(a) The maximum indirect cost rate for all consortium partners and any cost-type contract made under these grants is eight percent of a modified total direct cost base or the partner's negotiated indirect cost rate, whichever rate is lower.
(b) For purposes of this section, a modified total direct cost base is total direct costs less stipends, tuition, and related fees, and capital expenditures of $5,000 or more.
(c) Indirect costs in excess of the maximum may not be--
(1) Charged as direct costs by the grantee;
(2) Used by the grantee to satisfy matching or cost sharing requirements; or
(3) Charged by the grantee to another Federal award. (Authority: 20 U.S.C. 6832)