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Improvement grant awards will be much smaller award amounts and may be used to purchase classroom materials, increase academic support services, or make curriculum modifications to increase retention and licensing exam pass rates. Please click on the centralized indirect cost rate system link to begin the indirect cost rate election process and obtain access to resources and points of contact to assist your organization in completing this process. This system is required to be used by all grantees/subrecipients to make an annual indirect cost rate election or negotiate a rate with the state of illinois pursuant to federal uniform guidance.
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All organizations requesting to negotiate an indirect cost rate under state or federal awards must prepare an indirect cost rate proposal and provide related documentation to support the costs. All state of illinois grantees receiving awards from illinois grant making agencies must enter the state of illinois centralized indirect cost rate system via the grantee portal to substantiate its organizations’ election regarding indirect cost reimbursement. Colleges and universities will be restricted to a maximum indirect cost rate of 8 percent or other indirect cost rate calculated by their cognizant federal agency, whichever is less, for federal grants administered by isbe.
Indirect costs are for the grant recipient to apply their federally recognized (approved) indirect cost rate to allowable program expenditures
For this reason, indirect cost rates are a tool to reimbursement organization based on the federal regulations for general administrative costs. (1) indirect cost reimbursement on a training grant is limited to the lesser of the recipient's approved indirect cost rate, or 8 percent of the modified total direct cost (mtdc) base. The grants may be awarded on the basis of performance criteria that shall include, but not be limited to, degree production, student retention, and passage rates on professional licensure examinations. What is an indirect cost rate
An indirect cost rate is a percentage used to allocate and recover the indirect costs In grant funding, it determines the portion of indirect costs covered by the grant It calculates overhead or administrative costs not attributable to a specific project.
