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NOFA Q&A

Question

7/27/2016
Please provide further clarification on indirect expenses.

In regard to PSH - it was noted that agencies could request indirect costs to cover operation costs related to staffing and that those expenses should be included in the supportive services budget based on FTE. Can you please clarify under what category of the supportive services budget these costs would be included? Also, is the recommendation that we outline those costs directly or as a percentage of the staff salary, as we might do for benefits?

Answer

Indirect costs are NOT a substitute for Operating costs. Costs claimed to be indirect costs MUST be determined under the guidance of 2 CFR 200, and meet the restrictions of the McKinney Vento Act as Amended by the HEARTH Act. All items in the Indirect Costs Pool MUST be eligible under BOTH regulations.