The cost of professional services will in many instances be time based. approved organisations and Waka Kotahi (state highways) will need to have a rational, well documented and consistent method for attributing time based costs to approved activities.
For some in-house staff a system for attributing time-based costs will be used to separate administration ‘time’ from professional services ‘time’. Where staff members also work on tasks that are not related to approved activities, for example, tasks related to what approved organisations often refer to as the ‘unsubsidised programme’, then a time-based cost recording system should be used to separate out these costs.
Time-based overhead costs may sometimes be treated as a direct cost to an approved activity for the purposes of establishing the funding assistance claim cost. For example, an in-house staff member employed exclusively on a large project may devote time to both professional services and time to administrative tasks. Both will be a direct cost to the project. There will be no need, for the Transport Agency’s purposes, to distinguish professional services time from time spent on administrative tasks.