Application of Award Terms

The type of sponsor affects what regulations are applied:

Federal Regulation Pyramid of Precedence

The federal regulation pyramid of precedence shows how to apply agreement and agency terms, MIT policy, and broad federal regulations to federal awards. To determine applicable regulations, begin with the federal award agreement and move down the pyramid, ending with the federal regulations. 

Agreement terms precede sponsor-specific terms, which precede MIT Policy. Every award is subject to federal regulations.
  1. First, look for special terms and conditions in the agreement or funding solicitation
  2. Where the award terms and conditions are silent, apply agency-specific terms. Federal agencies each implement the federal regulations according to their own terms.
  3. Next, apply MIT standard terms unless the award or agency state otherwise.
  4. Every federal award is subject to federal regulations. Apply Uniform Guidance and the FAR, which define the principles for determining costs that are allowable, allocable and reasonable to charge to federal awards.