When submitting a request for a subaward award line, the SAGE Budget subaward worksheet does not include UW F&A (UW F&A is accounted for on the primary worksheet). However, when GCA adds funds to the subaward award in Workday, the UW F&A is added to the Line Amount and Award Plan to help with budgeting and award management.
Applying indirect costs related to subcontracts is a manual process. At the end of each calendar quarter, GCA performs a Budget Subcontract (BSC) F&A reconciliation to determine if an adjustment is needed to the indirect cost for each subcontract.
Generally, the subcontract amount subject to UW F&A costs is based on the business rules of the Funding Action. If, for example, the cost base type for your funding action is Modified Total Direct Costs (MTDC), then your subcontract is subject to F&A on the first $25,000 at the same rate as the primary award. If the cost base type for your funding action is Total Direct Cost (TDC), then all of the subcontract is subject to UW F&A at the same rate as the primary award.