USI>Sponsored Research Office

grants

Post Award Administration
Award Negotiation
Managing Awards

Post-award administration is the collaborative effort that ensures USI meets its fiscal responsibilities as defined by regulatory authorities and the agencies that offer funding opportunities.

The Sponsored Research Office (SRO) is responsible for the negotiation of all sponsored project awards and subrecipient agreements. The Grant Accountant in the Business Office is responsible for account opening, billing, collecting, financial reporting, and account closing for grants and contracts awarded the University by governmental and private sponsoring agencies. The Business Office maintains the financial records for each grant.

The principal investigator or project director (PI/PD) has overall responsibility for the conduct of the project described in the grant proposal. The Grant Accountant provides assistance, but the PI/PD is expected to conduct all work in a responsible and ethical manner, to comply with the funding agency’s guidelines for expenditures and reporting, and to keep the College and the funding agency informed of any significant changes in the project.

Award Negotiation

Award negotiations covers the scope of activities between proposal submission and the acceptance of an award by the University. During this period, the award mechanism (grant, cooperative agreement or contract) and the sponsor will largely determine the length and complexity of the negotiation process. The end result of award negotiations is a mutually agreeable set of terms under which the University will conduct the proposed project.

Sponsored project awards are legally and mutually binding agreements between the funding agency and USI. The university must comply with guidelines set by federal, state, local government and private agencies. Failure to meet any of the guidelines or regulations these agencies establish may jeopardize USI’s ability to qualify for current and/or future funding.

The authority to negotiate an award on behalf of the University has been delegated SRO, thus SRO will coordinate the internal review and signing of award documents as well as their timely return to the issuing agency.

Sponsors usually send SRO official notification of an award. In the event that a PI receives direct notification from the funding agency, copies of the award notice and any agreements or contract materials from the funder must be sent to both SRO and the Grant Accountant.

The award document is considered an official agreement of the scope of work, the amount the sponsor will provide, and other terms and conditions that govern the project. Prior to acceptance of an agreement, SRO negotiates with the sponsor to ensure compliance with USI policies and to obtain the best possible terms and conditions for both the Principal Investigator (PI) and USI.

For many government agencies there are standard terms and conditions with minimal negotiations necessary. Other government agencies and corporate entities may require extensive negotiations in order to reach a satisfactory contractual agreement.

Some award issues that typically involve negotiation are: publication delays imposed by the sponsor; ownership of research data; intellectual property concerns; risks involved in the project and USI's liability under the award; restrictions on foreign nationals; and non-disclosure of proprietary materials or information being furnished by the sponsor. The contractual terms governing these issues can be very complex and can require extended negotiations before an acceptable agreement can be reached.

Once an agreement has been reviewed by SRO and the PI, it can be accepted and executed on behalf of the University by SRO.

After negotiation and acceptance of awards, the Grant Accountant will initiate setup of the award within the University Financial System. A Banner account will be established and a Notice of Grant Award will be prepared. Budget line items will be designated according to the lines in the final approved grant budget. The Grant Accountant will work with the PI to assure the funds are set up appropriately and that the PI is aware of the terms and reporting requirements of the award.

Managing Awards

Grant accounts operate following the same University procedures for accounts payable, personnel, procurement, travel, and all other types of expenditures. Principal investigators/project directors initiate expenditures against the grant budget. The financial manager assigned to the account (usually the applicable dean) authorizes these expenditures while the Grant Accountant monitors and reconciles the grant account.

The following list includes regulations, policies, procedures, and other resources to assist and inform the award management process.

Accounts Payable
Budget Changes -- Most funding agencies will permit some budget adjustments among approved categories, if approval is requested in advance. Certain federal agencies have guidelines that permit a grantee institution to transfer grant funds from one category to another within limits without prior agency approval. PIs/PDs should discuss any anticipated budget changes with the Grant Accountant.
Electronic Research Administration (ERA)
Effort Reporting -- USI is required to certify the allocation of salaries and wages associated with sponsored agreements. PIs/PDs are responsible for reviewing and ensuring accurate accountability of their own effort and the effort of their staff.
Facilities & Administrative Costs (F&A)
Federal Regulations
Grant Accounting
No-Cost Extensions -- Extensions in the project period that do not involve additional funds are called no-cost extensions. They are usually necessary when work on the project takes longer than anticipated—not simply because grant funds remain at the end of the original project period. Most federal funding agencies provide up to a year’s extension as a routine matter, but require review and approval of subsequent extensions. Contact SRO and the Grant Accountant as soon as possible because extension requests may be subject to deadlines.
Personnel
Procurement
Reporting -- Sponsors typically request both periodic financial and technical reports. The schedule for completing reports and format are outlined in the sponsor's notice of award or in the agency general terms and conditions. The Grant Accountant is responsible for completing financial reports, and the PI/PD is responsible for the technical reports. Meeting reporting deadlines should be a coordinated effort between both the Grant Accountant and the PI/PD.
Research Policies
Travel Office -- Under the Fly America Act, travelers must use U.S. flag air carriers when travel costs are charged to federal awards, with limited exceptions allowed. For foreign travel, make sure your travel arrangements are consistent with these requirements and can be documented accordingly for reimbursement purposes.

(Some of the information on this page was adapted from the University of Minnesota, Portland State University, Trinity College, Yale, Keck Graduate Institute, UC Merced, and University of Iowa.)

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