School ICR Distribution Policy

School ICR Distribution Policy

The following is the default policy that will be applied to indirect cost recovery distribution within the school. Exceptions may be negotiated with approval of the dean and advice from the Research Advisory Committee or Resources and Planning Committee.

  • The university and campus collectively retain 20% of indirect costs recovered from external grants and contracts. 80% of ICR is made available to schools.
  • Distribution of the ICR within the School of Liberal Arts:
  • The dean's office will retain 25% of the total ICR made available to the school. At least 5% of these funds will be invested in research and creative activities through competitive proposals for tenure-track and tenured faculty, such as the SLA summer research grants program. The dean's office also commits to using a portion of the ICR it retains to provide proposal development support services and financial management of awards through the SLA Office of Research.
  • The default policy for distribution of ICR within the school is as follows: Departments and centers will retain 65% of the ICR made available to the school, which is equivalent to 52% of the total ICR. Departments and centers should develop their own policies regarding the use and distribution of ICR funds within their organization with a focus on supporting research. A copy of each unit's ICR use and distribution policies should be filed with the dean's office. Departments and centers should include an accounting and explanation of how ICR monies are used as part of their departmental annual report.
  • A minimum of 10% of the ICR funds provided to the school (8% of the total ICR) will be made available to the principal investigator (PI) or co-principal investigator (co-PI) if working under a subcontract agreement. The 10% is a minimum. Departments and centers may increase the proportion of ICR made available to investigators by allocating additional funds from the department or center's share of ICR.

Example scenario

Assume total ICR = $10,000

Step 1
UnitICR %ICR $
Campus/Univ.20%$2,000
School80%$8,000
   
 100%$10,000
Step 2
UnitICR %ICR $
School25%$2,000
Dept.65%$5,200
PI10%$800
 100%$8,000
As a percentage of total ICR
Campus/Univ.20%$2,000
School20%$2,000
Dept.52%$5,200
PI8%$800
 100%$10,000

Procedural notes:

  • Separate accounting lines will be created for each department/center/program and PI to help in tracking finances
  • ICR monies will be transferred to departmental and PI account lines twice per year. The total ICR dollars transferred will be calculated based on grant expenditures
  • The school will notify departments/centers and PIs with the amounts, dates, and account numbers of ICR transfers when these occur.