Guidance on Salary Limitation for Grants and Cooperative Agreements Fy 2020

Since 1990, Congress has legislated a cap on people`s direct wages as part of NIH grants and cooperation agreements (referred to here as grants). The mandate is contained in the Supplementary Consolidated Appropriation Act of 2020 (Public Law 116-94), which came into force on December 20, 2019, and gives the NIH the authority to make commitments for fiscal year 2020. Wage Limitation Guidelines for Grants and Cooperation Agreements for Fiscal Year 2020 The Level II salary cap previously set at $197,300 was increased to $199,300 effective January 3, 2021. Institutions may, where appropriate, reschedule salaries at implementation level II to existing bonuses. No additional funds will be made available. In addition, the NIH has approved the rebudgeting of active scholarships to reflect the new cap, subject to the availability of adequate funding. No additional funding will be available for these prizes. For those affected by the new change, ePAC has been updated to reflect the new salary cap of $197,300. The Department of Finance recommends tabling EDCs with an effective date of March 1, 2020, rather than using a mid-month transition. Please note that changes must not date from January 5, 2020. The Office of Personnel Management and Personnel Management has released new salary levels for the Executive Salary Range effective January 3, 2021.

As a result of these changes, the level II of the federal executive (i.e., the NIH salary cap) increased from $197,300 to $199,300. On the 29th. In January 2021, the National Institutes of Health published guidelines on wage limitation for subsidies and cooperation agreements for fiscal year 2021 (NOT-OD-21-057). In recent years, Congress` annual allocation to the Health and Human Services Budget (NIH) has limited a person`s direct salary to a fixed rate of pay based on a grant, cooperation agreement, or contract. The limits apply to premiums written in the federal fiscal year for which the allocation was made. Rewards awarded during different financial years of the Confederation are subject to different salary ceilings. For scholarships awarded during these years and limited to management level II (see the historical link of the salary cap below), including competing scholarships already awarded in the 2020 fiscal year, if sufficient funds are available for active scholarships and if the increase in the salary cap is in line with the institution`s base salary, Fellows may rebudget funds, to reach the current salary level of Management Level II. Effective January 29, 2021, InfoEd will be updated to reflect management`s new Level II salary, and budgets for niH proposals submitted to Sponsored Research are expected to reflect the new salary level.

Note: For niH proposals in progress in InfoEd from January 29, you must click on “Update from date” for each person above the salary cap. From 3. As of January 2021, the DHHS management Level II salary cap is $199,300. The equivalent academic salary cap of 10 months is now $149,475. This wage limit applies to the institutional base wage rate of the salary. Therefore, salary limits are applied in relation to the FTE and the percentage of expenses charged to a price. For example, a 12-month full-time employee who exceeds the $199,300 salary cap and works 50% on an NIH grant must apply the limit on a pro rata basis. In this example, only $99,650 ($199,300 * 0.50) can be charged for the NIH grant. From the “NIH Guide to Grants and Cooperative Agreements FY 2021Notic Number: NOT-OD-21-057Date of publication: January 29, 2021Payment limit on AHRQ FY 2021 Grants, Cooperative Agreements, and ContractsNotic Number: NOT-HS-21-007Date of publication: January 12, 2021 1/22/2020: FY 20 Salary Guidance for Proposal Preparation This is the decision of the unit, make adjustments that reflect the new salary cap for the initiated or unsubmitted proposal that have not yet been forwarded to the Office of Research Administration (ORA) by the February 5, 2021 deadline; However, the vpr internal submission deadline policy still applies. Read more about high-impact changes in federal proposals in 2020 As a reminder, the salary cap increase must be in line with the current salary and no additional funding will be provided. The Supplementary Consolidated Funds Act of 2020 limits the amount of direct salary to Management Level II of the Federal Executive Salary Range. The Office of Personnel Management and Personnel Management recently released new salary levels for the executive salary range.

As of January 5, 2020, the salary cap for Executive Level II is $197,300. This announcement contains information on salary limits for NIH grants and cooperation agreements, as well as for awarding non-academic research and development contracts. A summary of previous salary caps can be found on the NIH Office of Extramural Research website. Please also note that NRSA scholarships have also increased. See grants.nih.gov/grants/guide/notice-files/NOT-OD-21-049.html * Academic summer salaries are subject to the same rate as the academic year salary Read more about Double verification: Will the nih institute or center accept your proposal? The NIH has updated the policy notices, and these changes may affect your review and management of scholarships: If you have any questions about rebudgeting and/or DISRUPTORS, please contact Eric Ingram at 3-4626 or Lynn Capps at 3-2870. . .

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