Resolution on Distribution of Indirect Cost Returns

Be it resolved that the New Brunswick Faculty Council supports the following recommendations regarding the distribution of indirect cost returns:

1. Regarding indirect cost return (ICR) sharing, there should be either an ongoing general agreement or a grant-proposal-specific agreement between a tenured or tenure-track faculty member’s primary academic department and the proposed administering unit (CBI or other department) in place at the time a grant proposal is submitted but at least by the time of the grant award. Often such a general agreement may be made at the time of a faculty member’s initial appointment. Normally, a general agreement will be for a fixed term, and will thus be reviewed by all sides from time to time. This agreement should be submitted and on file in the Office of Research and Sponsored Programs. The CBI director and the chairs of the principal investigator and the co-principal investigators, if any, should negotiate this agreement, spelling out the form of ICR sharing. This agreement requires the approval of the Dean(s) of the academic unit(s) involved. As a general rule, at least 25% of the Indirect Cost Return (ICR) should be returned to the faculty member’s department when 50% or more of his/her budgetary line weight is in the department. But it should be recognized that there are substantial differences in the budgetary responsibilities of the various CBI’s. And in those academic units which have no departments, these agreements must be made with the Dean of that unit.

2.If there is no indirect-cost sharing agreement between the department and the administering unit at the time of the grant award, 90% of the indirect cost return (ICR) is to go to the administering unit, and 10% of the ICR is to be distributed appropriately to the primary academic departments of the principal investigator, and co-principal investigators of the grant.

3.The university form for "Endorsement of an Application for External Funding" will contain a line for the identification of the primary academic departments of the principal investigator, and the co-principal investigators, if any, and to indicate whether there is an ongoing or grant-proposal-specific agreement in place for the distribution of the ICR funds, if the proposal were to be funded. A mechanism will be set up so that the chairs of the primary academic departments of the principal investigator, and co-principal investigators automatically will be sent a copy of this completed endorsement form at the time of the grant proposal submission.

4.The Office of Research and Sponsored Programs will annually produce summaries of external grants received not only by administering units, as at present, but also by primary academic departments of the principal investigators, and co-principal investigators. This will allow the academic departments to receive some credit for their faculty members' participation in the CBI's and other interdisciplinary projects.