76.560—General indirect cost rates; exceptions.
        
        (a) 
         The differences between direct and indirect costs and the principles for determining the general indirect cost rate that a grantee may use for grants under most programs are specified in the cost principles for—
    
    
    
    
    
    
        
        (5) 
         State and local governments and federally-recognized Indian tribal organizations, at  34 CFR 80.22.
    
    
        
        (b) 
         A grantee must have a current indirect cost rate agreement to charge indirect costs to a grant. To obtain an indirect cost rate, a grantee must submit an indirect cost proposal to its cognizant agency and negotiate an indirect cost rate agreement.
    
    
        
        (c) 
         The Secretary may establish a temporary indirect cost rate for a grantee that does not have an indirect cost rate agreement with its cognizant agency.
    
    
        
        (d) 
         The Secretary accepts an indirect cost rate negotiated by a grantee's cognizant agency, but may establish a restricted indirect cost rate for a grantee to satisfy the statutory requirements of certain programs administered by the Department.