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Division of Cost Determination — Office of Acquisition Management Services

Guidance on Indirect Costs for State/Local Governments

FY indirect cost proposals beginning prior to 12/26/2014 — Must be based on the cost principles available at OMB Circular A-87.

FY indirect cost proposals on or after 12/26/2014 — Must be based on the cost principles available at 2 CFR Part 200 and Appendix VII.

Based on the applicable cost principles, State and local organizations may support the indirect costs that they incurred by submitting an Indirect Cost Rate (ICR) proposal or a Cost Allocation Plan (CAP) to their Federal cognizant agency. The proposals should be submitted no later than six months after the end of the entities fiscal year. If DOL provides the preponderance of funds to the organization, DOL would normally be cognizant. The Division of Cost Determination is responsible for the review and approval of the proposals submitted to DOL.

State Workforce Agencies (SWAs) — A-87 Checklists

All State/Local Governments organizations except SWAs — A-87 Checklists

Sample Exhibits to support an ICR (PDF)
Cost Policy Statement* (PDF)
Certificate of Indirect Costs* (PDF)
Certificate of Indirect Costs — 2 CFR Part 200, Appendix VII (PDF)
Certificate of Cost Allocation Plan* (PDF)

*Applicable to state/local governments