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Part IV - Charge-out rates

Section E: Estate charges

Chapter E.5 Justification

  1. If one of an institution’s estates charges falls above the upper quartile of the sector rate, then they should be prepared to justify this higher charge, or they have to apply the non-compliant default rate, set at zero.
  2. This decision should apply for one year, across all projects in that institution. Part of the reason for a higher rate might, for example, include definitional issues where fewer costs are being claimed as direct; part might relate to efficiency or a wide range of historical or other reasons.
  3. A method for seeking to justify a higher charge is described under external quality assurance.
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