intimately related to work under the agreements, such as delivering special lectures about specific aspects of the ongoing activity, writing reports and articles, participating in appropriate seminars, consulting with colleagues and graduate students, and attending meetings and conferences. Incidental work that in excess of normal for the individual , for which supplemental compensation is paid by an institution under institutional policy, need not be included in the payroll distribution systems described below, provided such work and compensation are separately identified and documented in the financial management system of the institution.
Payroll distribution. The components of the residual category are not required to be separately documented. A precise assessment of factors that contribute to costs is not always feasible, nor is it expected. Reliance, therefore, is placed on estimates in which a degree of tolerance is appropriate. Methods for apportioning salaries and wages, however, must meet the criteria specified in subsection b. Examples of acceptable methods are contained in subsection c. Other methods that meet the criteria specified in subsection b.
Compensation for incidental work described in subsection a need not be included. Therefore, the payroll distribution system may reflect categories of activities expressed as a percentage distribution of total activities. When such estimates are used, significant changes in the corresponding work activity must be identified and entered into the payroll distribution system. Short term such as one or two months fluctuation between workload categories need not be considered as long as the distribution of salaries and wages is reasonable over the longer term, such as an academic period. Examples of Acceptable Methods for Payroll Distribution: 1 Plan Confirmation: Under this method, the distribution of salaries and wages of professorial and professional staff applicable to sponsored agreements is based on budgeted, planned, or assigned work activity, updated to reflect any significant changes in work distribution.
A plan confirmation system used for salaries and wages charged directly or indirectly to sponsored agreements will meet the following standards: a A system of budgeted, planned, or assigned work activity will be incorporated into the official records of the institution and encompass both sponsored and all other activities on an integrated basis. The system may include the use of subsidiary records. Practices vary among institutions and within institutions as to the activity constituting a full workload. Hence, the system will reflect categories of activities expressed as a percentage distribution of total activities. Whenever it is apparent that a significant change in work activity that is directly or indirectly charged to sponsored agreements will occur or has occurred, the change will be documented over the signature of a responsible official and entered into the system.
Charges may be made initially on the basis of estimates made before the services are performed, provided that such charges are promptly adjusted if significant differences are indicated by activity records. To confirm that the distribution of activity represents a reasonable estimate of the work performed by the employee during the period, the reports will be signed by the employee, principal investigator, or responsible official s using suitable means of verification that the work was performed. For other employees, unless alternate arrangements are agreed to, the reports will be prepared no less frequently than monthly and will coincide with one or more pay periods.
These records may be kept jointly or separately but are to be certified separately, see below. These signatures may all be on the same document. Salary rates for faculty members. Charges for work performed on sponsored agreements by faculty members during the academic year will be based on the individual faculty member's regular compensation for the continuous period which, under the policy of the institution concerned, constitutes the basis of his salary. Charges for work performed on sponsored agreements during all or any portion of such period are allowable at the base salary rate. In no event will charges to sponsored agreements, irrespective of the basis of computation, exceed the proportionate share of the base salary for that period.
This principle applies to all members of the faculty at an institution. Since intra university consulting is assumed to be undertaken as a university obligation requiring no compensation in addition to full time base salary, the principle also applies to faculty members who function as consultants or otherwise contribute to a sponsored agreement conducted by another faculty member of the same institution. However, in unusual cases where consultation is across departmental lines or involves a separate or remote operation, and the work performed by the consultant is in addition to his regular departmental load, any charges for such work representing extra compensation above the base salary are allowable provided that such consulting arrangements are specifically provided for in the agreement or approved in writing by the sponsoring agency.
The base salary period used in computing charges for work performed during the summer months will be the number of months covered by the faculty member's official academic year appointment. Charges for work performed on sponsored agreements by faculty members having only part time appointments will be determined at a rate not in excess of that regularly paid for the part time assignments. He devoted one half of his remaining time to a sponsored agreement.
Noninstitutional professional activities. Unless an arrangement is specifically authorized by a Federal sponsoring agency, an institution must follow its institution wide policies and practices concerning the permissible extent of professional services that can be provided outside the institution for noninstitutional compensation. Where such institution wide policies do not exist or do not adequately define the permissible extent of consulting or other noninstitutional activities undertaken for extra outside pay, the Federal Government may require that the effort of professional staff working on sponsored agreements be allocated between 1 institutional activities, and 2 noninstitutional professional activities. If the sponsoring agency considers the extent of noninstitutional professional effort excessive, appropriate arrangements governing compensation will be negotiated on a case by case basis.
Fringe benefits. See subsection Tuition benefits for family members other than the employee are unallowable for fiscal years beginning after September 30, See Section J. However, increases to normal and past service pension costs caused by a delay in funding the actuarial liability beyond 30 days after each quarter of the year to which such costs are assignable are unallowable. Late payment charges on such premiums are unallowable.
Excise taxes on accumulated funding deficiencies and prohibited transactions of pension plan fiduciaries imposed under ERISA are also unallowable. Such costs will be allocated on an equitable basis among all related activities of the institution. When the allocation method is used, separate allocations must be made to selective groupings of employees, unless the institution demonstrates that costs in relationship to salaries and wages do not differ significantly for different groups of employees.
Fringe benefits shall be treated in the same manner as the salaries and wages of the employees receiving the benefits. Institution furnished automobiles. That portion of the cost of institution furnished automobiles that relates to personal use by employees including transportation to and from work is unallowable regardless of whether the cost is reported as taxable income to the employees. Severance pay. Costs of severance pay are allowable only to the extent that such payments are required by law, by employer-employee agreement, by established policy that constitutes in effect an implied agreement on the institution's part, or by circumstances of the particular employment.
However, the Federal Government recognizes its obligation to participate, to the extent of its fair share, in any specific payment. Contingency provisions. Deans of faculty and graduate schools. If a proceeding referred to in subsection b. Costs incurred in connection with proceedings described in subsection b, but which are not made unallowable by that subsection, may be allowed by the Federal Government, but only to the extent that: 1 The costs are reasonable in relation to the activities required to deal with the proceeding and the underlying cause of action; 2 Payment of the costs incurred, as allowable and allocable costs, is not prohibited by any other provision s of the sponsored agreement; 3 The costs are not otherwise recovered from the Federal Government or a third party, either directly as a result of the proceeding or otherwise; and, 4 The percentage of costs allowed does not exceed the percentage determined by an authorized Federal official to be appropriate considering the complexity of procurement litigation, generally accepted principles governing the award of legal fees in civil actions involving the United States as a party, and such other factors as may be appropriate.
Such percentage shall not exceed 80 percent. However, if an agreement reached under subsection c has explicitly considered this 80 percent limitation and permitted a higher percentage, then the full amount of costs resulting from that agreement shall be allowable. Costs incurred by the institution in connection with the defense of suits brought by its employees or ex employees under section 2 of the Major Fraud Act of Pub. Costs of legal, accounting, and consultant services, and related costs, incurred in connection with defense against Federal Government claims or appeals, or the prosecution of claims or appeals against the Federal Government, are unallowable. Costs of legal, accounting, and consultant services, and related costs, incurred in connection with patent infringement litigation, are unallowable unless otherwise provided for in the sponsored agreements.
Costs, which may be unallowable under this section, including directly associated costs, shall be segregated and accounted for by the institution separately. During the pendency of any proceeding covered by subsections b and f, the Federal Government shall generally withhold payment of such costs. However, if in the best interests of the Federal Government, the Federal Government may provide for conditional payment upon provision of adequate security, or other adequate assurance, and agreement by the institution to repay all unallowable costs, plus interest, if the costs are subsequently determined to be unallowable.
Institutions may be compensated for the use of their buildings, capital improvements, and equipment, provided that they are used, needed in the institutions' activities, and properly allocable to sponsored agreements. Such compensation shall be made by computing either depreciation or use allowance. Use allowances are the means of providing such compensation when depreciation or other equivalent costs are not computed.
The allocation for depreciation or use allowance shall be made in accordance with Section F. Depreciation and use allowances are computed applying the following rules: The computation of depreciation or use allowances shall be based on the acquisition cost of the assets involved. The acquisition cost of an asset donated to the institution by a third party shall be its fair market value at the time of the donation. For this purpose, the acquisition cost will exclude: 1 the cost of land; 2 any portion of the cost of buildings and equipment borne by or donated by the Federal Government, irrespective of where title was originally vested or where it is presently located; and 3 any portion of the cost of buildings and equipment contributed by or for the institution where law or agreement prohibits recovery.
In the use of the depreciation method, the following shall be observed: 1 The period of useful service useful life established in each case for usable capital assets must take into consideration such factors as type of construction, nature of the equipment, technological developments in the particular area, and the renewal and replacement policies followed for the individual items or classes of assets involved. In the absence of clear evidence indicating that the expected consumption of the asset will be significantly greater in the early portions than in the later portions of its useful life, the straight-line method shall be presumed to be the appropriate method. Depreciation methods once used shall not be changed unless approved in advance by the cognizant Federal agency.
This requirement does not apply to those institutions e. The aggregate amount of use allowances and depreciation attributable to an asset including imputed depreciation applicable to periods prior to the conversion to the use allowance method as well as depreciation after the conversion may be less than, and in no case, greater than the total acquisition cost of the asset. A building may also be divided into multiple components. Each component item may then be depreciated over its estimated useful life.
The building components shall be grouped into three general components of a building: building shell including construction and design costs , building services systems e. In exceptional cases, a Federal cognizant agency may authorize a institution to use more than these three groupings. See also subsection e. The use allowance for equipment shall be computed at an annual rate not exceeding six and two-thirds percent of acquisition cost. Use allowance recovery is limited to the acquisition cost of the assets.
For donated assets, use allowance recovery is limited to the fair market value of the assets at the time of donation. The entire building must be treated as a single asset, and the two-percent use allowance limitation must be applied to all parts of the building. The two-percent limitation, however, need not be applied to equipment or other assets that are merely attached or fastened to the building but not permanently fixed and are used as furnishings, decorations or for specialized purposes e. Such equipment and assets will be considered as not being permanently fixed to the building if they can be removed without the need for costly or extensive alterations or repairs to the building to make the space usable for other purposes. Except as otherwise provided in subsections b.
Charges for use allowances or depreciation must be supported by adequate property records, and physical inventories must be taken at least once every two years to ensure that the assets exist and are usable, used, and needed. Statistical sampling techniques may be used in taking these inventories. In addition, when the depreciation method is used, adequate depreciation records showing the amount of depreciation taken each period must also be maintained.In addition, the final rate distribution base as Booker T. Washingtons Plant Ideas in subsection 2 for each major function organized research, instruction, etc. Brent Kennedy. Kentucky Revised Statute: A Case Study and Dissent: Kentucky Kentucky Revised Statute: A Case Study —