University of Virginia Library

REPORT ON FEDERAL RESEARCH CONTRACTS AND GRANTS

Mr. Vincent Shea, Comptroller, reported on the program of Federal research contracts and
grants and the methods by which they were handled. He explained that Federal grants carried
a standard 15 per cent of the total cost for overhead charges but that the overhead for Federal
contracts was determined by a formula which in the case of the University amounted to approximately
39 per cent of the payments for salaries and wages. He explained further that colleges
and Universities participating in this Program were incurring overhead costs greater than that
allowed under either Federal grants or contracts. Mr. Shea's report was ordered to be filed
with the Secretary.