Dr, Bugher brought out that it was the desire
of Harvard University to establish a fixed overhead
sum applicable to all Government-supported contracts.
ft would be automatic under their procedure to apply
25% to any contract, whether it be applied and
programmatic or whether it be basic research.
This creates some difficulties owing to the

large gap between 8% which the Division has
followed and the 25% which is involved with the
Harvard contracts,

Dr. Bugher further advised the

Committee that the 8% allowed on the majority of
contracts does not, of cours:, cover the truc overhead cost to the institution and suggested that
consideration might be given to raising the level

to somewhere between 13% and 15%,
After a full discussion and in view of the
importance of the problem the Chairman requested
that a vote on raising the amount of overhead from
8% to 12% or 15% be deferred until the next meeting,
The Chairman further requested that each member
consider himself a committee of one to come to
some conclusion for presentation at the next meeting
when a vote will be taken and guidance given to the

Direetor of the Division of Biology and Medicine and

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his staff.

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