Cost Issues

Grants reimburse only “allowable” and “allocable” costs. A great deal of regulatory ink has been spilled to describe these otherwise intuitive concepts, creating numerous traps for the unwary.

With experience assisting grantees as large as state governments and as small as new nonprofits managing their first federal awards, our attorneys provide advice spanning the spectrum of complex indirect cost rate and central service cost allocation plan matters to efficient cost policies for small nonprofit corporations. In particular, cost allocation issues tend to arise as a compliance focus area for grantees managing multiple awards, including grantees managing both grant funding and federal procurement contracts.

Often working hand-in-hand with a client’s Chief Financial Officer and finance team, our attorneys can assist in strategic planning, documenting of policies and procedures, and negotiations with cognizant federal agency indirect rate negotiators. Additionally, we assist grantees with disputes that arise in the indirect rate negotiation process or through after-the-fact disallowances.

This “allowable costs” area of regulatory compliance is one that very much proves the adage “an ounce of prevention is worth a pound of cure.” To ensure clients of all sizes with all manner of need have access to key information, our attorneys also regularly offer training and education opportunities in classroom settings as well as tailored training opportunities.