NIGP 95101: Administrative Allowance

NIGP 95101 Administrative Allowance, an Item code, covers reimbursable expense allocations and administrative cost recovery mechanisms that state and local governments apply to grant awards, service contracts, and interagency agreements. The code captures indirect-cost allowances, overhead recovery percentages, and administrative-burden allocations that purchasing jurisdictions build into contract pricing or pass through to grant recipients. State and local bodies use this code when they need to establish, recover, or reimburse the administrative costs incurred in managing grants, cooperative purchasing arrangements, and service-delivery programs. School districts, county social-services agencies, transit authorities, and state departments administering federal and state grants all rely on administrative allowances to cover compliance, audit, fiscal management, and program-coordination overhead that contract or grant revenue does not directly cover.

The source provides no recent state or local solicitations under NIGP 95101 Administrative Allowance. This code does not generate conventional RFP, RFQ, IFB, or ITB notices; instead, it functions as a pass-through mechanism embedded in grants, cooperative agreements, and service contracts where the allowance rate is negotiated between the funding agency and the recipient or built into standing rate schedules. When activity does appear, it typically surfaces as a line item in a larger grant or master-service-agreement solicitation rather than as a standalone procurement opportunity.