Post Award WorkshopMarch 29, 2007

Research Accounting Staff487-2244Julie Seppala, Director

jhseppal@mtu.edu

Tammy LaBissoniere, Senior Research Accountant Stacey Corrigan, Senior Research Accountant

Federal Project Federal Pass-Through, State Project Setup & Close-Out Setup & Close-Out

tklabiss@mtu.edu slcorrig@mtu.edu

Tom Holzberger, Assistant Research Accountant Kate Shamus, Assistant Research Accountant

Industrial, Foreign, & Foundation Sponsored Billing Project Setup & Close-Out Industrial FFP Project Setup taholzbe@mtu.edu klshamus@mtu.edu

Christine Gruver, Office & Account Assistant Karen Foltz, Office Assistant Expenditure Review Support Staff cmgruver@mtu.edu ksfoltz@mtu.edu

http://www.admin.mtu.edu/research/acct/

Responsibilities of the Principal Investigator

General Fiscal Responsibilitieshttp://www.admin.mtu.edu/research/acct/responsibilities.pdf

Sponsored Project Responsibilities http://www.admin.mtu.edu/research/sprot/policies/responsibilities.html

• Assurance of appropriateness, reasonableness, timeliness and allowability of expenditures

• Management of expenditures within start and end dates, not to exceed award amount

• Initiation of requests for re-budgeting and cost transfers

Responsibilities of the Principal Investigator

Sponsored Project Responsibilities (Continued)

• Approval of payment of subcontractor invoices• Review of interim financial reports on a monthly basis• Documenting of cost-share/matching funds if

required• Review of employee effort reports

Responsibilities of the Principal Investigator

Sponsored Project Responsibilities (Continued)

• Review and approve in-kind cost share• Timely final financial close out of projects• Initiation of request for time extensions• Participation in the collection and funding of

outstanding receivables from research sponsors

Charging Expenditures to Federal Projects

http://www.admin.mtu.edu/research/sprot/policies/charging_expenditures_sponsored_programs.html

Administrative and Clerical Salaries are normally unallowable

Costs are allowable when they are directly attributable to specific work under a sponsored agreement

For expenditures that are used to support multiple projects, those projects should normally be charged an appropriate amount based on use to the extent practical

Charging Expenditures to Federal Projects (Continued)

Reallocation of Expenditureshttp://www.admin.mtu.edu/research/sprot/policies/reallocationofexpenditures.html Reallocations must be made promptly after

discovery of the errors. Any expenditure allocable to a particular

sponsored project may not be shifted to other sponsored projects in order to meet deficiencies caused by overruns.

Reallocations should be made within 90 days of the original charge.

Frequent or inadequately documented reallocations raise serious questions about the propriety of the reallocations themselves.

Charging Expenditures to Federal Projects (Continued)

If your purchases are unusual, Research Accounting will be requesting more information to document our files for auditing purposes. Therefore, you may want to consider providing explanations for the use of the purchase at the time you are processing the paperwork.

Allowable & Unallowable Costshttp://www.admin.mtu.edu/research/sprot/policies/allowcosts.html

Unallowable CostsMembershipsOffice Supplies (including general purpose computers & standard computer software)Local Telephone Costs (including line charges, network connections & cell phones)Postage or Delivery CostsProposal Preparation Costs

Allowable & Unallowable Costs(Continued)

Unallowable Costs (Continued)

ElectricityInsuranceSecurity CostsLibrary Costs

Equipment purchases must be approved in advance by the awarding agency. Either explicitly disclosed in the proposal budget justification or request approval before the purchase is made if the equipment was not disclosed in the proposal budget justification.

Budget Modifications

Budget Modification Matrixhttp://www.admin.mtu.edu/research/sprot/forms/Budget%20

Modification%20Matrix(2-26-07).pdf

The specific award conditions may be more restrictive than the matrix.

Federal contracts have very little flexibility and budget modifications are required for any deviation of the budget categories

Budget Modifications (Continued)

Federal Grants have more flexibility but a Request for Modification is needed when certain categories are exceeded by more than 25% of that category.

Awards received from the State of Michigan have more strict rules and all categories cannot be exceeded by more than 25%.

Industry and Other sponsors generally are more flexible and do not have budget constraints.

The subcontract line item cannot exceed the budgeted amount.

How to Read an Account Statement

• Summary Statement (Budget vs Actual)• Detail Transactions Statement (Organization

Detail Activity)• Payroll Activity Statement (Gross Earnings

Payroll Expense)• Outstanding Purchase Order Statement (Open

Encumbrance)

Questions???Questions???

Upcoming EventsUpcoming Events

• NSF Career Proposal WorkshopNSF Career Proposal Workshop

End of April or early MayEnd of April or early May

• Ethics Speaker – Dr. Gabriele Ethics Speaker – Dr. Gabriele

September 28September 28thth, 2007, 2007