Issues in determination of overhead for cost recovery from research funding sources are discussed, including the need to collect overhead, principles involved in charging for overhead, range of activity types to be considered, classification and calculation of costs, pricing policy, and payment to the university versus payment to its components.…

Stanford University (California) and the United States Navy have settled a dispute over 12 years of charges for research overhead, and the Navy has issued a rule requiring universities to negotiate multiyear overhead rates when appropriate data are available. Stanford agreed to pay back a total of $3.4-million. (MSE)

A discussion of the federal Office of Management and Budget (OMB) policies concerning computation of indirect costs on federally funded research projects at universities focuses on recent policy changes. Significant revisions are examined, future points of scrutiny are noted, and ongoing initiatives are described. Three options for indirect cost…

In the largest settlement of its kind, New York University has agreed to pay the federal government $15.5 million to resolve charges that it submitted false information to obtain inflated reimbursements for costs associated with research grants. At least four universities are being investigated on similar grounds. The Clinton Administration issued…

Despite pressure from Congress and faculty, and a series of revisions in federal regulations, the average rate charged the government by universities for overhead for federally financed research appears remains high. Average rate for the top 100 research institutions is over 50%; most of the highest rates are at private institutions; all the…