What does Modified Total Direct Cost (MTDC) and the term “base” amount mean?
Modified Total Direct Costs consists of salaries and wages, fringe benefits, materials and supplies, services, travel, and subgrants and subcontracts up to the first $25,000 of each subgrant or subcontract (regardless of the period covered by the subgrant or subcontract). The base amount is the amount remaining from the total direct costs after applying the following exclusions: equipment (defined as having a useful life of over one year, and an acquisition cost of $500 or more per unit), capital expenditures, charges for patient care and tuition remission, rental costs, scholarships and fellowships, as well as the portion of each subgrant and subcontract in excess of $25,000.
