Notice2021-25919
Notice of Indirect Cost Rates
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
November 29, 2021
Effective
November 29, 2021
Issuing agencies
Commerce DepartmentNational Oceanic and Atmospheric Administration
Abstract
The National Oceanic and Atmospheric Administration's (NOAA's) Office of National Marine Sanctuaries (ONMS) announces the establishment of new indirect cost rates for the recovery of indirect costs for its component organizations involved in natural resource damage and restoration activities for fiscal year (FY) 2014. NOAA provides the indirect cost rates for this fiscal year and the dates of implementation in this notice. The public can obtain more information on this rate from the address provided below in the ADDRESSES section.
Full Text
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<title>Federal Register, Volume 86 Issue 226 (Monday, November 29, 2021)</title>
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[Federal Register Volume 86, Number 226 (Monday, November 29, 2021)]
[Notices]
[Pages 67691-67692]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-25919]
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DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric Administration
Notice of Indirect Cost Rates
AGENCY: Office of National Marine Sanctuaries (ONMS), National Ocean
Service (NOS), National Oceanic and Atmospheric Administration (NOAA),
Department of Commerce (DOC).
ACTION: Notice of indirect cost rates for the Office of National Marine
[[Page 67692]]
Sanctuaries Natural Resource Damage Assessments for fiscal year 2014.
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SUMMARY: The National Oceanic and Atmospheric Administration's (NOAA's)
Office of National Marine Sanctuaries (ONMS) announces the
establishment of new indirect cost rates for the recovery of indirect
costs for its component organizations involved in natural resource
damage and restoration activities for fiscal year (FY) 2014. NOAA
provides the indirect cost rates for this fiscal year and the dates of
implementation in this notice. The public can obtain more information
on this rate from the address provided below in the ADDRESSES section.
DATES: This notice is effective on November 29, 2021.
ADDRESSES: Vicki Wedell, phone 240-676-3805; email
<a href="/cdn-cgi/l/email-protection#c492ada7afadea93a1a0a1a8a884aaaba5a5eaa3abb2"><span class="__cf_email__" data-cfemail="c99fa0aaa2a0e79eacadaca5a589a7a6a8a8e7aea6bf">[email protected]</span></a>; or 1305 East-West Highway, N/NMS, Silver Spring,
MD 20910.
FOR FURTHER INFORMATION CONTACT: Vicki Wedell, phone 240-676-3805;
email <a href="/cdn-cgi/l/email-protection#8adce3e9e1e3a4ddefeeefe6e6cae4e5ebeba4ede5fc"><span class="__cf_email__" data-cfemail="aef8c7cdc5c780f9cbcacbc2c2eec0c1cfcf80c9c1d8">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
The Natural Resource Damage Assessment (NRDA) mission of ONMS is to
restore injuries to sanctuary resources caused by the release of
hazardous substances or oil under the Comprehensive Environmental
Response, Compensation and Liability Act (CERCLA; 42 U.S.C., 9601 et
seq.) or the Oil Pollution Action of 1990 (OPA; 33 U.S.C., 2701 et
seq.), or physical injuries under the National Marine Sanctuaries Act
(NMSA) (16 U.S.C. 1431 et seq.). ONMS conducts NRDAs as a basis for
recovering damages from responsible parties and uses the funds
recovered to restore injured sanctuary resources.
When addressing NRDA incidents, the costs of the damage assessment
are recoverable from individuals and organizations who are potentially
liable for an incident. Total costs include both direct and indirect
costs. Direct costs are costs for activities that are clearly and
readily attributable to a specific case or other program products. In
contrast, indirect costs reflect the costs for activities that
collectively support ONMS' mission and operations. For example,
indirect costs include general administrative support overheads.
Although indirect costs may not be readily traced back to a specific
direct activity, indirect costs may be allocated to direct activities
using an indirect cost distribution rate.
Consistent with standard Federal accounting requirements, ONMS is
required to account for and report the full costs of its programs and
activities. Further, ONMS is authorized by law to recover reasonable
costs of damage assessment and restoration activities under CERCLA, OPA
and the NMSA. Within the constraints of these laws, ONMS has the
discretion to develop indirect cost rates subject to its requirements.
ONMS's Indirect Cost Effort
NOAA contracted Empirical Concepts Incorporated (Empirical), who
subcontracted with the public accounting firm Cotton and Company LLP
to: (1) Evaluate the cost accounting system and allocation practices;
(2) recommend the appropriate indirect cost allocation methodology; and
(3) determine the indirect cost rates for the organizations that
comprise ONMS.
Empirical concluded that the cost accounting system and allocation
practices of ONMS component organizations are consistent with Federal
accounting requirements. Empirical also determined that the most
appropriate indirect allocation method was the Direct Labor Cost Base
for all ONMS component organizations. The Direct Labor Cost Base is
computed by allocating total indirect costs over the sum of direct
labor dollars plus the application of NOAA's leave surcharge and
benefits rates to direct labor. Empirical further assessed that the
indirect cost rates for the ONMS component organizations were fair and
equitable. A report on Empirical's assessment and their determination
can be obtained from the person identified in FOR FURTHER INFORMATION
CONTACT.
ONMS Indirect Cost Rate and Policies
ONMS will apply the indirect cost rate for FY2014 as recommended by
Empirical for each of the ONMS component organizations as provided in
the following table:
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Fiscal year 2014
ONMS component organization indirect rate
(percent)
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Office of National Marine Sanctuaries (except for 144.22
Florida Keys National Marine Sanctuary)............
Florida Keys National Marine Sanctuary.............. 188.11
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The ONMS indirect rates increased from the FY2010 rates of 67.95
percent for all ONMS sites (except Florida Keys National Marine
Sanctuary (FKNMS)) and 82.35 percent for FKNMS because ONMS had less
direct case work and more indirect work during FY2014. The indirect
rates are inversely proportional to direct costs.
ONMS will apply the FY2014 rates identified in this notice to all
damage assessment and restoration case costs incurred from October 1,
2014 until present, using the Direct Labor Cost base allocation
methodology. For cases that have settled and for cost claims paid prior
to the effective date of the fiscal year in question, ONMS will not re-
open any resolved matters for the purpose of applying the rates in this
notice. For cases not settled and cost claims not paid prior to the
effective date of the fiscal year in question, ONMS will calculate
costs using the rates in this notice. ONMS will use the FY2014 rates
for future fiscal years until year-specific rates are developed.
John Armor,
Director, Office of National Marine Sanctuaries, National Ocean
Service, National Oceanic and Atmospheric Administration.
[FR Doc. 2021-25919 Filed 11-26-21; 8:45 am]
BILLING CODE 3510-NK-P
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