To prohibit the awarding of discretionary grants to institutions of higher education that will use the grant award for indirect costs.

This bill prohibits federal agencies from distributing a grant to an institution of higher education under a competitive discretionary grant program if any part of the grant is used for indirect costs (e.g. overhead, administrative fees, or research).

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3022 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 3022

  To prohibit the awarding of discretionary grants to institutions of 
   higher education that will use the grant award for indirect costs.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 22, 2017

 Mr. Russell introduced the following bill; which was referred to the 
              Committee on Oversight and Government Reform

_______________________________________________________________________

                                 A BILL


 
  To prohibit the awarding of discretionary grants to institutions of 
   higher education that will use the grant award for indirect costs.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. LIMITING INDIRECT COSTS.

    (a) In General.--Notwithstanding any other provision of law, the 
head of an agency may not distribute any grant to an institution of 
higher education under a competitive discretionary grant program if any 
part of the grant is used for indirect costs.
    (b) Definitions.--In this section:
            (1) Administration costs.--The term ``administration 
        costs'' means general administration and general expenses, such 
        as the salaries and expenses of executive officers, personnel 
        administration, and accounting.
            (2) Agency.--The term ``agency'' has the meaning given that 
        term in section 551 of title 5, United States Code.
            (3) Indirect costs.--The term ``indirect costs'' means with 
        respect to a grant, the facilities costs, administration costs, 
        and other costs incurred for a common or joint purpose not 
        readily assignable to the grant objectives.
            (4) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning given the 
        term in section 102 of the Higher Education Act of 1965 (20 
        U.S.C. 1002).
            (5) Facilities costs.--The term ``facilities costs'' means 
        depreciation and use allowances on buildings, equipment and 
        capital improvement, interest on debt associated with certain 
        buildings, equipment and capital improvements, and operations 
        and maintenance expenses.
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