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Indirect Costs (F&A)

It is a goal of the State of Texas to increase research activities within the state. Toward this end, the State allows state colleges and universities to retain earned facilities and administrative (indirect) costs (aka IDC or F&A). It is expected that this return will provide seed funding which will result in greater research activity and funding. UH has a policy of returning a portion of the earned F&A recovery on a pro-rata basis to the college that generated this income.

The following formulas apply to the portion of the funds that are returned to the generating units:

When a single investigator, department and college are involved, the F&A funds returned to operating units are distributed as follows. In the case of multiple principal investigators, multiple departments, or multiple colleges, each unit will participate on a proportionate basis, in accordance with the distribution identified on the transmittal form.

  • 56% to the college
  • 44% to the department