§16352 — Title 42 The Public Health and Welfare | U.S. Code

Summary

For programs that start after August 8, 2005, the Secretary must require non-Federal partners to share the cost. For research and development projects, at least 20% of the cost must come from non-Federal sources, unless the work is basic research, the Secretary reduces the share for applied work, or the project is done by a college or nonprofit (which is exempt for 2 years starting August 9, 2022). For demonstration or commercial projects, at least 50% must be non-Federal, but the Secretary can lower that amount if needed because of technical risk. Non-Federal contributions can include cash, people’s salaries, services or third‑party in‑kind help valued under OMB rules, indirect or facilities costs, and TVA power program funds (unless those TVA funds come from an annual appropriation law). They cannot include future revenues or royalties, money from selling project assets, or other Federal funds. The Federal share does not have to be repaid. Cost sharing rules do not apply to Stevenson‑Wydler cooperative research agreements, fees to use a Department facility, or SBIR/STTR awards under section 638 of title 15.

Title 42, §16352

The Public Health and Welfare — Source: USLM XML via OLRC

(a)Notwithstanding any other provision of law, in carrying out a research, development, demonstration, or commercial application program or activity that is initiated after August 8, 2005, the Secretary shall require cost-sharing in accordance with this section.

(b)(1)Except as provided in paragraphs (2), (3), and (4) and subsection (f), the Secretary shall require not less than 20 percent of the cost of a research or development activity described in subsection (a) to be provided by a non-Federal source.

(2)Paragraph (1) shall not apply to a research or development activity described in subsection (a) that is of a basic or fundamental nature, as determined by the appropriate officer of the Department.

(3)The Secretary may reduce or eliminate the requirement of paragraph (1) for a research and development activity of an applied nature if the Secretary determines that the reduction is necessary and appropriate.

(4)(A)Paragraph (1) shall not apply to a research or development activity performed by an institution of higher education or nonprofit institution (as defined in section 4 of the Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. 3703)).

(B)The exemption under subparagraph (A) shall apply during the 2-year period beginning on August 9, 2022.

(c)(1)Except as provided in paragraph (2) and subsection (f), the Secretary shall require that not less than 50 percent of the cost of a demonstration or commercial application activity described in subsection (a) to 11 So in original. The word “to” probably should not appear. be provided by a non-Federal source.

(2)The Secretary may reduce the non-Federal share required under paragraph (1) if the Secretary determines the reduction to be necessary and appropriate, taking into consideration any technological risk relating to the activity.

(d)In calculating the amount of a non-Federal contribution under this section, the Secretary—

(1)may include allowable costs in accordance with the applicable cost principles, including—

(A)cash;

(B)personnel costs;

(C)the value of a service, other resource, or third party in-kind contribution determined in accordance with the applicable circular of the Office of Management and Budget;

(D)indirect costs or facilities and administrative costs; or

(E)any funds received under the power program of the Tennessee Valley Authority (except to the extent that such funds are made available under an annual appropriation Act); and

(2)shall not include—

(A)revenues or royalties from the prospective operation of an activity beyond the time considered in the award;

(B)proceeds from the prospective sale of an asset of an activity; or

(C)other appropriated Federal funds.

(e)The Secretary shall not require repayment of the Federal share of a cost-shared activity under this section as a condition of making an award.

(f)This section shall not apply to—

(1)a cooperative research and development agreement under the Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. 3701 et seq.);

(2)a fee charged for the use of a Department facility; or

(3)an award under—

(A)the small business innovation research program under section 638 of title 15; or

(B)the small business technology transfer program under that section.

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Stevenson-Wydler Technology Innovation Act of 1980, referred to in subsec. (f)(1), is Pub. L. 96–480, Oct. 21, 1980, 94 Stat. 2311, which is classified generally to chapter 63 (§ 3701 et seq.) of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see

Short Title

note set out under section 3701 of Title 15 and Tables.

Amendments

2022—Subsec. (b)(4)(B). Pub. L. 117–167 substituted “

August 9, 2022” for “

September 28, 2018”. 2018—Subsec. (b)(1). Pub. L. 115–246, § 108(a)(1), substituted “Except as provided in paragraphs (2), (3), and (4)” for “Except as provided in paragraphs (2) and (3)”. Subsec. (b)(4). Pub. L. 115–246, § 108(a)(2), added par. (4).

§16352 Cost sharing