[Code of Federal Regulations]

[Title 34, Volume 1]

[Revised as of July 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 34CFR76.564]



[Page 176-177]

 

                           TITLE 34--EDUCATION

 

PART 76_STATE-ADMINISTERED PROGRAMS--Table of Contents

 

 Subpart F_What Conditions Must Be Met by the State and Its Subgrantees?

 

Sec.  76.564  Restricted indirect cost rate--formula.



    (a) An indirect cost rate for a grant covered by Sec.  76.563 or 34 

CFR 75.563 is determined by the following formula:



Restricted indirect cost rate = (General management costs + Fixed costs) 

    / (Other expenditures)



    (b) General management costs, fixed costs, and other expenditures 

must be determined under Sec. Sec.  76.565 through 76.567.

    (c) Under the programs covered by Sec.  76.563, a subgrantee of an 

agency of a State or a local government (as those terms are defined in 

34 CFR 80.3) or a grantee subject to 34 CFR 75.563 that is not a State 

or local government agency may use--

    (1) An indirect cost rate computed under paragraph (a) of this 

section; or

    (2) An indirect cost rate of eight percent unless the Secretary 

determines that the subgrantee or grantee would have a lower rate under 

paragraph (a) of this section.

    (d) Indirect costs that are unrecovered as a result of these 

restrictions may not be charged directly, used to



[[Page 177]]



satisfy matching or cost-sharing requirements, or charged to another 

Federal award.



(Authority: 20 U.S.C. 1221e-3(a)(1), 2831(a), 2974(b), and 3474)



[59 FR 59583, Nov. 17, 1994]