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Skip to main content Global Menu Search AcademicsAdmissionsFinancial AidStudent LifeAthleticsResearchGive AboutA–ZContactFind PeoplegoWMUVisit Secondary menuAbout A–Z Contact Find People goWMU Visit Search Main menuAcademics Admissions Financial Aid Student Life Athletics Research Give Policies Section Menu HomePolicies A-Z Committee Procedures and Submission Related Institutional Policies and CBAs Under Review Useful Resources Contact Us Policies Unallowable Costs - Reasonableness Doctrine Policy Policy number17-04.12 Responsible officeResearch Enforcement officialVice President for Research and Innovation ClassificationBoard of Trustees-delegated Policy Category17. Research and Intellectual Property Statement of policy To comply with Code of Federal Regulations Title 2: Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2CFR Part 200) with regard to costs that are identified as unallowable by the federal government.  If a cost does not meet the criteria of reasonableness, allowability, and consistency, the cost would be disallowable. Summary of contents/major changes Moved policy to new UPC template.   1. Purpose of Policy To set forth how WMU intends to comply with Code of Federal Regulations Title 2: Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2CFR Part 200) with regard to costs that are identified as unallowable by the federal government. 2. Stakeholders Most Impacted by the Policy This policy applies to WMU employees who work with federally funded awards issued under sponsored awards made to Western Michigan University. 3. Key Definitions 3.1. Directly associated costs means any cost that is generated solely as a result of the incurrence of another cost, and which would not have been incurred had the initial cost not been incurred.  E.g., Costs of entertainment are unallowable, including amusement, diversion, social activities, and any costs directly associated with such costs that are not allowable (e.g., tickets to shows or sports events, meals, lodging, rentals, transportation, and gratuities).  4. Full Policy Details Unless otherwise indicated for a specific type of cost, unallowable costs must be excluded from direct and indirect charges to federally sponsored agreements. Unallowable, directly associated costs will also be excluded from charges to federally sponsored agreements. Unallowable costs may be charged to non-federal accounts but must be specifically identified by object code for F&A cost purposes.  See link to Unallowable Costs – Reasonableness Doctrine Procedure below. 5. Accountability 5.1. Failure to adhere to Federal regulations may result in the withholding of new awards. 5.2. Additional consequences for non-compliance include possible individual discipline for failure to follow applicable University policies and requirements. 6. Related Procedures and Guidelines Unallowable Costs – Reasonableness Doctrine Procedure  References Code of Federal Regulations Title 2: Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Related policies Federal Costing Principles Policy History Effective date of current versionDecember 1, 2019 Date first adopted Revision history Friday, July 1, 2016 - 14:28 Revised Proposed date of next reviewDecember 1, 2022 Authorization Certified by Betty McKain  Director, Grants and Contracts  Office of Research and Innovation  At the direction of Terri Godd Kinzy, Ph.D.  Vice President  Office of Research and Innovation  HomePolicies A-Z Committee Procedures and Submission Related Institutional Policies and CBAs Under Review Useful Resources Contact Us Office of the General CounselWestern Michigan UniversityKalamazoo MI 49008-5200 USA(269) 387-1900 Audiences Alumni and Donors Businesses Veterans Locations Kalamazoo Regional Locations Online Education Stryker School of Medicine Services Accessibility Campus Safety Information and Resources Human Resources Maps Parking Western Michigan UniversityKalamazoo MI 49008-5200 USA(269) 387-1000Contact WMUWMU Notice of Non-DiscriminationLand Acknowledgment Statement© 2024 All rights reserved.