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NSF GRFP "outside work" and federal funds question

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Hello! I am writing to see if anyone who is/was an NSF GRFP fellow has experienced a similar sort of question as I am currently facing...

To make a long story short, I am a first year NSF GRFP fellow and have recently been invited to join a research project at another institution (and I really want to participate!). The project would not exceed my weekly hour limitation for "outside work" (25%/10 hours set by my institution); however, the project is a multi-institution initiative funded by NSF. My institution's CO has told me that I would NOT be able to take the position because NSF GRFP fellows are not allowed to accept "stipend supplementation" from federal sources. HOWEVER, the wording in the Administrative Guide for fellows seems to indicate that federal funds are not allowed for "fellowships" that "support the graduate education of individuals." The wording is not geared at all toward paid work. As a research assistant in the project, the funds would not be supporting "graduate education." I would be simply working a job external to my university, paid hourly, very similar to what I am doing now.

Here is a section from the NSF GRFP Administrative Guide about federal funds:
"Starting with the 2011-2012 Fellowship year, GRFP Fellowships cannot be concurrently accepted or combined with support from another federal graduate fellowship, irrespective of the Fellow’s status. Federal graduate fellowships are defined as awards that are offered to individuals from the US Government (e.g., Department of Defense, Department of Energy, Environmental Protection Agency, National Institutes of Health, National Oceanic and Atmospheric Administration, Department of Agriculture, and National Aeronautics and Space Administration) to support the graduate education of individuals." 
My questions: Has anyone else experienced navigating this nuance and lack of clarity in NSF GRFP guidelines? ***Can I work as a research assistant on this project? How can NSF guidelines be interpreted appropriately in this case? 

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