The document provides an overview of the University of Washington’s Facilities & Administrative (F&A) rate negotiation process for organized research, particularly focusing on the negotiation conducted for fiscal years 2010 through 2014. It outlines the context and history of the negotiation, noting that the prior base year was 2008 and that the previous negotiations proposed an average rate of 55.8%. Ultimately, the agreed-upon on-campus rates were 54% for FY2010-2012 and 54.5% for FY2013-2014, reflecting slight reductions from previous years. The negotiation was led on the federal side by a seasoned DCA (Division of Cost Allocation) negotiator from San Francisco, with the University of Washington’s financial leadership managing thorough planning and strong communication throughout the process.
The summary of DCA’s proposed adjustments details areas where the university conceded, such as minor reductions related to library depreciation and allocation statistics, while contesting adjustments pertaining to building component lifespans. Key success factors identified include the university’s robust preparation and data-driven proposal, the transparent and cooperative negotiation process, and mutual respect between negotiating parties. Suggestions for future process improvements emphasize consistency across DCA offices, faster negotiation timelines, improved advance communication of adjustments, and stronger central leadership to resolve inter-regional differences. The document concludes by presenting negotiated rates for various facilities, activities, and fiscal years, highlighting minor fluctuations and underlining the importance of clear procedures and collaboration in federal F&A rate negotiations.
