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<p class=MsoNormal><span style='font-size:12.0pt'>Please broadly disseminate this
information to Principal Investigators and those individuals involved in the
development of extramural proposal budgets.<o:p></o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt;color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'>On April 29, the Vice
Chancellor for Research issued guidance for budgeting administrative support
expenses in proposals for ARRA awards. This guidance was issued in
anticipation that the federal Office of Management and Budget will approve
these expenses as direct costs on ARRA awards.<o:p></o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'>The Office of Management and
Budget recently determined that ARRA requirements <b><i><u>do not</u> </i></b>provide
sufficient justification to support the provision of direct costs for
administrative support in addition to the Facilities and Administrative
(F&A) costs in the awarded budget. Consequently, the Office of
Research is rescinding the April 29 guidance. Administrative support
expenses should not be budgeted in ARRA proposals or charged to ARRA awards unless
the scope of activities and size of the proposed project qualify under the
Major Project exception contained in OMB Circular A-21, F.6.b.(2).<o:p></o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt;color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'>If you have any questions or
require any additional information please contact the <a
href="http://or.ucr.edu/home/Staff.aspx?t=3"
title="http://or.ucr.edu/home/Staff.aspx?t=3">Contract and Grant Officer
assigned to your unit</a>.<o:p></o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt;color:#1F497D'><o:p> </o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'>Bruce Morgan<o:p></o:p></span></p>
<p class=MsoNormal><span style='font-size:12.0pt'>Assistant Vice Chancellor for
Research<o:p></o:p></span></p>
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