UVM’s Cost policy has determined what is considered a typical direct cost and what is typical indirect costs.

Principal Investigators who believe circumstances of their federally funded project warrant an exemption that would allow direct charging a normally indirect cost item as direct must do the following:

Make the request using UVMClick - Request Award Modification activity.

  1. Login to UVMClick. 
  2. Click the Grants Tab, click Awards, Search for the applicable award (By PI Name is probably easiest).
  3. Click on the "Name" (title) to open the record.
  4. Click the left side menu item "Request Award Modification".
  5. Complete the SmartForm, and click Finish.

The request is sent to the assigned SPA Specialist who will complete the action.

For a more details refer to:

Approvals:

If approved, SPA will open the spending account code that is then used for posting the charge to the sponsored project in the accounting system (PeopleSoft).

Cost that Require the Direct Cost Justification Form

Below is a comprehensive list of accounts and their descriptions that currently requie a Direct Cost Justification Form be completed, delivered to SPA and approved in order to charge such cost directly to a federally funded project.

Direct Cost Justification
Require Direct Cost Justification Form
IC = Internal Charge		Costs  that Do NOT Require Direct Cost Justification Form
IC = Internal Charge
F6020 - Computer Supplies & ServicesF5000 - Administrative & Clerical Salaries
60005 - Computing Supplies1. Administrative or clerical services are integral or necessary to accomplish the scope of work being funded to the project or activity;
60201 - Computer Services External2. Individuals involved can be specifically identified with the project or activity;
60221 - Data Storage Services External3. Such costs are explicitly included in the budget proposed to the federal sponsor or have the prior written approval of the Federal awarding agency;
65042 - Non-Cap Software - General Purpose <$50004. Otherwise, federal grant's officer written approval is required.
65103 - Software Maintenance & LicenseF6021 - Computer Services, Devices & Sceintific Software
65104 - Software Services Contract65022 - Non-Cap Computer Hardware <$5000
80015 - IC Software65043 - Non-Cap Software - Scientific <$5000
80016 - IC Micro Comp Srvcs/Accsr80014 - IC Computing Hardware <$5000
80252 - IC Software Installation80047 - IC Computing Services (Vermont Advance Computer Core -VACC) 
80253 - IC Software Svcs/Repair

F6510 – Equipment Maintenance

80255 - IC Hardware InstallationMaintenance agreements  or service contracts on scientific/technical equipment which are used to specifically to advance the purpose of a sponsored agreement may be direct charged if either one of the two following allocation approaches are used:
• Actual usage of the related equipment is tracked e.g. a log and the usage information is the basis for allocation
• The PI can apply the proportional benefit rule without undue effort or cost to the applicable sponsored agreements
80256 - IC Hardware Maint & Repair 
F6002 - General Purpose Supplies & Services
60001 - Office Supplies 
60002 - Paper Supplies 
60009 - Other Supplies 
60041 - Art Supplies 
600814 - Clinical Supplies 
60091 - Instructional Supplies 
60092 - Instructional Services 
60103 - Copier Supplies 
60121 - Postage 
60161 - Books 
61201 - Accounting/Audit Services 
61235 - Patent & Copyright Fees 
63123 - Cust Spec Supplies 
63125 - Cleaning Supplies 
63127 - Vehicle Maint Supplies 
63128 - Equipment Maint Supplies 
65002 - Other Equip <$5000 
65051 - Furniture <$5000 
80019 - IC Microfilming Services 
80025 - IC Mail Processing 
80026 - IC Audio/Visual Services 
80033 - IC University Postage 
80215 - IC Office Supplies 
80217 - IC Instruction Supplies 
80218 - IC Books 
80236 - IC Consulting Svcs 
80237 - IC Instruction Svcs 
80240 - IC Parking Svcs 
80248 - IC Davis Ctr Svcs 
F6006 - Memberships & Subscriptions 
60163 - Periodicals/Subscriptions 
60165 - Electronic Reference Sources 
60169 - Other Information Resources 
60561 - Membership Fees and Dues 
60563 - Internet Membership & Dues 
F6007 - Work Order Services 
80101 - IC WO-Wages 
80102 - IC WO-Benefits 
80103 - IC WO-Materials 
80104 - IC WO-Ext Repair & Maint 
80105 - IC WO-Equipment Rental 
80106 - IC WO-Ext Consulting 
80107 - IC WO-Equipment $5000 
80108 - IC WO-HZMAT Disposal 
80120 - IC PPD WO-Wages 
80121 - IC PPD WO-Benefits 
80125 - IC PPD WO-Materials 
80130 - IC CUST WO-Wages 
80131 - IC CUST WO-Benefits 
80135 - IC CUST WO-Materials 
F6301 - Utilities 
61001 - Insurance 
61002 - General Liability Insurance 
61006 - Vehicle Insurance 
63001 - Electricity 
63003 - Water & Sewage 
63021 - No. 2 Fuel 
63022 - No. 6 Fuel 
63023 - Natural Gas 
63024 - Propane 
63025 - BioDeisel Fuel 
63029 - Heat-External 
63130 - Gasoline/Oil 
80027 - IC - Heat Plant 
F6320 - Telephone & Telecom Services 
57895 - Cell Phone Stipend 
60205 - Network Consulting 
60209 - Non-UVM Internet Srvc 
63201 - Non-UVM Phone Service 
63205 - Telephone Tolls 
80002 - IC Phone Lines/Equip 
80003 - IC Long Distance 
80013 - IC Phone Work Order 

 

Costing Policy Website and Unlike Circumstances Guiding Principles

Please visit Cost Accountings website for more details about UVM’s Cost Policy and Unlike Circumstances.

Allocating Costs to Projects

When allocating charges to a sponsored project, a well defined and consistently applied cost allocation methodology is necessary. The cost allocation method used must document the equitable distribution of charges to a project in proportion to the benefit received. There is no single best cost allocation method for documenting the distribution of charges. The allocation method used is administered and maintained at the PI, Department and Unit levels.

Responsibility

The Principal Investigator and Department administration who are responsibility to ensure that all costs are necessary reasonable, and allocable for the performance of the project or activity being supported by the federal award, subject to any special terms and conditions.

Administrative and Clerical Salaries

Administrative and Clerical Salary positions may be charged directly to a project funded with federal dollars, without completing the Direct Cost Justification Form, as long as the Admin/Clerical position meets UVM’s Cost Policy.

Charging Computers Directly

Direct charging of computing devices, costing less than $5,000 is allowable, without the need for a Direct Cost Justification Form, provided the computer or computer device is essential and primarily used to support the performance of the project.

Non-Federal Sponsored Agreements

Exemptions apply to federally funded awards. For non-Federal awards all costs that are reasonable, allocable and necessary for the performance of the project or activity being supported by the non-federal award may be direct charged, subject to any special terms and conditions.

 

Updated 4/1/20