[Federal Register Volume 72, Number 151 (Tuesday, August 7, 2007)]
[Notices]
[Pages 44161-44162]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-15352]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Health Resources and Services Administration


Poison Control Center Stabilization and Enhancement Grant 
Programs

AGENCY: Health Resources and Services Administration (HRSA), HHS.

ACTION: Response to solicitation of comments.

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SUMMARY: A notice was published in the Federal Register (FR) on 
February 13, 2007, (Vol. 72, p. 6738-6739), describing HRSA's proposal 
to institute an exception to the Department of Health and Human 
Services' policy directive governing indirect cost recovery. The notice 
requested public comments on the proposed exception to Departmental 
policy requirements to be sent to HRSA no later than March 15, 2007.
    Three comments were received, one from a Poison Control Center 
(PCC) host institution (grant recipient) and two from individual PCCs. 
Two of the three commenters supported HRSA's plan to institute an 
exception from the grants policy directive, which would permanently 
limit indirect cost recovery to 10 percent for the Poison Control 
Center Stabilization and Enhancement Grant Programs.

Issue: Institution of a 10 Percent Limit on the Indirect Cost

    Comments: Two of the three commenters fully supported HRSA's 
proposal to permanently limit indirect cost recovery rates to 10 
percent for this program. One commenter raised concern that the 
limitation would impose greater burdens on the host institution by 
shifting the unrecovered administrative costs to the host institution. 
In response, we replied that the 10 percent limitation had been in 
effect since the institution of the award program.
    Agency Response: As noted in the referenced Federal Register 
Notice, since 2001, the HRSA Poison Control Program has limited 
indirect costs to 10 percent of the allowable total direct costs for 
grantees with negotiated rate agreements. This limitation on indirect 
costs was requested annually because many PCCs are housed within 
universities and hospitals (the official

[[Page 44162]]

grantees) which have established indirect cost rates in the range of 30 
to 50 percent. Without a limitation on indirect cost rates, the 
objectives of the grant programs would not be met for the following 
reason:
    The average amount of these grant awards has been approximately 
$200,000, with some amounts as low as $30,000. Depending upon the host 
institution's indirect cost rate, as much as 50 percent of the grant 
award could be consumed by the institution's indirect costs, thus 
significantly reducing the amount of funds available to initiate and 
maintain the activities of the grant.
    Given the adverse impact on grant activities for this program if 
full indirect cost recovery were permitted, and that comments received 
were generally favorable to HRSA's proposal, HRSA is instituting the 10 
percent limitation for the Poison Control Center Stabilization and 
Enhancement Grant Programs.

FOR FURTHER INFORMATION CONTACT: Maxine Jones at [email protected]., 
Health Resources and Services Administration, Healthcare Systems 
Bureau, Poison Control Program.

    Dated: July 30, 2007.
Elizabeth M. Duke,
Administrator.
[FR Doc. E7-15352 Filed 8-6-07; 8:45 am]
BILLING CODE 4165-15-P