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Greetings, NIFA PIs and Research Administrators.
A word about the 2018 Farm Bill<https://www.congress.gov/115/bills/hr2/BILLS-115hr2enr.pdf>, which was signed into law on December 21, 2018.
Besides authorizing USDA food and agricultural programs thru September 30, 2023, the Farm Bill updates and introduces new administrative rules and regulations.
Two such changes are having a direct impact on NIFA Proposals and New Awards, as follow:
1.          New Indirect Cost Recovery Limitations (NIFA Link):

  *   We are now seeing in NIFA Funding Opportunities or as a new grant condition, a limitation on indirect costs to be no greater than 30% of Total Federal Funds Awarded (TFFA) with the limitation applying to the sum of both the initial grantee and its subrecipients; meaning the total of all budgeted indirect costs may not exceed 30% TFFA.
  *   In addition, institutions (like UVM) with a federally negotiated Facilities and Administration (F&A) rate agreement, also known as a Negotiated Indirect Cost Rate Agreement (NICRA), must use those rates if the recovery is less than 30% TFFA.
  *   For additional NIFA Guidance, see Determining the Maximum Indirect Costs Allowed<https://nifa.usda.gov/resource/2018-farm-bill-indirect-cost-provision> and NIFA Programs and Indirect Cost Guidance<https://nifa.usda.gov/sites/default/files/resource/nifa-fed-assistance-indirect-cost-guidance-20190319.pdf>.

UVM Impact:
In summary, when preparing proposal budgets, please calculate at both rates and use the lesser of the two.
1.       The sum of the indirects budgeted by UVM and its subrecipients, with each institution using its own negotiated F&A rate.
2.       30% of Total Federal Funds Awarded (TFFA). This equates to 42.85% of Total Direct Costs.

When received as a new grant condition, adjustments will be made with SPA at time of award set-up.
If you need assistance with interpreting or calculating the correct indirect costs, please reach out to your assigned SPA RA<https://www.uvm.edu/spa/departmental-assignments>.
2.          New Matching Requirements (NIFA Link)<http://nifa.usda.gov/matching-requirement>:

*       Be on alert for new matching requirements within NIFA's competitive grants program. One change that has caught many off guard, including NIFA Grant Administrators, was the removal of the Land Grant exemption from match requirements.

*       As a result, ALL grantees are subject to the match requirements as described in each NIFA Funding Opportunity.

*       For additional NIFA Guidance, see Comparing Current and Past Matching Requirements<https://nifa.usda.gov/resource/current-and-past-matching-requirements>.
UVM Impact:
When applying to a NIFA Funding Opportunity that contains a required match, please contact your Department Chair as early in the process as possible to discuss, coordinate and determine if cost sharing will be made available.
If you need assistance with interpreting a match requirement, please reach out to your assigned SPA RA<https://www.uvm.edu/spa/departmental-assignments> and/or the NIFA Program Officer.

*       For UVM Cost Sharing Guidance, please see SPA's Develop Budget, #19 Cost Sharing<https://www.uvm.edu/spa/develop-budget-0>.

*       Cost shared items typically follow the same federal criteria for being allowable, allocable, and reasonable costs that benefit the work being funded by the grant award and must be incurred within the award's period of performance.
Thank You,

Brian

Brian Prindle, MBA, CRA | Executive Director
University of Vermont
Research Administration and Integrity<https://www.uvm.edu/ovpr/research-administration>
Office of the Vice President for Research
P: 802-656-1435 | [log in to unmask]



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