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Salary Limitation on Ahrq Fy2021 Grants Cooperative Agreements and Contracts

As the world continues to evolve and change rapidly, healthcare has become an essential aspect of our daily lives. To ensure the provision of quality healthcare services, various organizations provide grants, cooperative agreements, and contracts to support research and development. One such organization is the Agency for Healthcare Research and Quality (AHRQ), which offers several grant programs to help improve the healthcare system.

However, AHRQ has recently announced a significant limitation on the salaries that can be charged to its FY2021 grants, cooperative agreements, and contracts. This limitation is limited to the direct salary expenses for all individuals who are employed by or under the supervision of the grantee or contractor. The limitation applies to all types of grant mechanisms, including research grants, center grants, small grants, and contract research.

The new limitation set by AHRQ for FY2021 requires that the total salary cap for individuals working on a project be set at $197,300 annually. This is a reduction from the previous salary cap of $199,300 in FY2020. This limitation is intended to help balance the agency`s budget and promote the efficient use of grant funds.

It is important to note that this limitation on salaries does not apply to indirect costs, such as fringe benefits or facilities and administrative costs (F&A). However, the grantee or contractor must be able to account for the expenses incurred and ensure that they comply with the limitations set by AHRQ.

It is also important to note that the AHRQ salary limitation does not apply to individuals who are not directly employed or supervised by the grantee or contractor. For example, collaborators or consultants who are not under the direct supervision of the grantee or contractor can still charge their full salary to the project.

In conclusion, the new limitation on salaries set by AHRQ for FY2021 grants, cooperative agreements, and contracts is an essential measure to promote the efficient use of grant funds and ensure that proper accountability is maintained. As a grantee or contractor, it is crucial to ensure compliance with the limitation and account for all expenses incurred. By doing so, we can continue to promote research and development in healthcare and help improve the overall healthcare system.