Information designed to assist departmental research administrators — professionals who work with researchers in their unit and with contract-and-grant experts in the Research Office in establishing, maintaining, and closing out research awards. If you are seeking guidance on developing a proposal and its budget, please see the Proposal Guide.

 

GRANT DEVELOPMENT

b

Responsible Participation

b

Read the Award

i

Budget

b

Responsible Participation

Responsible Participation

The University of Delaware has been awarded funding for a project. It is the PI’s responsibility, as well as the research administrator’s, to manage the funds appropriately.

b

Read the Award

Read the Award

RO procedure is to send tothe Principal Investigator (PI) and Department Administrator (DA) the executed award document. It is expected that the award is read prior to expending funds. This is an important step in maintaining the award. These are some items you should check on: (please note that this is not an exhaustive list)

  • Are there special terms or conditions?
  • Is the award incrementally funded? (e.g., an NIH award subject to SNAP, the Streamlined Non-Competing Award Process)
  • Note any deliverables (reports, products)that PI is responsible for.
i

Budget

Budget

Compare the awarded budget to the final proposed budget. Contact the Research Office if there are discrepancies. Note cost-share requirements.

Hint: To check the proposal budget, review in UDataGlance.

Computing Devices

Award Setup

Cost-Share

Computing Devices

Computing Devices

Computing devices means machines used to acquire, store, analyze, process, and publish data and other information electronically, including accessories (or “peripherals”) for printing, transmitting and receiving, or storing electronic information. Charging computing devices as direct costs is allowable for devices that are essential and allocable, but not solely dedicated, to the performance of a Federal award. Reference 2 CFR 200.20 and 2 CRF 200.453.

Award Setup

Award Setup

After receipt of a new sponsored award or continuation from a sponsor, the Research Office will prepare the award for spending. We work with departments and PIs to finalize project budgets, setup backend access and prepare your award to.

Setting up your files at the beginning of an award will help to keep you organized throughout the life of the award and make close-outs and audits a much simpler task. You may find it useful to set up a PROJECT ID folder to track transactions. Subfolders for each budget category or type of transaction allow you to further organize your transaction backup documentation.

When a new purpose is set up by the Research Office for a new project, a copy of the Research Office Chart of Accounts Notification is sent to the PI and department account administrator or department representative (this varies by department). This document is a valuable resource for you to retain to help you in administering your award. The Purpose, Project, Contract, and Proposal IDs are all listed. You will need these IDs to run queries and track your transactions. Validate the accuracy of this report and discuss any discrepancies with the Research Office.

Administrator Directory Search

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Cost-Share

Cost-Share

Cost-share is defined as funds committed for the project that are not budgeted from grant funds. Some examples include equipment, personnel effort, and tuition. If there are cost-share commitments, contact the departments or colleges that have committed funds. Some cost-share will require companion Purposes; others may be tracked using cost-share Speedtypes or UD Userfields. We will go into more detail on different ways to track cost-share transactions in the section on Maintaining Your Award. The cost share policy can be found here. If the cost-share is from a third party, contact the source and outline requirements for documentation so that you can report these transactions along with the internal cost-share expenses. Specific guidance on cost-sharing in relation to federal grants is in the OMB Circular A-110, Subpart C.23 or UG Subpart D.

 

l

Subcontracts Issued by UD

Consulting Agreement

Program Income

l

Subcontracts Issued by UD

Subcontracts Issued by UD

Subcontracts will be coordinated with the Research Office in the following way. Research Office notifies the department to:

  1. Initiate a purchase requisition for the funds.
  2. Identify any special reporting requirements requested by the PI.
  3. Revise the statement of work, budget, and budget justification as applicable.
  4. Sub-recipient documents, including:

Department Administrator will establish a seperate file within their main award file to aid in tracking the activity associated with the subcontract . More detail on subcontracts is included in Maintaining Your Award.

Consulting Agreement

Consulting Agreement

A consultant is defined as an individual (not a company) contributing his or her expertise to a research project for a determined fee. The Research Office will send a debarment statement with each contractual agreement. This will allow the Consultant to sign the statement when the Consulting Agreement is signed. Please see UD Policy on Professional Consultation.

Program Income

Program Income

Program income means gross income earned by the recipient that is directly generated by a supported activity or earned as a result of the award (see exclusions in Subpart C.24 (e) and (h) of OMB Circular A-110), or UG subpart D during the period of performance.

Program income includes, but is not limited to, income from fees for services performed, the use or rental of real or personal property acquired under federally funded projects, the sale of commodities or items fabricated under an award, license fees and royalties on patents and copyrights, and interest on loans made with award funds.

If there is program income included for award, refer to OMB Circular A-110, Subpart C.24, or UG subpart D for regulations regarding use of program income.

For information on Sponsored Research Program Income Procedures follow this link.

Fabrications

Personnel

Labor Allocation Module (LAM)

Fabrications

Fabrications

Equipment fabrication is the building of a new stand-alone piece of equipment. If the expectation is that the equipment being fabricated will exceed $5,000 in total cost, this will be budgeted as equipment. If there are fabrications needed as part of the project, transactions should be tracked from the beginning of the award.

Personnel

Personnel

If personnel are supported on an award, the charges must be coded to appear on the correct project. In addition to direct charges for personnel, there may be related effort commitments which are tracked as cost-share. The Labor Allocation Module (LAM), which you’ll read about next, is a system used at the University of Delaware to allocate both types of personnel effort. Payroll charges are processed by HR and are allocated according to distributions which have been prescribed in the LAM by the employee’s department. Distribution of pay impacts Effort Certification, as well as the direct charges to the grant.

Labor Allocation Module (LAM)

Labor Allocation Module (LAM)

The University of Delaware has a Labor Allocation Module (LAM), whereby administrators can assign accurate funding distribution to each pay per employee. Payroll charges are processed by HR and are distributed according to the prescribed distributions in the LAM. These distributions impact Effort Certification as well as account balances. Both direct charges to grants as well as cost-shared effort are allocated via the LAM. Instructions on how to use the LAM can be found in HR’s LAM procedural manual, and questions about using the LAM may be directed to lam-system@udel.edu. LAM users can log on to use the module here.

Effort Administration

Gifts & Sponsored Agreements

Effort Administration

Effort Admiministration

Effort Certification is defined as the reporting and confirmation of an employee’s time spent conducting any University activity, expressed as a percentage of the total institutional compensated based time — Institutional Based Salary (IBS). The University of Delaware has an online Effort Certification System. Training documents related to Effort and the Effort Certification System are available here.

Employees must review, and if correct, certify their total effort on all sponsored projects for each effort-reporting period. Effort supporting a sponsored project but not funded by the sponsor is considered cost share. Please see the University’s effort reporting policy and procedures here for detailed explanations and instructions.

UD's research enterprise depends on funding from federal and state agencies, private foundations, organizations, and industry. The University's electronic Effort Certification System is the principal means of verifying that salaries and wages charged to or contributed to a sponsored project are fulfilled in a manner consistent with the award documentation and compliant with the federal regulations for which the University is held accountable.

If you need assistance in identifying your effort administrator, please see the Department Administrator Directory within our Staff Directory. To learn more about administering the effort certification process in your department, check out these training opportunities.

 
Effort

Effort training is available on the Research Office website here and through ConnectingU. New grant administrators must attend the next available “Introduction to Effort Administration” class. The class is offered throughout the year – at a minimum in March and September. Log-in to ConnectingU for course times and to enroll.

Effort Reporting Policy and Procedures Effort Reporting System
Effort Training Material Effort Online Training Material

Gifts & Sponsored Agreements

Gifts & Sponsored Agreements

There often exists a question over whether funds from a foundation or other (non-federal) organization are to be treated as gifts or sponsored awards. The two are very much intertwined. Awards may be received as either a gift or in the form of a sponsored agreement. In certain situations, a gift may be administered out of the Office of Sponsored Programs Administration, located in the Research Office, or jointly with the Development Office; these determinations are made at the time of the solicitation/proposal.

For additional information download the documentation on Research-Related Gifts and Sponsored Agreements

 

GRANT MANAGEMENT

Administrative Salaries

|

Budget Revisions

o

Capitalizing Fabrications

Administrative Salaries

Administrative Salaries

Administrative salaries as direct charges to federal or federal flow through awards. Administrative salaries should normally be treated as indirect costs but at times may be appropriate as direct charges if certain conditions are met (2 CFR 200.413):

  • Integral to a project or activity
  • Individual(s) involved can be specifically identified with the project or activity
  • Costs are included in proposal budget and awarded by sponsor or have prior written approval from sponsor
  • Costs are not also recovered as indirect costs

Salaries that are determined to be administrative and meet the criteria above must be budgeted accordingly in the UD financial system. For exempt administrative staff, the budget category to use in the People Soft proposal is ADMEXEMPT and for non-exempt administrative staff the budget category to use in People Soft is CLERK.

For exempt administrative staff the budget ps account to use is 120000. The individual should be paid from the appropriate salary expense ps account. For non-exempt administrative staff the budget ps account to use is 123000 with the appropriate salary expense ps account used for expenses.

Budget Category Budget PS Account Expense PS Account
CLERK 123000 123XXX
ADMEXEMPT 120000 120XXX

If administrative salaries were not included in proposal submission and funds awarded by the sponsor, you will need prior approval from the federal or federal flow through sponsor before you allocate administrative salary expenditures to the award.

Revisions to sponsored project budgets that require sponsor prior approval must be reviewed and approved by the Research Office. Once approval is received from the sponsor, if the budget revision is to be done within one project a FIN Budget Revision – Contracts and Grants webform should be processed by the department. This will rebudget the funds into the correct budget ps accounts. If the budget revision is to be done between sponsored projects on the same award, the process will be managed by the Research Office.

|

Budget Revisions

Budget Revisions

During the conduct of the project, the principal investigator may determine that budget changes are necessary. Many sponsors allow flexibility in how project funds are expended and permit budget changes needed to meet project requirements. Principal investigators need to be aware of the specific requirements for their awards and to request prior approval for budget changes when necessary.

For further information, please review Budget Revision procedure for Sponsored Awards.

o

Capitalizing Fabrications

Capitalizing Fabrications

Equipment fabrication expenses should be allocated to PS account 153100, which does not incur F and A costs. If more than one piece of equipment is being fabricated on a particular PS purpose, or if a piece of equipment is being charged to multiple purposes, it is best to track the expenses as they occur so that you can identify the individual charges for a particular fabrication. Keeping an updated spreadsheet or tagging transactions in UD AT A Glance are good tracking methods.

When a fabrication is complete, all charges must be transferred by a journal voucher process from PS account 153100 to 167900 for capital equipment by completing the UD Equipment Activity web form. The capitalization Journal Voucher (JV) may only be processed by General Accounting, following all approvals on UD Equipment Activity web form. Equipment must have an initial value of at least $5K. After capitalization, cost adjustments (also done via JV) will only be allowed by General Accounting if the added value is at least $2K. See University Policy 5-10 in the Procurement and Auxiliary Services section for more details on what qualifies as capital equipment.

All the charges to be included in the capitalization must be transferred from PS account 153100 to 167900.

T

Billing

Cost Accounting Standards (CAS)

Equipment Cost-Share

T

Billing

Billing

Billing to sponsors and cash received from sponsors is handled by the Research Office. Cash and Billing transactions can be viewed in the Financials queries. It is important to note that cash received prior to the Grants and Billing modules going live in July 2004 is reflected differently than cash that has been received after 7/1/2004. To view all cash received for a Project, it may be necessary to run all three cash queries to get a total.

GMQ_CASH_NOT_PS_BILL Cash received outside of PS Billing — This query gives all Cash received outside of the Billing module.

GMQ_CASH_PS_BILLED Sum of PS billing activity — This query gives you all Cash received as a result of a Billing in PS module.

GMQ_CASH_THRU_2002 Total Cash as of 7/1/02 — This query gives you a total of all cash received prior to 7/1/02 (prior to Financials go-live date).

 

Cost Accounting Standards (CAS)

Cost Accounting Standards (CAS)

When a sponsor awards funds to the University in support of specific programs and projects, it requires the University to manage those funds prudently to ensure that any costs incurred directly benefit the project accounts being charged.

The Federal Government is the largest sponsor of externally funded activity at the University. The cost principles relating to expenditures on federal awards are contained in the Office of Management and Budgets (OMB) Circular A-21 “The Cost Principles for Institutions of Higher Education” and Uniform Guidance 2 CFR 200. These cost principles require that any expense charged to a federally sponsored project be reasonable and necessary, allocable, consistently treated, and conform to any limits or exclusions set forth in A-21, Uniform Guidance (UG), or the terms and conditions of the award.

Anyone approving or processing the expenditure of federal funds must have a clear understanding of Cost Accounting Standards (CAS)and apply consistent application of these fundamental cost principles. In addition, individual awards may include special terms and conditions which must be considered when incurring costs. Terms and Conditions in an award which specifically address costs override all related comments in the CAS guidelines document. Consult with the appropriate Contract and Grant Administrator in the Research Office for more details.

Equipment Cost-Share

Equipment Cost-Share

There are several types of cost-share that can be part of an award. The type of cost-share determines how it is tracked. Effort cost-share will be discussed later in this section under “Reconciling Transactions.” The cost share policy can be found here: Cost Share Policy

Research Office Equipment Cost-Share — A separate Purpose is established to track this type of cost-share. All transactions using these Purposes should automatically be populated with the ProjectID. However, it is possible that some transactions may appear in Financials without the Project ID. If this should happen, it is important to contact the responsible department to correct the transaction (i.e., if a Purchase requisition, contact Procurement, JV-initiating department) or the expense will not be reflected as cost- share related to the grant.

Other Equipment Cost-Share — Match funds from UD sources other than Research Office may not have a separate Purpose established. There are several different ways to track these transactions.

Populate the Project ID in the Project ID field when a transaction is initiated. For example, in a purchase requisition, you would fill in this information at the time the Requisition is submitted. If you are using your departmental supplemental funds Purpose (such as CHEM17S000), the Project ID field is normally blank. By filling in the Project ID, you can run queries to pull all cost-share transactions together, regardless of funding source.

Useful queries for tracking cost-share are:
GMQ_CS_COMMITTED_EXPENDED_V — Shows cost-share (match) committed and spent amounts by project.

GMQ_PO_W_CS_BY_PROJECT — Returns PO data by Project ID and PO and cost-share (details).

Cost-share must be verifiable or it may be disallowed. If the department is not able to document that the committed cost-share was provided, a percentage of the awarded funds may be returned to the sponsoring agency.

More information about Equipment Cost Share

 

Cost Transfer (Journal Vouchers)

DHHS Salary Cap

Effort

Cost Transfer (Journal Vouchers)

Cost Transfer (Journal Vouchers)

A cost transfer is any adjustment or transfer of expenditures to/from an externally funded contract or grant purpose/project by means of a journal voucher. Diligent review of financial records and timely communication between principal investigators and departmental administrators should prevent the necessity for transfers; however, under certain circumstances transfers may be appropriate.

To comply with the requirements of OMB Circular A-21, and Uniform Guidance 2CFR 200, and the requirements of other federal sponsors, University of Delaware has established the following procedures for the processing of cost transfer.

DHHS Salary Cap

DHHS Salary Cap

DHHS restricts the amount of direct salary of an individual under an NIH grant or cooperative agreement or applicable contract to Executive Level II of the Federal Executive Pay scale. Please see the salary cap summary and the time frames associated with existing salary caps at https://grants.nih.gov/grants/policy/salcap_summary.htm. An individual’s base salary, per se, is NOT constrained by the legislative provision for a limitation of salary. The rate limitation only limits the amount that may be awarded and charged to NIH grants and contracts. An institution must pay an individual’s salary amount in excess of the salary cap with non-sponsored funds. The amount of funding above the salary cap must be coded as cost-share in order to demonstrate compliance with the cap.

Effort

Effort Admiministration

Effort Certification is defined as the reporting and confirmation of an employee’s time spent conducting any University activity, expressed as a percentage of the total institutional compensated based time — Institutional Based Salary (IBS). The University of Delaware has an online Effort Certification System. Training documents related to Effort and the Effort Certification System are available here.

Employees must review, and if correct, certify their total effort on all sponsored projects for each effort-reporting period. Effort supporting a sponsored project but not funded by the sponsor is considered cost share. Please see the University’s effort reporting policy and procedures here for detailed explanations and instructions.

UD's research enterprise depends on funding from federal and state agencies, private foundations, organizations, and industry. The University's electronic Effort Certification System is the principal means of verifying that salaries and wages charged to or contributed to a sponsored project are fulfilled in a manner consistent with the award documentation and compliant with the federal regulations for which the University is held accountable.

If you need assistance in identifying your effort administrator, please see the Department Administrator Directory within our Staff Directory. To learn more about administering the effort certification process in your department, check out these training opportunities.

 
Effort

Effort training is available on the Research Office website here and through ConnectingU. New grant administrators must attend the next available “Introduction to Effort Administration” class. The class is offered throughout the year – at a minimum in March and September. Log-in to ConnectingU for course times and to enroll.

Effort Reporting Policy and Procedures Effort Reporting System
Effort Training Material Effort Online Training Material

Meals (non-travel)

Monitoring Expenditures

No-Cost Extensions

Meals (non-travel)

Meals (non-travel)

Please refer to the University of Delaware’s policy Reimbursement for Faculty, Professional, and Staff. Entertainment of University Guests here for information on the criteria for the reimbursement of payment of expenses for entertainment.

Meal expenses (non‐travel) are the responsibility of the individuals and are rarely allowed on grants and contracts. This includes meal costs incurred for ad‐hoc meetings, working lunches, lab coffee breaks, routine operations, staff meals, recurring weekly/monthly meeting to discuss the progress on an award, meetings to discuss research during lunch or dinner, or otherwise any intramural meetings of an organization or any of its components, including, but not limited to, laboratories, departments and centers.

Furthermore, meal expenses related to “amusement, diversion, and social activities and any costs directly associated with such costs (such as tickets to shows or sports events, meals, lodging, rentals, transportation, and gratuities) are unallowable” on sponsored awards (OMB Circular A‐21, section J‐17). Meals (non‐travel) may be directly charged on a grant/contract if it is part of a formal meeting or conference where technical information, directly related to the award, is being disseminated. (OMB Circular A‐21, section J‐32). In such cases:

  • Document the purpose of the meeting
  • Retain a copy of the formal agenda
  • Retain a list of attendees, both internal and external
  • If know in advance, include the cost in the proposal with justification for approval by the awarding agency.

It is also permissible to charge the “reasonable” costs of the meals of a visiting researcher to the award, if the purpose of the visit is collaboration on the specific grant/contract; the associated meal expenses for the UD PI is unallowable on the award but may be charged to the departmental general funds or discretionary accounts.

Note that sponsors may place more stringent restrictions than specified in this procedure; refer to the terms and conditions outlined in the notice of award for requirements and/or treatment of such costs.

Monitoring Expenditures

Monitoring Expenditures

Reconciling transactions on a monthly basis is important to grants management. As with other aspects of grants management, several methods can be used to reconcile your transactions.

UD at a Glance

This application allows University personnel to view University financial data for which they are authorized. The UDataGlance tool may be used for daily review of budget and expenditures and should be used for monthly reconciliation of purpose codes via the monthly statement view. You may access UDataGlance here.

Statements

Web-enabled statements are provided by General Accounting. This report provides the user with a view of summed and detailed transactions and balances for Purposes/Projects which they are permitted to view. You may access instructions via UDataGlance here.

Queries

Useful Queries for reconciling transactions are:
GMQ_PI_GRANT_BALS
GMQ_PI_GRANT_BALS_BY_ACCT
GMQ_PI_GRANT_BALS_CATEGORY
GMQ_TRANSACTIONS
EZQ_TRANS_NONBUDGETQUERY — Non Budget Transactions
EZQ_TRANS_NONBUDGETACCT — Non Budget Transactions- for a specific Account
EZQ_TRANS_NONBUDGETPURP — Non Budget Transactions- for a specific Purpose
EZQ_TRANS_BUDGET_QUERY — Budget Only Transactions

Checking Balances

Running a query in UD Financials is another method for checking a balance on an award. You can find a list of some pre-written grants queries and their uses here.

GMQ — Maintained by the Research Office; provides Proposal, Project, and CASH information

Samples include:
GMQ_PI_GRANT_BALS
GMQ_PI_GRANT_BALS_BY_ACCT
GMQ_PI_GRANT_BALS_CATEGORY
GMQ_TRANSACTIONS

Here are some specific balance queries for project to date purposes:
EZQ_BAL_PROJ_QUERY — Project-to-date balance summarized by account
EZQ_BAL_PROJ_SUMMARY — Project-to-date balance summarized by acct category
EZQ_BAL_PROJ_TOTAL — Project-to-date balance: one line “bottom line” amount

Cost Transfers and Corrections

Cost transfers should be completed within 90 days of the original charge. Journal Voucher instructions and rules are listed on the General Accounting Web page.

Note: Refer to the UD Policy on Cost Transfer for details on the University’s procedure on cost transfers related to sponsored research projects.

No-Cost Extensions

No-Cost Extensions

NO-COST EXTENSION REQUESTS

While sponsors expect Principal Investigators (PI) to complete projects by the stipulated end date, occasionally extra time is needed. A no-cost extension (NCE) gives the PI extra time to complete the scope and objectives of the project without additional funds being provided by the sponsor. Although requests may not be made for the sole purpose of spending remaining funds, you may expend remaining funds during the no-cost extension period if approved. In the event your request is not approved, costs incurred after the end date would be considered unallowable and should be removed from the award via web journal voucher.

The following should be considered when requesting a no cost extension:

  • Additional time beyond the established expiration date is required to ensure adequate completion of the originally approved project.
  • Continuity of Sponsor grant support is required while a competing continuation application is under review.
  • The extension is necessary to permit an orderly phase out of a project that will not receive continued support.

The Research Office recommends a review of your program at least 90 days prior to the end date to assess if a no-cost extension will be required to complete the project objective. No-cost extension requests should be made according to the sponsor guidelines and should be forwarded to your Contract and Grant Administrator in the Research Office. Some funding agencies have awarded The University of Delaware ‘Expanded Authority’ which allows the Research Office to approve the request; however, this is on a case-by-case circumstance.

The Research Office must receive the following information before proceeding with the request for a no cost extension:

  • Purpose or Project Code
  • Current Expiration Date
  • Length of Extension
  • Scientific/Programmatic Justification explaining the need for the extension of time. This narrative should be written as if you were writing your Program Officer requesting an extension. As needed this justification will be forwarded to the sponsor by the Research Office.
  • If subawards have been issued under the prime award and require an extension please indicate and provide the necessary information and justification similar to above.

Non Federal Awards No Cost Extension Requests — It is imperative to read the terms and conditions of the sponsor’s award to determine the parameters under which a no-cost extension is permissible. For these types of requests the PI should prepare a letter to the sponsor that includes the length of the extension being requested and the justification for the extension. The PI should forward two signed originals to their Contract and Grant Administrator for review and signature.

It is always important to refer to the award document and/or check sponsor specific guidelines for clarification on no-cost extension requirements. If you have further questions contact your Research Office Contract and Grant Administrator for assistance.

(Please remember an NCE request cannot be simply for expenditure of excess funds. An NCE is granted to complete work that was delayed for a specific reason)

Record Retention

Reporting

Subcontracts

Record Retention

Record Retention

The managers of each University area, unit, department or administrative entity must address the following record-keeping issues inclusive of any and all media on which records and information are stored. Managers have responsibilities to:

  1. Establish and document departmental standards for records classification and file organization to ensure effective retrieval mechanisms for departmental information and records;
  2. Establish and document measures for protecting sensitive or critical departmental information and records from disclosure;
  3. Establish and document procedures that ensure departmental records and information are protected from disaster (See Planning to Assure Business Continuance in the Event of a Disaster);
  4. Develop documentation for department specific systems, such as data bases, spreadsheets or any customized application, to insure continuity of departmental operation;
  5. Comply with the University’s Records Retention Program.
    NOTE: Departmental compliance with this policy will be monitored through the Records Retention Program.

Please see the full UD policy for Record Retention here.

Reporting

Reporting

Throughout the life of the award, scientific and technical reporting is the responsibility of the PI. Most financial reports required by the sponsor will be prepared and signed by Research Office as the authorized official of the University of Delaware.

Subcontracts

Subcontracts

If there is a subcontract, you will receive invoices from the subcontractor via the Research Office. The PI and the account administrator should review and approve the invoices. It is important for the PI to review and approve each invoice as confirmation that the subcontractor is performing work as indicated in the Scope of Work. GMQ_PO_ACTIVITY_SUM query is available to view what has been committed and expended for purchase orders by PS Account. If there are additional funds for the award in subsequent budget years, the subcontract purchase order must be increased to reflect the additional funds. Payment of the final invoice on any subcontract is contingent upon receipt of the closeout reports required in the subcontract agreement. Instructions for the use of the Purchase Order Amendment Web Form to process an amendment to a subaward may be found here >>

Unallowable Costs

Useful Tools

Unallowable Costs

Unallowable Costs

Unallowable costs are defined as those expenses which are not reimbursable under the terms and conditions of federally sponsored agreements and/or those specifically identified as unallowable in Section J of OMB Circular A-21 (2 CFR Part 220), and Uniform Guidance (UG) Subpart E In the event a discrepancy exists between the provisions of OMB Circular A-21 and UG and those specified within the sponsored agreement, the agreement provisions will prevail.

An expense must meet all of the following criteria to be considered an allowable cost:

  • The cost is reasonable: A prudent person would have purchased this item and paid this price.
  • The cost is necessary: The expense is required to fulfill the terms and needs of the sponsored agreement.
  • The cost is allocable:  The expense benefits the sponsored agreement or, when the expense benefits more than one activity, an appropriate share can be allocated to individual agreements.
  • The cost is consistently treated:  Expenses for the same purpose are treated and classified the same way under like circumstances.
  • The cost is not prohibited:  The expense is not specifically prohibited by OMB Circular A-21 and Uniform Guidance (UG), the terms of the sponsored agreement or other regulations.

If an activity/expense does not meet the above criteria, it cannot be charged directly to a federal award nor can it be included in the indirect cost base regardless of its purpose. In addition, it cannot be used to meet a cost share commitment.

Unallowable costs are identified and segregated by a combination of the following methods:

  • Separate PS account code
  • Review of expenses conducted as part of a monthly reconciliation of expenditures by Research Administrator (GMQ_TRANS_UNALLOWABLE)
  • Review of expenses conducted by Research Office personnel during closeout

Useful Tools

Useful Tools

UD at a Glance

This application allows University personnel to view University financial data for which they are authorized. This tool may be used for daily review of budget and expenditures and should be used for monthly reconciliation of purpose codes via the monthly statement view. You may access UDataGlance here.

QUERIES

The PeopleSoft Query tool allows you to extract financial data. The Query tool can be used to do the following:

  • Preview query data within Query Manager and Query Viewer, displaying the results set in a table format;
  • Write new or modify existing queries (be sure to *SAVE AS* rather
    than overwrite the original query) to extract new data sets; and
  • Download query results to an Excel spreadsheet.

Query training introduces you to some of the basic functions of the PeopleSoft (PS) Query tool as they are used at the University of Delaware. Many pre-written queries also are available for use. A PowerPoint presentation explaining Grants Reporting is available here. Also included is a list of public, pre-written queries. Public queries may be added or deleted, so check in Query Viewer or Query Manager to see an updated list. Several acronyms have been designated for pre-written queries. Here are a few:

GMQ — Maintained by the Research Office; provides Proposal, Project, and CASH information.

Samples include:
GMQ_PI_GRANT _BALS
GMQ_PI_GRANT_BALS_BY_ACCT
GMQ_PI_GRANT_BALS_CATEGORY
GMQ_TRANSACTIONS
GMQ_SUB_INVOICE_ACTIONS

EZQ_BAL_PROJ queries — Maintained by General Accounting; provides Balances and Transaction information for a specific project to date purpose, not by specific project ID.

PIQ — Maintained by Research Office; provides curriculum vitae information from the Employee Demographic Data (EDD), as well as F and A by PI.

UDQ — Maintained by the Treasurer’s Office; various useful types of information dealing with Purpose details such as Authorized signers, Titles, Speedtypes, etc.

OBQ — Maintained by the Budget Office; provides information related to Obligations.

 

CLOSING THE AWARD

Automated Closeout Report (ACR) Job Aid

Automated Closeout Report (ACR) Webform

Closeout Timelines and Escalation

Automated Closeout Report (ACR) Job Aid

Automated Closeout Report (ACR) Job Aid

This is a help manual to understanding and completing the Automated Closeout Report/ACR. This Job Aid is not meant to be an “all-inclusive” list. This Job aid has been prepared to help guide users in preparing and completing the automated closeout report. If you have questions or need additional help, please contact the Research Office.

No-Cost Extension (NCE)Yes: Please return the ACR indicating 'Yes' if you are requesting a NCE or new increment of funding.
Additional clarifying information can be added in the comments section, such as the anticipated end date.
Do not hold onto ACR until NCE has been approved.
By indicating yes, it will alert the SRA and billing that the financial analysis and final invoice are on hold.
Involve Contract & Grant Specialist in the NCE process.
No: Please move forward with completing the closeout.
Report data will only appear if you answer NO to the first question.
Review your Award terms and conditions to verify closeout window.
Final Technical Report:Attach proof of submission to sponsor (email, letter, or online submission), not actual report.
If no report is required as per the agreement, note that in comments section on ACR.
If all is complete on ACR except for the technical report, send ACR to RO so the financial analysis can be completed and the final invoice can be sent.
Do not hold up ACR waiting for the report.
The ACR will be returned to enable completion of the final technical report section.
Cost Share/Match:Expended Amount should be equal to or greater than committed amount.
Matching funds posted to 199700 are also posted in expended amount. If the matching funds = the expended funds, the balances listed will be zero.
Cost share should be tagged with the Project ID whenever possible
Attach spreadsheet(s) for any other required match that cannot be tagged with a Project ID, such as third party or another grant.
Indicate in the comments section any waived F&A being used, and the grand total required and met.
Expenses being used as cost share on project must follow same guidelines as on award.
After End-Date Charges:Answer drop down question
After end date charges are transactions that have hit ledger after the Project End date (date is noted at top of ACR).
If Project End date is incorrect on this form, please contact the Research Office so that it can be corrected.
Attach backup for charges to show that charge was incurred during the grant period.
JV's that clearly show transaction dates during the grant period do not require backup and do not need to be attached.
Charges that have a transaction date that is during the grant period do not require backup.
Actual backup – should show original order date, helpful if the date and dollar amount are circled or marked for easy identification.
Organizing the backup – it’s helpful to scan, attach and name by PS account or type of expense (travel, S&E, phone, etc.). Also helpful to scan in date order so that the backup is in approximate order of actual expenses.
Over Expenditures:Answer drop down question.
Add comments, if there is a pending JV that was recently submitted to clear overexpenditures.
Note pending JV #s
Potential Unallowable Charges:Review expenditures and compare with sponsor's terms and conditions to ensure that all award budget
restrictions or prior approvals have been followed.
Please provide written justification for the charges listed in this section. How are they allowable, allocable, reasonable and consistent?
Backup is required for Foreign Travel flights and local meals.
Fly American Waiver checklist is required for all Foreign Flights.
Review all charges posted to award to ensure that the proper PS account was used.
Review budget vs. expenditures.
There may be PS accounts on here that are allowable on your award. The ACR is programmed with a standard list of accounts and does not know what's been approved in your budget.
During the RO closeout review, we may also ask for justification on accounts that are not listed.
Upon review of the justification, source documentation (receipts/invoice) may be requested by the Research Office.
Outstanding Transactions:If everything else on the ACR is completed, you can submit the ACR with notes about the pending item(s), but keep in mind that we can’t complete the closeout until all transactions have hit the purpose code.
If you have submitted requisitions to procurement for payment, please attach them as well as any backup that may be needed for the after end date charges.
Equipment Inventory:Verify that all 153100 transactions have been capitalized or moved to S&E.
There are very few exceptions where 153100 can remain on a purpose.
Check sponsor’s terms and conditions – if a property inventory is required, please attach it here.
If the section states “No transactions have been found,” you don’t need to add a comment.
Subcontracts:Answer the drop down question
A final invoice and closeout document(s) are required for every subcontract.
Monitor the subcontractor for invoices, and make sure the final invoice is requested well before the end date, if it hasn’t already been submitted.
Coordinate with your Contract and Grant Specialist to obtain any missing documentation.
The full amount expensed and posted to ledger for each subcontract should match the certified expenses amount provided by the subcontractor on the closeout document.
Purchase Orders:Notification of open purchase orders.
Approved(A), Dispatched(D), or Open(O) status
Review the POs to determine if all obligations have been paid.
If a PO is listed in this section and all obligations have been paid, complete webform "FIN Purchase Order Amendment" to close the PO.
Salary JVs:Verify that all proposed effort, including cost share has been met with completed Effort Certifications.
Ensure there is no negative effort on project.
Submit JVs if effort cost share requirement has not been met.
Review agreement for any requirements regarding salary caps to ensure compliance.
Contact Research Office Effort Manager if you have questions or need Effort Certifications pushed for corrections.
F & A Costs:Review the F & A charged to ensure it is correct.
Some items to keep in mind that may cause differences between the budgeted/charged amounts:
PS accounts that do not generate F&A
http://www.udel.edu/research/preparing/proposalguide.html
Verify that Chart of Account (COA) updates reflect correct rate(s)
Transactions missing project id will cause F&A to be off
Contact RO if adjustment is needed
Potential Inventions:Checking for patents/IP issues is required for federal and federal pass-thru awards, and any agreement with IP/Invention reporting terms.
Department administrators need to coordinate with their faculty members to identify if they have filed any patents/IP issues with the Office of Economic Innovation and Partnership (OEIP) either directly or by using patent database.
Please ensure that inventions are filed under the full award number.
Purpose/Project Conflicts:This section will display a total for all mismatched transactions only if there is a problem between the balance of the purpose vs. the balance of the project.
Verify that all transactions have hit both the correct purpose and project. The total expenditures for each should be the same.
If there is a discrepancy between the purpose/project, it needs to be determined where the charge belongs.
Once identified, the Research Office may need to process a JV making the correction(s) or Procurement may need to correct. Please coordinate with the Research Office.
Labor Allocation Module (LAM)Remove all personnel from the LAM distribution tagged with this project.
Remember to check that any salary tagged as Cost Share has also been removed from the LAM distribution.
Please note in the comments if an employee has been terminated.
Confirm Final Expenditures:Confirm that the final expenditure balance being reported under this section as Actual Expenditures is accurate.
Type the final total expenditures for this project, including outstanding transactions.
Identify any outstanding transactions in comments section.
Routing and Authorization:Save and Exit can be used to save changes and return to the form at a later date. The submit form button will complete the action that you have selected from the drop box.
If "Forward" is selected from the action, you will need to enter the email address of the individual you want to receive to receive the form.
"Forward to the Research Office" will send the completed form to the assigned Sponsored Research Accountant to begin their part of the closeout process.
Please remember that closeouts are not reviewed until the closeout report is submitted to the RO.

Automated Closeout Report (ACR) Webform

Automated Closeout Report (ACR) Webform

This is a webform to manage project status and prepare for Closeout.

ACR Webform

Closeout Timelines and Escalation

Closeout Timelines and Escalation

This is a table of timeline for completion of Closeout and hierarchy of escalation notifications

 

Number of Days After Project End
Closeout PeriodACR Due Date
9045
6030
4520
305
*Escalation notifications will be sent to the appropriate individuals.
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