Federal Grant Accountability Act

Bill: 118-hr-6847
Sponsor: full_name: Rep. Cline, Ben [R-VA-6]
Introduced: 2023-12-19
Policy area: Education
Latest action: action_date: 2023-12-19
text: Referred to the House Committee on Science, Space, and Technology.

Summaries:
action_date: 2023-12-19
action_desc: Introduced in House
text: <html><body><p><strong>Federal Grant Accountability Act</strong></p> <p>This bill limits the indirect costs that are allowable under federal research awards to institutions of higher education (IHEs).</p> <p>Specifically, the total amount of indirect costs allowable under a federal research award may not exceed the total amount of indirect costs allowable under private research awards. The Office of Management and Budget must determine the average indirect cost rate applicable to private research awards.</p> <p>Additionally, the Government Accountability Office must study and report on (1) the indirect cost rates allowable under federal research awards to IHEs, including awards made by the National Institutes of Health, the National Science Foundation, and other such organizations; and (2) the indirect cost rates allowable under private research awards to IHEs.</p></body></html>

tv_txt: I 118th CONGRESS 1st Session H. R. 6847 IN THE HOUSE OF REPRESENTATIVES December 19, 2023 Mr. Cline introduced the following bill; which was referred to the Committee on Science, Space, and Technology A BILL To impose limitations on the amount of indirect costs allowable under Federal research awards to institutions of higher education, and for other purposes.

1. Short title This Act may be cited as the Federal Grant Accountability Act . 2. Limitations on indirect costs allowable under Federal research awards (a) Limit on indirect costs The total amount of indirect costs allowable under a Federal research award to an institution of higher education may not exceed the total amount of indirect costs allowable under private research awards, as calculated using the average indirect cost rate applicable to such awards. (b) Private research award rate The Director of the Office of Management and Budget shall determine, not less frequently than annually, the average indirect cost rate applicable to private research awards for purposes of subsection (a). (c) Determination of indirect costs In determining indirect costs for purposes of this subsection, the guidelines under subpart E of title 2, Code of Federal Regulations (or successor regulations) for determining indirect costs charged to Federal awards shall be used. 3. Comptroller General study on indirect costs under Federal and private research awards (a) Study The Comptroller General of the United States shall conduct a study on— (1) the indirect cost rates allowable under Federal research awards to institutions of higher education, including awards made by the National Institutes of Health, the National Science Foundation, and other such organizations; and (2) the indirect cost rates allowable under private research awards to institutions of higher education. (b) Elements The study under subsection (a) shall include an assessment of— (1) the average indirect cost rates allowable under Federal and private research awards, respectively; (2) the research fields that receive the highest levels of funding from Federal and private research awards, respectively; (3) the average amount indirect costs allowable under Federal and private research awards that are used to fund administrative staff, including administrative staff with responsibilities relating to diversity, equity, and inclusion; and (4) the measures implemented by organizations that make Federal research awards, including the National Institutes of Health and the National Science Foundation, to ensure such organizations are implementing indirect cost rate-setting guidance in a consistent manner. (c) Report Not later than 1 year after the date of the enactment of this Act, the Comptroller General shall submit to Congress a report on the results of the study conducted under subsection (a). The report shall include such recommendations as the Comptroller General considers appropriate to improve the system for determining indirect cost rates and tracking reimbursements for indirect costs under Federal research awards. 4. Definitions In this Act: (1) Institution of higher education The term institution of higher education has the meaning given that term in section 102 of the Higher Education Act of 1965 ( 20 U.S.C. 1002 ). (2) Federal research award The term Federal research award means support provided to an individual or entity by a department or agency of the Federal Government to carry out research activities, which may include support in the form of a grant, contract, cooperative agreement, or other such transaction. (3) Private research award The term private research award means an award made by a private sector organization to support research activities at an institution of higher education.