SUBSECTION 4.3.3.3
INDIRECT COSTS IN INTERAGENCY ACTIVITIES

4.3.3.3.1

Policies Relating to Indirect Costs in Interagency Situations

Effective Date:

Mar. 1, 1999

4.3.3.3.1.a

RCW 39.34.130 states that: "…the full costs of a state agency incurred in providing services or furnishing materials to or for another agency under Chapter 39.34 RCW or any other statute shall be charged to the agency contracting for such services or materials and shall be repaid and credited to the fund or appropriation against which the expenditure originally was charged." For these purposes, full costs shall generally include direct and indirect costs.

4.3.3.3.1.b

The nature of interagency activity varies greatly ranging from providing a service or product with established indirect costs components to the simple sharing of usage, and/or rental, costs for a common piece of equipment. As such, parties to interagency agreements should include specific language in the text of their agreements to determine and define allowable indirect costs.