WORKING WARDROBES FOR A NEW START (3)

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5. G&A rate—If published in Section I, it is the acronym for"General and Administrative"type of indirect expenses. G&A means any management, financial, and other expense which is incurred by, or allocated to, a business unit and which is for the general management and administration of the business unit as a whole. E. SPECIAL REMARKS 1. Provisional/Final Rate approval and impact to closeout adjustments: When seeking initial reimbursement of indirect costs using the provisional/final rate methodology, a provisional proposal must be submitted within 90 days of receiving a Federal award (financial assistance, grants, cooperative agreements, and cost reimbursable contracts) that requires accounting for actual costs incurred. The non-Federal entity or contractor must submit an indirect cost rate proposal within six(6)months after the end of their fiscal year to establish a final rate. Once a final rate is negotiated, billings and charges to Federal awards must be adjusted if the final rate varies from the provisional rate. If the final rate is greater than the provisional rate and there are no funds available to cover the additional indirect costs, the non-Federal entity or contractor may not recover all indirect costs. Conversely, if the final rate is less than the provisional rate,the non-Federal entity or contractor will be required to reimburse the funding agency for the excess billings. Non-Federal entities or contractors receiving-a Federal cost reimbursable contract{s) - Must adhere with FAR 52.216-7(d)(2)(v), to settle final indirect cost rates typically on an annual basis: "The contractor shall update the billings on all contracts to reflect the final settled rates and update the schedule of cumulative direct and indirect costs claimed and billed, as required in paragraph (d)(2)(iii)(1) of this sections, within 60 days after settlement of final indirect cost rates." In addition, the contractor shall provide to the Contracting Officer the noted cumulative costs schedule within 60 days of the execution of this agreement. If the non-Federal entity or contractor has completed performance under any of the contracts covered by this Agreement, a final invoice or voucher must be submitted no later than 120 days from the date on which this Agreement is executed, following guidance from FAR 52.216-7(d)(5) and FAR 52.216-7(h). Non-Federal entities receiving Federal awards (financial assistance, grants,-and cooperative agreements) — Note that even if Federal awards are administratively closed prior to the settlement of final indirect cost rates,non-Federal entities still must comply with the following 2 CFR Part 200 clauses stating, in part: 4of6