In February 2019, the City of New York adopted the Health and Human Services (HHS) Cost Policies and Procedures Manual (Cost Manual)
to standardize cost allocation practices for HHS contracts and Indirect Cost Rate (ICR) calculations. The Cost Manual is intended to be a living document that is updated from time to time.
The Fiscal Year 2020 Adopted Budget established an ICR Funding Initiative based on the Cost Manual, managed by the Office of Management and Budget and Mayor’s Office of Contract Services through the City Implementation Team (CIT)
. The CIT established a Provider Work Group to advise on the rollout and implementation of the Funding Initiative.
The details of the ICR Funding Initiative were announced by the CIT and City Council on October 7, 2019, with claiming for indirect cost rates and funding opening on November 18, 2019, and closing on December 31, 2020
. This Webpage contains information and resources that the CIT shared with the sector throughout the ICR Funding Initiative. While the Funding Initiative is now closed, organizations should continue to consult the Cost Manual to ensure that their human services cost allocations align with City guidelines.
ICR Claiming Closed December 31, 2020
Providers that received an Accepted ICR for Fiscal Year 2020 have an ICR valid through Fiscal Year 2022 (June 30, 2022). Providers that received an Accepted ICR in Fiscal Year 2021 have an ICR valid through Fiscal Year 2023 (June 30, 2023). Providers that did not apply for or receive an Accepted ICR from the City by December 31, 2020 have an Accepted ICR of 10% de minimis. This default rate is effective beginning Fiscal Year 2021 and valid through Fiscal Year 2023.
FY20 and FY21 ICR Funding Amendments
For providers with Delta Templates approved in Fiscal Years 2020 or 2021, the City will be issuing ICR Amendments through PASSPort
, the City’s Procurement and Sourcing Solutions Portal. Additional funding through an ICR Amendment may only be used by a provider for indirect costs. Providers may contact their contracting agency for questions about their amendment. Please contact email@example.com
for questions about PASSPort. For more information about the implementation of FY21 funding, please consult this webinar
that includes Initiative updates and answers to questions received from providers.
Using an Accepted ICR and Budget Modifications
We have received a number of questions regarding the use of budget modifications to fund Accepted ICRs. We offer the following tips and information:
- A provider may use its Accepted ICR to develop its HHS contract budget(s) pursuant to the Accepted ICR validity dates provided above.
- For budgets where providers have surplus funding in their direct costs, they may request a budget modification to reallocate funds to their indirect costs, up to their Accepted ICR.
- Providers do not need to wait for registration of their ICR Amendment in order to request a budget modification within its existing budget.
- In exercising a budget modification request, providers may use the HHS Accelerator Financials automatic budget modification, which allows for expedited budget modifications up to 10% (cumulative) of the total contract value without preapprovals or delays in invoicing.
- Budget Modifications may be made between categories of Personnel Services (PS) and Other Than Personnel Services (OTPS), maximizing budget flexibility.
Please see the following instructional materials on budget modifications:
Archive of Resources
- ICR Investment Timeline This timeline documents key milestones for the ICR Funding Initiative.
- ICR Funding Initiative FY20 Policy Video Webinar that provides more information about the implementation of the FY21 Adopted Budget and revisions to FY20 amendments. Providers may refer to this Technical Update FAQ that answers questions received during the webinar sessions.
- FY20 ICR Amendment Calculator Excel worksheet that providers can use to calculate their FY20 ICR Amendments.
- Delta Template Job Aids Instructional materials to assist with the process of receiving, completing, and submitting the Delta Template.
- ICR Funding Initiative Provider Checklist Tool providers can use to track the completion of the steps needed to receive the ICR funding.
- Registration Tip Sheet List of tips providers can consult to support timely contract and amendment registration.
- Budget Modification Job Aids
- Independent Accountant’s Report If a Provider had an ICR higher than 10%, the Provider could claim its higher rate through submitting to the City a federal Negotiated Indirect Cost Rate Agreement (NICRA) or an Independent Accountant’s Report completed by a Certified Public Accountant (CPA). Providers choosing to pursue an Independent Accountant’s Report provided their CPA with a Schedule of ICR based on their most recent available schedule of functional expenses. The City offered this ICR worksheet to support Providers in the development of a Schedule of ICR (see final tab in the linked worksheet). The City of New York wishes to acknowledge The New York State Society of Certified Public Accountants' Not-for-Profit Organizations Committee for its feedback on the Independent Accountant’s Report.
- ICR Funding Initiative Video An overview of an October 7th Sector and City Agency Briefings, providing timelines and process for organizations to establish and claim their ICR and request funding. The Briefing Powerpoint is available here.
- The City Council of The City of New York FY20 Adopted Expense Budget Adjustment Summary / Schedule C
- Reports to New York City Council
- Press Release
- April 23, 2021 Mayor de Blasio, Speaker Johnson announce increased support for nonprofits and human service providers. Media availability video and transcript available.
- December 10, 2019 Mayor de Blasio, Speaker Johnson and City Council announce the launch of the Indirect Funding Initiative.
Archive of Email Communications
Over the course of this initiative, the CIT sent weekly emails to the sector. In total, more than 60 emails were sent between September 2019 and December 2020. Please find below an archive of emails.
- April 23, 2021: Important Update on ICR Funding Initiative
- March 17, 2021: FY21 ICR Funding Policy Update
- January 22, 2021: Indirect Cost Rate Amendments in PASSPort
- December 29, 2020: TODAY 5 PM! Submit Delta Templates
- December 22, 2020: December 15 Recommended Milestone Has Passed, Submit Delta Templates ASAP
- December 17, 2020: December 15 Recommended Milestone Has Passed, Submit Delta Templates ASAP
- December 15, 2020: Today! December 15 Milestone for Outstanding Templates
- December 10, 2020: Upcoming December 15 Milestone for Delta Templates
- December 8, 2020: December 15 Milestone for Outstanding Templates
- December 4, 2020: Deadline Has Passed
- December 1, 2020: Final Deadline Today for Indirect Entryways
- November 30, 2020: Deadline Is Here
- November 25, 2020: Deadline Approaching
- November 24, 2020: December 1st Final Deadline for Indirect Entryways
- November 19, 2020: Deadline Approaching (targeted outreach – providers that have not entered Initiative)
- November 18, 2020: Accepted ICR FAQ (targeted outreach – providers with Accepted ICRs)
- November 17, 2020: December 1st Final Deadline for Indirect Entryways
- November 12, 2020: Deadline Approaching (targeted outreach – providers that have not entered Initiative)
- November 10, 2020: December 1st Final Deadline for Indirect Entryways
- November 5, 2020: Deadline Approaching (targeted outreach – providers that have not entered Initiative)
- November 4, 2020: December 1st Final Deadline for Indirect Entryways
- October 29, 2020: 3 Days Left to November 1st Deadline for Entryways
- October 20, 2020: Upcoming Deadline and Reminders
- October 15, 2020: Upcoming Deadline and Reminders
- October 6, 2020: Upcoming Deadline and Reminders
- September 29, 2020: Upcoming Deadline and Reminders
- September 22, 2020: FAQ on Initiative Updates
- September 15, 2020: FY20 ICR Amendment Calculator
- September 8, 2020: Technical Update Video
- September 1, 2020: Revised Cost Manual and Additional Webinar
- August 25, 2020: Update on Indirect Funding Initiative
- August 20, 2020: Invitation to Webinar
- August 18, 2020: Update on Indirect Funding Initiative
- August 11, 2020: Update on Indirect Funding Initiative
- June 16, 2020: 3 Days Left for FY20 Entryway Selection
- June 9, 2020: 10 Days Left for FY20 Entryway Selection
- June 2, 2020: FY21 Announcements and Revised Cost Manual
- May 26, 2020: June Deadlines for FY20 ICR Processing
- May 19, 2020: May 22nd Deadline for FY20 Retroactive Funding
- May 15, 2020: Initiative Reminders
- May 6, 2020: New! Delta Template Video
- April 28, 2020: Initiative Reminders
- April 22, 2020: Delta Template Revisions
- April 15, 2020: Initiative Reminders
- April 8, 2020: Initiative Reminders
- March 31, 2020: Message from the CIT
- March 10, 2020: Initiative Reminders
- March 3, 2020: Initiative Reminders
- February 25, 2020: Delta Templates
- February 18, 2020: Cost Manual Additions
- February 11, 2020: Investment Timeline
- February 4, 2020: Entryway Submission
- January 28, 2020: 4 Days Remaining for FY20-Only Conditional ICR Election
- January 21, 2020: Reminder For FY 20-Only Conditional ICR
- January 14, 2020: Additional Job Aids Now Available
- January 7, 2020: Deadline for Conditional ICR Approaching
- December 31, 2019: New Year's Reminders
- December 24, 2019: Holiday Reminders
- December 16, 2019: Delta Templates
- December 9, 2019: Deadline for Conditional Rate
- December 3, 2019: Entryway Resources Available
- November 26, 2019: Revised Cost Manual and Provider Checklist
- November 18, 2019: Claiming Starts Today
- November 12, 2019: Revised Cost Manual and FAQs
- October 28, 2019: Independent Accountant’s Report
- October 18, 2019: October 7 Briefing Video
- October 8, 2019: Follow-Up to October 7th Briefing
- September 12, 2019: Indirect Information Survey
- September 6, 2019: Invitation to October 7th Briefing