Clark Paulsen, Division ChiefO f f i c e of R E C E I V A B L E S , S Y S T E M S & A D M I N I S T R A T I O N , D i v i s i o n o f A c c o u n t i n g
ICRP (Indirect Cost Rate Proposal) Rates and Information
State policy requires departments to recover full costs whenever goods or services are provided for others. The full cost of goods or services includes all costs attributable directly to the activity plus a fair share of indirect costs, which can be ascribed reasonably to the goods or services provided. The annual preparation and approval of an Indirect Cost Rate Proposal (ICRP) is a requirement of the Department of Finance and the means for justifying the reasonableness of that “fair share”. The ICRP rate applied to reimbursed funding (costs paid by Local Funds such as measure money, developer fees, special assessments, etc.) consists of both the Program Functional Rate and the Administrative Rate components.
Additionally, SB 45 requires that the Department include indirect costs as part of project costs on all non-reimbursement capital outlay support projects. The ICRP rate applied to non-reimbursed capital outlay support funding (e.g.: State funds, Federal funds, Bond Funds) consists of only the Program Functional Rate component.
Indirect cost rates are applied to the direct labor costs of work performed. All ICRP rates are submitted to the Department of Finance and the Federal Highway Administration for review and approval. No exemption is permitted for application of ICRP except as specified in law.
- Want to know more about ICRP? Watch a Powerpoint slide presentation on ICRP (no sound) originally developed for Department personnel. This presentation requires that you have Powerpoint installed on your computer. If you do not have Powerpoint, Microsoft provides a viewer free for download ( download the PC version or download the Mac version). This presentation is also other formats for your convenience.
Powerpoint Word Document Windows Media (coming soon)
- ICRP Rates 2012-13
- ICRP Rates 2011-12
- ICRP Rates 2010-11
- ICRP Rates 2009-10
- ICRP Rates 2008-09