Exhibit 99(h)(2)
SCHEDULE A TO THE ADMINISTRATION AGREEMENT DATED AS OF JULY 1, 2006,
BETWEEN FIRST AMERICAN INVESTMENT FUNDS, INC. (THE "FUND") AND
FAF ADVISORS, INC. (THE "ADMINISTRATOR")
ADMINISTRATION FEES
Pursuant to Article 2, the Fund shall pay the Administrator compensation
for services rendered to each Portfolio, calculated daily and paid monthly, at
the annual rates set forth in the following table. Such rates are based on the
net assets of all open-end mutual funds for which the Administrator acts as
investment adviser and provides administrative services ("Complex-Wide Assets"):
COMPLEX-WIDE ASSETS FEE
(IN BILLIONS) (PER ANNUM)
----------------------- -----------
First $8 billion 25.0 bp
Next $17 billion 23.5 bp
Next $25 billion 22.0 bp
Assets over $50 billion 20.0 bp
Complex-Wide Assets at the end of each day are applied to the above fee
schedule to determine the hypothetical fee that would be charged if such
schedule were applicable to all open-end mutual funds for which the
Administrator acts as investment adviser and provides administrative services
(the "Complex-Wide Fee"). Each Portfolio is then charged an administrative fee
(accrued daily and calculated and paid monthly) equal to its proportionate
amount of the Complex-Wide Fee, determined based on the Portfolio's
proportionate amount of Complex-Wide Assets.
OUT-OF-POCKET EXPENSES
In addition to paying the Administrator the fees described above, the Fund
agrees to reimburse the Administrator for its out-of-pocket expenses in
providing services hereunder, including without limitation the following:
(a) All postage and delivery charges incurred by the Administrator in
delivering materials to and from the Fund;
(b) All telephone, telecopy or other electronic transmission and
communication expenses incurred by the Administrator in communication
with the Fund, the Fund's custodian or others as required for the
Administrator to perform the services to be provided hereunder;
(c) The Fund's pro rata share of the cost of the Administrator obtaining
pricing service quotations;
(d) The cost of any media used to create and store records or other
materials;
(e) All systems-related expenses associated with the provision of special
reports and services;
(f) Any expenses the Administrator shall incur at the written direction of
an officer of the Fund thereunto duly authorized; and
(g) Any additional expenses, agreed to in advance by the Fund, reasonably
incurred by the Administrator in the performance of its duties and
obligations under this Agreement.
