VIII. Common Challenges for Partnerships
Indirect Costs Assessment Flowchart
Determining the Appropropriate Indirect Cost to be Borne by a Potential Cooperator
Forest, Station, Lab, Area, or WO Staff negotiation with cooperator on indirect burden costs for proposed agreement.
Question1
Is work Research or normal and recurring work?
Research: Go to Question 2
Normal/Recurring: Go to Question 3
Base Burden Rate is Natinal Indirect burden rate (FY 2004 = 10.2%)
Not Normal/Recurring: Go to Question 3
Base Burden rate is Marginal rate (FY 2004 = 2.5%)
Question 2
Is the national burden rate appropriate given the Station's cost structure?
YES: Use burden in Program Direction.
NO: Calcuate burden rate using local analysis.
Question 3:
Are there contracts, land purchases, large procurements or other pass-throughs?
YES: Go to Question4
Reduce agreeement amount that burden rate is applied to by the contracted or other large pass-through amounts.
NO: Burden appliced to full agreement amount.
Question 4
Does Coop Authority allow for waivers?
YES: Go to Question 5
NO: Assess Cooperator indicated burden amount and include in agreement.
Question 5
Does Cooperator and Forest/Staff desire a waiver of Indirect Costs?
YES: Go to Question 6
NO: Assess Cooperator indicated burden amount and include in agreement.
Question 6
Forest Supervisor/Staff Director review waiver for compliance and consistency. Make Decision.
Waiver Approved: Go to Question 7
Waiver Disapproved: Assess Cooperator indicated burden amount and include in agreement.
Question 7
Does Forest/Staff want to forego absorbing indirect burden into unit budget?
YES: FS/Staff (<$1,000) or RF/DC get CFO advice, review request to forego to assure financial burden not in excess of benefits. Make Decision.
If waiver and foregoing approved: No burden assessed.
If waiver approved but foregoing not approved: Burden paid for out of Forest/Staff budget.