Cost Allocation Services (CAS) is located within the
Department of Health and Human Services (HHS), Program Support Center (PSC). HHS
is designated by the Office of Management and Budget (OMB) as the cognizant
federal agency for reviewing and negotiating facility and administrative
(indirect) cost rates, fringe benefit rates, special rates as determined to be
appropriate, research patient care rates, statewide cost allocation plans and
public assistance cost allocation plans. These indirect cost rates and cost
allocation plans are used by grantee institutions to charge Federal programs for
administrative and facility costs associated with conducting Federal programs.
CAS performs this function from four field offices and a staff of forty three.
On average, CAS negotiates and issues 3,000 Rate Agreements annually. In
addition to the aforementioned negotiations, CAS is responsible for resolving
audits that involve indirect costs and cost allocation issues and methodologies,
and provides technical assistance and guidance to both Federal departments and
agencies and the grantee community.
The CAS Director acts as the Administrative Contracting Officer for
approving Disclosure Statements (DS-2) for those educational institutions where
HHS is designated by OMB as the cognizant Federal agency.
This website contains information concerning the applicable Cost Principles for
Institutions of Higher Education; State, Local, and Indian Tribal Governments; and
Non-Profit Organizations. Cost Principles for these types of non-Federal entities
are contained in Title 2 of the Code of Federal Regulations (CFR), Part 200 and
Title 45 of the CFR, Part 75. This website also contains information concerning
the applicable Cost Principles for Hospitals, located in 45 CFR 75, Appendix IX.
In addition, CAS Best Practices Manuals and other supplemental guidance are provided.