Amended IN Assembly June 26, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Senate Bill No. 336Introduced by Senator UmbergFebruary 07, 2023 An act to add Chapter 17.5 (commencing with Section 8900) to Division 1 of Title 2 of the Government Code, relating to state grants. LEGISLATIVE COUNSEL'S DIGESTSB 336, as amended, Umberg. State grant programs: negotiated indirect cost rate agreements. rates.Existing law establishes the Department of General Services in the Government Operations Agency for purposes of providing centralized services of state government. Existing law establishes various state grant programs. Existing federal law provides uniform administrative requirements, cost principles, and audit requirements for federal grant awards to nonfederal entities and provides guidelines for determining direct and indirect costs, as defined, charged to federal awards.This bill would require, to the extent authorized by state and federal law, the Department of General Services to establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement, as defined, for state grants that are awarded on or after October 1, 2024. The bill would require, to the extent authorized by state and federal law, a state agency or other state entity administering a state grant program to use the same terms as contained in the grantees existing negotiated indirect cost rate agreements, as defined, and cost allocation policies approved by the federal government, the same terms as contained in the grantees state standard negotiated cost agreement, or a 10% de minimis indirect cost rate on direct costs, for reimbursement of direct and indirect costs, as provided.This bill would require, unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program to reimburse, when awarding a grant, the grantees indirect costs at one of specified rates as requested by the grantee. The bill would also authorize, unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity to opt, when applying for the grant, to be reimbursed for its indirect costs at one of the specified rates. The bill would make these provisions applicable to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. It is the intent of the Legislature in enacting this act to ensure that nonprofit organizations and other eligible entities are fairly compensated by the state for the full cost of providing services funded by grants. For grant programs using state funds, the Legislature finds and declares that California state agencies should allow for reimbursement of administrative expenses for nonprofit organizations and other eligible entities that are consistent with each nonprofit organizations federally approved negotiated indirect cost rate agreement and cost allocation policy.SEC. 2. Chapter 17.5 (commencing with Section 8900) is added to Division 1 of Title 2 of the Government Code, to read: CHAPTER 17.5. Uniform Cost Agreement for State Grants8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).(3)A 10 percent de minimis indirect cost rate on direct costs.(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.(2) A 10-percent de minimis indirect cost rate on direct costs.(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
Amended IN Assembly June 26, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Senate Bill No. 336Introduced by Senator UmbergFebruary 07, 2023 An act to add Chapter 17.5 (commencing with Section 8900) to Division 1 of Title 2 of the Government Code, relating to state grants. LEGISLATIVE COUNSEL'S DIGESTSB 336, as amended, Umberg. State grant programs: negotiated indirect cost rate agreements. rates.Existing law establishes the Department of General Services in the Government Operations Agency for purposes of providing centralized services of state government. Existing law establishes various state grant programs. Existing federal law provides uniform administrative requirements, cost principles, and audit requirements for federal grant awards to nonfederal entities and provides guidelines for determining direct and indirect costs, as defined, charged to federal awards.This bill would require, to the extent authorized by state and federal law, the Department of General Services to establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement, as defined, for state grants that are awarded on or after October 1, 2024. The bill would require, to the extent authorized by state and federal law, a state agency or other state entity administering a state grant program to use the same terms as contained in the grantees existing negotiated indirect cost rate agreements, as defined, and cost allocation policies approved by the federal government, the same terms as contained in the grantees state standard negotiated cost agreement, or a 10% de minimis indirect cost rate on direct costs, for reimbursement of direct and indirect costs, as provided.This bill would require, unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program to reimburse, when awarding a grant, the grantees indirect costs at one of specified rates as requested by the grantee. The bill would also authorize, unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity to opt, when applying for the grant, to be reimbursed for its indirect costs at one of the specified rates. The bill would make these provisions applicable to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO
Amended IN Assembly June 26, 2023
Amended IN Assembly June 26, 2023
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION
Senate Bill
No. 336
Introduced by Senator UmbergFebruary 07, 2023
Introduced by Senator Umberg
February 07, 2023
An act to add Chapter 17.5 (commencing with Section 8900) to Division 1 of Title 2 of the Government Code, relating to state grants.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 336, as amended, Umberg. State grant programs: negotiated indirect cost rate agreements. rates.
Existing law establishes the Department of General Services in the Government Operations Agency for purposes of providing centralized services of state government. Existing law establishes various state grant programs. Existing federal law provides uniform administrative requirements, cost principles, and audit requirements for federal grant awards to nonfederal entities and provides guidelines for determining direct and indirect costs, as defined, charged to federal awards.This bill would require, to the extent authorized by state and federal law, the Department of General Services to establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement, as defined, for state grants that are awarded on or after October 1, 2024. The bill would require, to the extent authorized by state and federal law, a state agency or other state entity administering a state grant program to use the same terms as contained in the grantees existing negotiated indirect cost rate agreements, as defined, and cost allocation policies approved by the federal government, the same terms as contained in the grantees state standard negotiated cost agreement, or a 10% de minimis indirect cost rate on direct costs, for reimbursement of direct and indirect costs, as provided.This bill would require, unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program to reimburse, when awarding a grant, the grantees indirect costs at one of specified rates as requested by the grantee. The bill would also authorize, unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity to opt, when applying for the grant, to be reimbursed for its indirect costs at one of the specified rates. The bill would make these provisions applicable to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
Existing law establishes the Department of General Services in the Government Operations Agency for purposes of providing centralized services of state government. Existing law establishes various state grant programs. Existing federal law provides uniform administrative requirements, cost principles, and audit requirements for federal grant awards to nonfederal entities and provides guidelines for determining direct and indirect costs, as defined, charged to federal awards.
This bill would require, to the extent authorized by state and federal law, the Department of General Services to establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement, as defined, for state grants that are awarded on or after October 1, 2024. The bill would require, to the extent authorized by state and federal law, a state agency or other state entity administering a state grant program to use the same terms as contained in the grantees existing negotiated indirect cost rate agreements, as defined, and cost allocation policies approved by the federal government, the same terms as contained in the grantees state standard negotiated cost agreement, or a 10% de minimis indirect cost rate on direct costs, for reimbursement of direct and indirect costs, as provided.
This bill would require, unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program to reimburse, when awarding a grant, the grantees indirect costs at one of specified rates as requested by the grantee. The bill would also authorize, unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity to opt, when applying for the grant, to be reimbursed for its indirect costs at one of the specified rates. The bill would make these provisions applicable to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. It is the intent of the Legislature in enacting this act to ensure that nonprofit organizations and other eligible entities are fairly compensated by the state for the full cost of providing services funded by grants. For grant programs using state funds, the Legislature finds and declares that California state agencies should allow for reimbursement of administrative expenses for nonprofit organizations and other eligible entities that are consistent with each nonprofit organizations federally approved negotiated indirect cost rate agreement and cost allocation policy.SEC. 2. Chapter 17.5 (commencing with Section 8900) is added to Division 1 of Title 2 of the Government Code, to read: CHAPTER 17.5. Uniform Cost Agreement for State Grants8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).(3)A 10 percent de minimis indirect cost rate on direct costs.(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.(2) A 10-percent de minimis indirect cost rate on direct costs.(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. It is the intent of the Legislature in enacting this act to ensure that nonprofit organizations and other eligible entities are fairly compensated by the state for the full cost of providing services funded by grants. For grant programs using state funds, the Legislature finds and declares that California state agencies should allow for reimbursement of administrative expenses for nonprofit organizations and other eligible entities that are consistent with each nonprofit organizations federally approved negotiated indirect cost rate agreement and cost allocation policy.
SECTION 1. It is the intent of the Legislature in enacting this act to ensure that nonprofit organizations and other eligible entities are fairly compensated by the state for the full cost of providing services funded by grants. For grant programs using state funds, the Legislature finds and declares that California state agencies should allow for reimbursement of administrative expenses for nonprofit organizations and other eligible entities that are consistent with each nonprofit organizations federally approved negotiated indirect cost rate agreement and cost allocation policy.
SECTION 1. It is the intent of the Legislature in enacting this act to ensure that nonprofit organizations and other eligible entities are fairly compensated by the state for the full cost of providing services funded by grants. For grant programs using state funds, the Legislature finds and declares that California state agencies should allow for reimbursement of administrative expenses for nonprofit organizations and other eligible entities that are consistent with each nonprofit organizations federally approved negotiated indirect cost rate agreement and cost allocation policy.
### SECTION 1.
SEC. 2. Chapter 17.5 (commencing with Section 8900) is added to Division 1 of Title 2 of the Government Code, to read: CHAPTER 17.5. Uniform Cost Agreement for State Grants8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).(3)A 10 percent de minimis indirect cost rate on direct costs.(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.(2) A 10-percent de minimis indirect cost rate on direct costs.(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
SEC. 2. Chapter 17.5 (commencing with Section 8900) is added to Division 1 of Title 2 of the Government Code, to read:
### SEC. 2.
CHAPTER 17.5. Uniform Cost Agreement for State Grants8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).(3)A 10 percent de minimis indirect cost rate on direct costs.(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.(2) A 10-percent de minimis indirect cost rate on direct costs.(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
CHAPTER 17.5. Uniform Cost Agreement for State Grants8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).(3)A 10 percent de minimis indirect cost rate on direct costs.(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.(2) A 10-percent de minimis indirect cost rate on direct costs.(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
CHAPTER 17.5. Uniform Cost Agreement for State Grants
CHAPTER 17.5. Uniform Cost Agreement for State Grants
8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).(3)A 10 percent de minimis indirect cost rate on direct costs.(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.(2) A 10-percent de minimis indirect cost rate on direct costs.(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.
8900. (a) For purposes of this section, the following definitions apply: negotiated indirect cost rate agreement means an agreement pursuant to Part 200 of Title 2 of the Code of Federal Regulations that is approved by the federal government.
(1)Negotiated indirect cost rate agreement means an agreement pursuant to Section 200.414 of Title 2 of the Code of Federal Regulations.
(2)State standard negotiated cost agreement means an agreement that reflects an indirect cost rate negotiated between the Department of General Services and a nonprofit grant awardee, which is used to calculate an awardees compensation by state agencies for indirect costs.
(b)To the extent authorized by state and federal law, a state agency or other state entity administering a state grant program shall use, for grants awarded to a nonprofit grantee on or after October 1, 2024, one of the following methods, as selected by the nonprofit grantee, for reimbursement of direct and indirect costs:
(1)The same terms as contained in the grantees existing negotiated indirect cost rate agreements and cost allocation policies approved by the federal government.
(2)The same terms as contained in the grantees state standard negotiated cost agreement, as created pursuant to subdivision (c).
(3)A 10 percent de minimis indirect cost rate on direct costs.
(c)To the extent authorized by state and federal law, the Department of General Services shall establish, by July 1, 2024, a process by which nonprofits may negotiate a state standard negotiated cost agreement for state grants that are awarded on or after October 1, 2024.
(d)For purposes of this section, the term state grant program does not include federally sourced or derived funding, state funds used as a match for federal funding, and forms of subsidy other than a grant. This section shall not be construed to limit a state agency or other state entity administering a financial assistance program other than a state grant program from using the terms of a recipients existing negotiated indirect cost rate agreement and cost allocation policies approved by the federal government or a state standard negotiated cost agreement, as created pursuant to subdivision (c), to the extent authorized under state and federal law.
(b) Unless prohibited by any other state or federal law, a state agency or other state entity administering a grant program shall, when awarding a grant, reimburse the grantees indirect costs at one of the following rates, as requested by the grantee:
(1) The grantees negotiated indirect cost rate, pursuant to its negotiated indirect cost rate agreement.
(2) A 10-percent de minimis indirect cost rate on direct costs.
(3) A rate negotiated by the grantee with another state agency or other state entity within the last five years.
(c) Unless prohibited by any other state or federal law, any applicant for a grant administered by a state agency or other state entity may opt, when applying for the grant, to be reimbursed for its indirect costs at one of the rates described in subdivision (b).
(d) This section applies to any grant program administered by a state agency or other state entity, regardless of whether the funding source of the grant is state funds, federal funds, or a combination thereof.