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.
Subcontract F&A encumbrances are set up by GCA when we first reconcile F&A. The subcontract F&A encumbrance amount is equal to the projected F&A costs to be charged on the subcontract(s). As subcontract F&A is charged to the budget, we manually reduce the subcontract F&A encumbrance until the subcontract F&A threshold is reached.
If you have an urgent need for an immediate adjustment (e.g. an adjustment was missed, the budget is about to close, or you need current expenditure totals for a no-cost extension or carryover request), or if you believe the subcontract F&A encumbrance is incorrect, please contact GCA via Grant Tracker using the Indirect Costs topic.