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Undergraduate Catalog

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Indirect Costs

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Indirect Cost, also known as Facilities and Administration Costs, is defined as costs that have been incurred for common or joint objectives of Troy University and the sponsored program. Therefore, cannot be identified specifically in reference to a particular project, such as building operations and maintenance, laboratory space, library service, utilities, and administrative services. Troy University requires that proposals submitted to external sponsors should request the maximum allowable rate whether the rate is a fixed rate determined by the agency or Troy University's negotiated rate. However, if the agency does not designate a fixed rate or does not allow the negotiated rate, the minimum indirect cost for all external proposals is to be 14% of all direct costs. Exception to the 14% rate can only be approved by the Chancellor or Senior Vice Chancellor.