Notice of New Facilities and Administrative Rate Effective July 1, 2023

The University has negotiated a new Facilities & Administrative (F&A) rate agreement which goes into effect July 1, 2023 until June 30, 2027. The MSU F&A rates for July 1, 2023 – June 30, 2027 are:

• Research – 57%
• Other Sponsored Activities – 37%
• Off-Campus – 26%

The increase in the “Research” rate (+.5%) is primarily due to an increase in costs for major infrastructure projects. The “Other Sponsored Activities” rate increase of (+1%) is due to the increase in non-research sponsored activities and the “Off-Campus” rate remains unchanged.  Consistent with past practice, the new F&A rates will apply to new proposals and will not retroactively apply to current awards. This new F&A rate agreement also applies to HFH+MSU HS proposals submitted through MSU.

The new F&A rates will be available in the KR system Friday, May 5th. If you have a budget in progress and the project start date is after July 1st, we encourage you to update the F&A rate by clicking the “Sync All Rates” button in the Rates Option prior to sending the budget to the Office of Sponsored Programs for review. If you have any questions, please contact your Proposal Team or the KR helpdesk.

Additionally, a copy of the new rate agreement will be available on the SPA website at the following link: Facilities & Administrative Cost Rates in the next few weeks.

If you have any questions regarding the new F&A rates, please contact a member of the CGA or OSP management team or contact pedawi@cga.msu.edu