Budget Development Announcements

ISMMS has an updated DHHS rate agreement dated June 27, 2025 which includes an updated on-campus research indirect cost rate (ICR) of 68% Modified Total Direct Costs (MTDC) for federal sponsored projects and an updated MTDC base exclusion amount of $50,000 on projects with subawards. Both of these changes take effect 1/1/2026.

The updated ICR rate to 68% also affects Competitive Industry Other Research budgets beginning 1/1/2026. For additional information on ISMMS’s allowable indirect cost rates, please refer to section III Financial Information in the Institutional Information for Use in Grant and Contract Applications sheet.

In the InfoEd Budget F&A tab, please choose “On Campus MTDC 2026” when applying the new rate (68%). Choose “On Campus MTDC” for projects that will continue to use the old rate (69%).

Rate Agreements Dated 1/30/2024 and 6/27/2025

The DHHS rate agreement.pdf includes two indirect cost rate (ICR) agreements. One covers the ICR through 12/31/2025 and the fringe benefit rate through 12/31/2024. The second covers the ICR rate starting 1/1/2026 and the fringe benefit rate for 1/1/2025-12/31/2025.

GCO Administrative Info Sheet Updated with the latest ICR information

Institutional Information for Use in Grant and Contract Applications

Budget Template

The Budget Template includes the 68% Federal ICR and the exclusion amount of $50,000 on projects with subawards. (This template is still being developed to calculate budgets with subawards when the total cost is less than 50,000 per year.)

Competitive Federal Applications with Project Start Dates on or After 1/1/2026

Effective immediately, begin using the 68.0% rate on all competitive federal application budgets with project period start dates on or after 1/1/2026.

When calculating projects with subawards, all funds above $50,000, per subrecipient institution per project period are excluded from the MTDC base calculation.

Federal Grant Awards with Project Period Start Dates before the Effective Date of the New DHHS Rate Agreement

Continue to use the 69% for the life of the project period.

When calculating projects with subawards, all funds above $25,000, per subrecipient institution per project period are excluded from the MTDC base calculation.

Due to limitations with InfoEd automatic calculations, the MTDC may need to be manually calculated/entered. Carefully review budgeted IC for accuracy.

All Federal Contracts (competitive, non-competitive, etc.) begin using the new 68% rate effective 1/1/2026

Budget period months within the 2025 calendar year will continue to use the 69% rate for those 2025 months.

When calculating projects with subawards, all funds above $25,000, per subrecipient institution are excluded if subaward start date is before 1/1/2026. If subaward start date is on/after 1/1/2026, all funds above $50,000 are excluded.

Just in Time NIH Grants

For Just in Time for NIH grants and other federal awards, GCO will include both Indirect Cost Rate Agreements since both apply. The NIH will issue the appropriate indirect costs amounts.

Please see attached combined document.

Please contact the GCO regarding any questions you may have.

Federal and non-federal fringe benefit rates effective March 31, 2025

• Federal fringe benefit rate increased from 30.5% to 31.0%.
• Non-federal fringe benefit rate increased from 31.5% to 32.0%.

Please begin preparing your sponsored project budgets with the updated rates immediately and note that InfoEd has also been updated.

GCO has updated the optional budget template as well as the Administrative Information Sheet with this information. These resource documents will be posted on the GCO website shortly.

Also included is the interim confirmation of the updated federal fringe rate from Mount Sinai’s cognizant federal agency.

Please contact the GCO with any questions you may have.

Effective 11/3/2023, the Mount Sinai Laboratory Cost table 2023 has been released.

Please see the rates: HERE 

For guidance refer to the GCO Website > Data Management and Sharing Plan