NYC Council Introduction 243

intro.nyc/0243-2024 2024-2025 Legislative Session
Indirect costs of nonprofit city service contractors.
Status: Laid Over in Committee Committee on Contracts
Sponsored by Crystal Hudson
Introduced: February 28, 2024

This bill would require the City Chief Procurement Officer and the Director of Management and Budget, or another officer or agency head designated by the mayor, to develop a methodology for calculating indirect costs, such as facilities or administrative costs, associated with providing human services pursuant to city contracts. The methodology would provide for a minimum indirect cost reimbursement rate of 20 percent. Human service providers may alternatively choose to use a federally approved “NICRA” rate, or another indirect cost rate issued by an approved entity. The Office of Not-for-profit Organizations Services would be required to post the relevant methodology and related materials on their website. Contracting agencies would be required to reimburse indirect costs incurred by covered city service contractors in accordance with the required methodology.