The University of Georgia (UGA) recently announced the approval of its new F&A (Facilities and Administrative) rate agreement. The agreement, which was approved by the federal government, sets the indirect cost rates that UGA can charge on sponsored research projects.
For those unfamiliar with F&A rates, they are the costs associated with the infrastructure and support required to conduct research. This includes things like building maintenance, utilities, and administrative support. When a university receives funding for a research project, they can charge a percentage of the direct costs of the project to cover these indirect costs. This percentage is known as the F&A rate.
The new agreement, which covers the period from July 1, 2021, through June 30, 2025, sets UGA’s F&A rates at 54.5% for research and 36.5% for other sponsored activities. These rates represent a slight increase from UGA’s previous agreement, which had rates of 54% and 35%, respectively.
While this may seem like a minor change, it can have a significant impact on the university’s ability to conduct research. The increased rates will provide UGA with additional funding to support research infrastructure, which can help attract and retain top researchers and enable them to conduct cutting-edge research.
It’s important to note that F&A rates are negotiated with the federal government and can vary from university to university. The rates are typically based on the actual costs the university incurs to support research and can change over time based on factors like inflation and changes in research needs.
In conclusion, the approval of UGA’s new F&A rate agreement is a positive development for the university and its research community. The increased rates will provide additional support for research infrastructure and help UGA remain competitive in attracting and retaining top researchers. As always, it’s important for researchers and administrators to stay informed about changes in F&A rates and how they may impact their work.