Exhibit I Certification_of_De_Minimis_Indirect_Cost_Rate.pdf

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Attached to
AZ|CTR079172
Contract number
CTR079172
Issued by
Arizona

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Certification of De Minimis Indirect Cost Rate

This document is a certification form issued by the Arizona Department of Economic Security (ADES) for subrecipients of federal awards who elect to use the de minimis indirect cost rate for reimbursement purposes. The form allows eligible subrecipients to claim up to 15% of Modified Total Direct Costs (MTDC) as indirect costs without obtaining a Federally-negotiated indirect cost rate agreement.

To qualify for the de minimis rate, subrecipients must meet four eligibility criteria: they must have never previously received a Federally-negotiated indirect cost rate; they must have received less than $35 million in direct federal funding in the fiscal year requested; they must apply the approved rate to MTDC, which includes direct salaries, wages, fringe benefits, materials, supplies, services, travel, and up to $50,000 of each subaward while excluding equipment, capital expenditures, patient care charges, rental costs, tuition remission, scholarships, fellowships, and participant support costs; and they must consistently charge project costs as either indirect or direct without double-charging or inconsistent allocation. The subrecipient bears responsibility for proper use and application of the de minimis rate and remains subject to monitoring by ADES and the awarding federal agency, with non-compliance with 2 CFR 200 or other applicable federal guidelines requiring return of funds to ADES.

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Certification of De Minimis Indirect Cost Rate

(Name of subrecipient) elects to use up to the 15% de Minimis rate for indirect cost reimbursement and certifies that it meets each of the following eligibility criteria:

1. The subrecipient has never received a Federally-negotiated indirect cost rate for any federal awards.

2. The subrecipient has received less than $35 million in direct federal funding for the fiscal year requested.

3. The de minimis rate approved will be applied to Modified Total Direct Cost (MTDC). This base includes all direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $50,000 of each subaward (regardless of the period of performance of the subawards under the award). MTDC excludes equipment, capital expenditures, charges for patient care, rental costs, tuition remission, scholarships and fellowships, participant support costs and the portion of each subaward in excess of $50,000. Other items may only be excluded when necessary to avoid a serious inequity in the distribution of indirect costs.

4. The project costs will be consistently charged as either indirect or direct and will not be double charged or inconsistently charged as both.

The proper use and application of the de Minimis rate is the responsibility of the subrecipient and subject to monitoring by the Arizona Department of Economic Security (ADES) and/or the awarding federal agency. If financial monitoring results in the determination of non-compliance with 2 CFR 200 and/or other applicable federal guidelines, funds must be returned to ADES.

SUBMITTED BY AUTHORIZED REPRESENTATIVE:

Signature:

Printed Name:

Title:

Date:

Exhibit I

Name of subrecipient elects to use:
Printed Name:
Title:
Date:

File details come from the government source that posted it. Updated .