Rate changes and policy updates for non-federal clinical trials

Published March 30, 2017

UB is following best practices in the management of non-federal clinical trials by updating the Indirect Cost rates and the policy regarding the Residual Balance on Fixed Price Contracts for Sponsored Projects.

Indirect Cost Rate Changes


Effectively immediately, the university is implementing a new indirect cost rate for non-federal clinical trials of 26% on Total Direct Costs (TDC). 

  • No budgeted items are excluded from the application of the indirect cost rate.
  • This change does not affect federally funded clinical trials, including those trials which are “federal flow-through” which will continue to be charged at our full federal rate. 

For all non-federal clinical trials that have a fully executed agreement in place that budgeted with a different rate, that rate will be honored (i.e., grandfathered).

For all new non-federal clinical trials agreements, the rate of 26% TDC must be used.

Policy for Residual balance on fixed price contracts for sponsored projects

The university recently updated the Residual Balance on Fixed Price Contracts for Sponsored Projects policy. While this updated policy applies to all fixed-price contracts, it provides specific guidance related to industry sponsored clinical trials, which should support a timely close-out of studies and a more timely transfer of residual funds to investigators and/or their departments/schools.

These changes will bring UB’s treatment of clinical trials in line with national best practices in the management of non-federal clinical trials. This clarification should also result in less confusion among various business offices which in turn should expedite the administration of these trials.