STDP AO 4 - Eligible costs definitions

Note that until a written funding agreement is signed by both parties, no commitment or legal obligation exists on the part of the Canadian Space Agency (CSA) to provide funding in the form of a grant or contribution to any successful application.

Acquisition or rental of equipment:

Consists of equipment, including software rented, acquired or constructed exclusively for the project. In order to be eligible, such equipment must be identified in the project cost estimates, and approved by the CSA. All such equipment shall be charged to the project at the net price, including all costs incurred to get the equipment operational after deducting all trade discounts, rebates and similar charges. The PST, HST and GST should be excluded.

Consultant services:

The nature of services to be acquired shall be set out in the proposal estimates. The amount eligible for a consultant shall be the actual contract amount. The CSA reserves the right to approve only a portion of the consultant fees submitted.

Data acquisition:

Can include, but is not limited to, data archiving.

Overhead (administrative) costs (not to exceed 15% of eligible costs):

This represents expenses of doing business that are not readily identified with a particular project or activity, but are necessary for the general operation of the organization and the conduct of activities it performs. In theory, costs like heat, light, accounting and personnel might be charged directly if they could be recorded specifically related to the project. Practical difficulties preclude such an approach.

Material and supplies:

A category of expenditures which includes goods that are used or consumed in achieving project objectives and can be specifically identified and measured as having been used or to be used in the performance of the project. Office supplies are excluded.

Laboratory analysis services:

Cost of services rendered to solve analytical and process problems in a building, part of a building, or other place specifically equipped to conduct experiments, tests, or investigations.

Salaries and benefits:
  1. Salaries include wages for all personnel with direct involvement in the project such as, but not limited to, engineers, scientists, technologists, researchers, project managers, students and administrative assistants. All eligible personnel must be employees on the recipient's payroll. Payment in terms of shares, stock, stock options and the like are not eligible. The amount invoiced shall be actual gross pay for the work performed and shall include no markup for profit, selling, administration or financing.

    The eligible payroll cost is the gross pay of the employee (normal periodic remuneration before deductions). Normal periodic remuneration rates are the regular pay rates for the period excluding premiums paid for overtime or shift work. The payroll rate does not include any reimbursement or benefit conferred in lieu of salaries or wages. When hourly rates are being charged for salaried personnel, the hourly rates shall be the periodic remuneration (annual, monthly, weekly, etc.) divided by the total paid hours in the period including holidays, vacation and paid sickness time.

    Labour claims must be supported by suitable records such as time sheets and records, and be held for verification at time of audit. Management personnel are required to maintain appropriate records of time devoted to the project.

  2. Benefits are defined as a reasonable prorated share of expenses associated with the direct labour cost such as the employer's portion of Canada Pension Plan, Quebec Pension Plan and Employment Insurance, employee benefits such as health plan and insurance, Worker's Compensation, sick leave and vacation plus any other employer paid payroll related expenses. Those items which have no relationship to the project or which have been charged on an indirect basis are not eligible. The determination of the fringe benefits amount shall be in accordance with generally accepted cost accounting principles. In general, fringe benefits rate provided in the project estimate shall be computed once during the life of the project and agreed on prior to the signing of the agreement. If retroactive adjustments are made, these must be indicated on claims for progress payments for the CSA's approval.

Travel:

Unless stated otherwise in the funding agreement between the CSA and the recipient, Treasury Board rates shall be used in reimbursing expenses.