DI 39503.275 Indirect Costs (OMB Circular A-87)
Funds for indirect costs may be requested in the budget and conditionally approved
by SSA before a State-wide Cost Allocation Negotiation Agreement and Department/Agency
Indirect Cost Negotiation Agreement have been consummated and issued. However, as
directed by OMB Circular A-87 such agreements must be obtained before obligations
may be incurred for indirect costs.
If approved agreements are available at the time the budget request is released, include
copies in the package. If the agency does not have approved agreements for the fiscal
year, it should base its estimates on the following in the priority order as listed
A plan or proposal submitted to, but not yet approved by the Director, Regional Administrative
Support Center (formerly the regional comptroller);
Approval issued by another Federal agency, but not yet distributed by HHS, e.g., Department
A written estimate from a State department or agency in the process of developing
An approved rate for a prior fiscal year.