Sponsor-Specific Under-recovery Guidance

Generally, if a sponsor does not fully reimburse MIT at its negotiated F&A rate:

  • For federal, industry and for-profit sponsors: Contact your RAS CA.
  • For foundation and non-profit sponsors: Use Research@MIT to request under-recovery funding.

For select programs, the Institute accepts the F&A rate of sponsors with no under-recovery generated.

Federal Sponsors

Under-recovery of research F&A could arise because of specific federal caps on F&A recovery. However, Uniform Guidance requires federal agencies to obtain approval for such caps. If you see cases where federal sponsors are limiting F&A in their solicitations, contact your RAS CA. RAS and VPR will provide further guidance in cases where federal sponsors limit F&A.

Industry and For-Profit Sponsors

Under-recovery of F&A is not allowed on awards from industry or for-profit sponsors. RAS will provide further guidance in cases where industry and for-profit sponsors limit F&A.

Foundations and Non-Profits

Unless you are applying for the select programs specified below, use Research@MIT to request under-recovery funding to address gaps when a non-profit sponsor limits F&A. See Under-Recovery in Kuali Coeus Quick Card [PDF] for KC budget assistance.

Special Handling of Select Programs

For the following programs, the Institute accepts the F&A rate of sponsors as stated in the solicitation with no under-recovery generated:

  • NIH Training Grants (T32)
  • NIH K Series Programs (K99, K00, etc.)
  • Simons Foundation, select programs:
    • Simons Foundation Autism Research Initiative (SFARI) Bridge to Independence Award 
    • Simons Collaboration on the Global Brain (SCGB) Transition to Independence Award
    • Simons Collaboration on Plasticity and the Aging Brain (SCPAB) Transition to Independence Award

  • Follow these instructions for the above specified programs. Do not enter an under-recovery request in Research@MIT when the Institute accepts the sponsor F&A rate.

    In KC Budget:

    • Budget Settings (for either Summary or Detailed Budget):
      • F&A Rate Type field: Leave default “MTDC”
      • Unrecovered F&A Rate Type field: Leave default “MTDC”
      • Comments: Add note “If awarded, account will be established with RESTG costing sheet and sponsor F&A rate”
    • Rates: Change MTDC rate under Applicable Rate column to sponsor F&A rate. 
    • Institutional Commitments: If using KC detailed (not summary) budget, KC will calculate under-recovery. Use source code “0000001” (not DLCI under-recovery allocation account) to indicate Institute acceptance of sponsor F&A rate.

  • In KC:

    • WBS 6 series account will be established with the costing sheet RESTG and sponsor F&A rate.  
    • When fed to SAP, this costing sheet will charge F&A at the sponsor rate and F&A line item adjustment will appear.  This will be moved to the Institute account and will not be charged to DLCI under-recovery allocation account.

If you have questions about other programs not listed above, contact your RAS CA and RA Support (ra-help@mit.edu).