Subcontracts

Subcontracts cover the costs of relatively independent work conducted on a project which cannot be accomplished within the institution. This work is subcontracted out to individuals or organizations with the appropriate expertise. The total direct and indirect costs for each subcontract must be included in the master budget. In addition, separate detailed budgets for each subcontractor should be attached to the master budget. Subcontractors are allowed to include indirect costs at their organization's negotiated rate. The UO is responsible for monitoring subcontractors for compliance with all federal regulations and grant conditions but charges indirect costs on only the first $25,000 of the subcontractor's budget to cover administrative expenses. Once an award is received, the university will enter into a written agreement with each subcontractor.