Fixed-price contract residual direct funds may be used by the PI as salary in summer and as purchase release time in regular semesters provided: (a) the amount used as PI salary does not exceed what was budgeted as salary in the fixed-price contract budget carrying full F&A rate; (b) the amount spent on graduate students as stipend and tuition during this same period is at least what was budgeted in the original fixed-priced contract; and (c) the amount used as PI salary is expended within a period to not exceed two years from the date of such approval by the vice president for research.

           Fixed-price contract residual amounts that remain unspent for a period exceeding two years may not be spent as PI salary.