Changes have been implemented, beginning with awards on or after October 1, 2025, increasing the threshold for including subcontract costs in the Modified Total Direct Costs (MTDC) calculation from $25,000 to $50,000. Two new object codes have been created to capture these costs.
| Object Code | Major Range | Minor Range | Summary Range | Title |
|---|---|---|---|---|
| 8709430 | Expenses | Other Expenses | Subcontracts | Subcontracts <$50K |
| 8709440 | Expenses | Other Expenses | Subcontracts | Subcontracts >$50K |
Agreements awarded prior to October 1st, will still be capped at the $25,000 threshold.