Parties to the Agreement:

National Science Foundation (NSF), National Institutes of Health
(NIH), Office of Naval Research (ONR), Department of Energy
(DOE), Department of Agriculture (USDA), Air Force Office of
Scientific Research (AFOSR), Army Research Office (ARO),
Army Medical Research & Material Command (USAMRMC),
National Aeronautics & Space Administration (NASA),
Environmental Protection Agency (EPA), Financial Management
Service (Department of Treasury), and

(Name of Participating Institution or Organization)


The purpose of this Agreement is to increase productivity of
Federally supported research and education, provide for increased
stewardship of Federal funds, and reduce administrative costs and
burdens within the Federal government and at academic
institutions and other organizations that perform Federally
supported research and educational activities by standardizing and
simplifying Federal arrangements for such support.

The parties agree as follows:

Participation Conditions:

The participating institution or organization agrees:

1.  To actively participate in the Federal Demonstration Project
(FDP), including regular attendance, at institutional/organizational
expense, of FDP committee and task force meetings, and participation
 in new or ongoing FDP demonstrations or pilots.  It is understood
that failure to attend two or more consecutive regularly-scheduled FDP
committee meetings may be grounds for termination of membership.

2.  To commit to continued efforts to reengineer and streamline
internal processes while enhancing the stewardship of Federal
support and to cooperate in on-site and other reviews and
evaluations of activities under this Agreement.  It is expected that
the institution will provide a report to the FDP membership at
least every two years on these efforts, which should include the
effects on costs, productivity, paperwork and accountability, and
suggestions for change based on these experiences.

3.  To establish and maintain management and administrative
procedures and systems that comply with the standards and
requirements of the Federal government for administering Federal
awards for research and education (including lack of material
weaknesses in internal control structures as confirmed by
applicable audit requirements and substantial compliance with
Federal policies and regulations pertaining to grant
administration, such as timely technical, invention and financial

The participating Federal agencies agree:

1.  That agency grants and cooperative agreements to the
participating institution or organization will be governed by the
"FDP General Terms and Conditions" (unless otherwise required)
and applicable agency-specific requirements.  A copy of the
current "FDP General Terms and Conditions" is included as an
attachment to this Agreement.

2.  To use the FDP as the primary focus for tests and
demonstrations of reengineered processes and systems for the
support of research and education to the extent possible.  This
includes specifically working toward the development and
implementation of electronic commerce in research administration.

3.  To provide periodic reports to the FDP membership along the
lines of the report in #2 above.

Terms and Conditions

In the event the participating institution or organization has not
previously held membership in the FDP, the parties agree to
establish a mutually agreeable date after execution of the
Agreement to have appropriate agency awards (new and
continuing) to the institution or organization governed by the
"FDP Terms and Conditions" (including applicable agency-
specific requirements).  Each agency will provide official
notification to the institution or organization specifying the
awards from that agency that are covered and other
implementation details affecting that agency's awards.  The
agency also may include special conditions in their awards on a
project-by-project basis, as necessary.  If the participating
institution is a member of the current (Phase II) FDP, awards from
each agency will continue to be governed by the "FDP General
Terms and Conditions" including applicable agency specific
requirements and any special conditions as appropriate.


The FDP will be organized generally as set forth in the section
entitled "Organization of Phase III and Phase III Activities" in the
FDP Phase III Solicitation as announced in the Federal Register
on February 8, 1996.  However the parties may agree to new or
modified organizational arrangements during the course of this

Duration and Termination

This Agreement will remain in effect until June 30, 2002, unless
terminated by mutual agreement or by action of the Steering
Committee of the FDP.  However, it also may be terminated by
any of the agencies (so far as relates to the agency's participation)
or by the institution or organization with at least 30 days notice to
each of the parties.  The expiration or termination of any
participating agency in this Agreement will not affect the
applicability of the terms and conditions used in any awards made
prior to the expiration or termination of the agreement.

Signature:                                             Date:



Institution/Federal Agency:

Agency Office Contact: