Re: cost sharing with Pass Through federal dollars Herbert B. Chermside 18 Jan 2005 10:36 EST

Sorry to have misunderstood.

No you cannot use federal funds on one project to cover overexpenditures on
a non-federal project.

Overexpenditures are quite different from promised cost sharing!

Chuck

At 09:49 AM 1/18/2005, you wrote:
>But that wasn't the question, the question is can you take an
>overexpenditure on a nonfederal grant and cover it with FEDERAL dollars.
>
>"Can you use federal dollars to cover a cost share obligation for a
>non-federal grant?" was the question.  So far, everyone that has answered
>has said you can use unrestricted non-federal dollars to cover the cost
>share on a federal grant... which is what I've always assumed to be true.
>
>But how can someone say that a restricted federal grant, where every
>dollar is supposed to be allocable to the project for which the federal
>dollars were funded, be used to cover a cost share commitment on a
>non-federal project?  That is contrary to everything I've ever read or
>heard about fiscal compliance.
>
>If I have gotten this wrong, can someone tell me where it is written in
>the circulars that money can be used from federal grants to pay for the
>cost share commitment owed on a non-federal grant?
>
>-Jennifer
>
>Jennifer Morgan, MHA
>
>Associate Chair for Research Administration
>Department of Psychiatry and Behavioral Science
>
>Southern Section President
>Society of Research Administrators International
>
>Medical University of South Carolina
>67 President Street, Suite 504
>Charleston, South Carolina  29425
>
>voice:  843-792-0191
>fax:  843-792-0048
>email:  xxxxxx@musc.edu
>
>
> >>> xxxxxx@COX.NET 01/16/05 02:41PM >>>
>Jennifer:
>
>There's no reason why you can't take an overage on a Fed grant and charge it
>to a non-fed grant, provided there are no restrictions on the non-fed grant.
>Back in the day, we used to frequently send a proposal to a fed and non-fed
>funding source.  Usually the non-fed came in with a small amount of funding,
>while the fed took the lion's share.  We also used the non-fed share as cost
>sharing.
>
>You do need to take care that the non-fed share doesn't have fed funds in
>it.  Dr. Chuck is right that the non-fed portion should clearly state that
>there ARE fed funds included in the award - like a CFDA number or a fed
>award number, or the presence of OMB or FAR citations.  Absent those, have
>at it!
>
>Greg
>Currently in a thaw mode.  Calgary was -50 on Wed - Fri morning (wind
>chill), -35 without wind. Brings a whole new meaning to the word "cold".
>
>----- Original Message -----
>From: "Jennifer Morgan" <xxxxxx@MUSC.EDU>
>To: <xxxxxx@HRINET.ORG>
>Sent: Friday, January 14, 2005 4:17 PM
>Subject: Re: [RESADM-L] cost sharing with Pass Through federal dollars
>
>
> > Going back to the original question "Is it allowable to use federal grant
> > dollars to cost share on a non-federal grant?"...
> >
> > Chuck and Lois... Are you really saying that you can take FEDERAL dollars
> > and pay the cost share for a NONFEDERAL grant?  How can this be
> > reasonable, allowable and allocable to the federal project that is being
> > charged for the cost share?
> >
> > If this is true, I can reconcile all my deficit accounts and maybe even my
> > checking account! (just joking - for the auditors that might be reading
> > this!)
> >
> > -Jennifer
> >
> >>>> xxxxxx@VERIZON.NET 01/14/05 11:04AM >>>
> > Any subaward passing through federal funds should be clearly identified as
> > such by the prime.  If it is not, you can assume it is a procurement by
> > the
> > prime, not subject to flowdown of federal regulations.
> >
> > Chuck
> >
> >
> > At 05:28 PM 1/13/2005, you wrote:
> >>Laurie,
> >>
> >>It's always been my understanding that you can't match one federal
> >>project with another federal grant.  The only caution is that the
> >>non-federal project isn't a pass-through of federal dollars that isn't
> >>easily recognizable.
> >>
> >>Lois Smith,
> >>Associate Controller, Sponsored Programs
> >>The University of Akron
> >>330-972-6563
> >>xxxxxx@uakron.edu
> >>
> >>
> >>-----Original Message-----
> >>From: Research Administration List [mailto:xxxxxx@HRINET.ORG] On
> >>Behalf Of Laurie Chamness
> >>Sent: Thursday, January 13, 2005 4:52 PM
> >>To: xxxxxx@HRINET.ORG
> >>Subject: [RESADM-L] cost sharing with federal dollars
> >>
> >>Is it allowable to use federal grant dollars to cost share on a
> >>non-federal grant?  Our Associate Director of Grants and Contracts
> >>Accounting said that using federal dollars as cost share is prohibited
> >>by the federal government, and she cited:
> >>
> >>A21, C4c.  "Any costs allocable to activities sponsored by industry,
> >>foreign governments, or other sponsors may not be shifted to
> >>federally-sponsored agreements."
> >>and
> >>A-110, .23(a) "All contributions, including cash and third party
> >>in-kind, shall be accepted as part of the recipient's cost sharing or
> >>matching when such contributions meet all of the following criteria."
> >>Criterion number 5 says:  " Are not paid by the Federal Government under
> >>another award, except where authorized by Federal statute to be used for
> >>cost sharing or matching."
> >>
> >>--
> >>Laurie Chamness
> >>Assistant Director
> >>Office of Research and Sponsored Programs
> >>Medical University of South Carolina
> >>PO Box 250808
> >>Charleston, SC  29425
> >>
> >>Ph (843) 792-3832
> >>Fax (843) 792-6447
> >>E-Mail:  xxxxxx@musc.edu
>==========================
>
>
>======================================================================
>  Instructions on how to use the RESADM-L Mailing List, including
>  subscription information and a web-searchable archive, are available
>  via our web site at http://www.hrinet.org (click on "Listserv Lists")
>======================================================================

Chuck Chermside
804-320-5502
xxxxxx@verizon.net

======================================================================
 Instructions on how to use the RESADM-L Mailing List, including
 subscription information and a web-searchable archive, are available
 via our web site at http://www.hrinet.org (click on "Listserv Lists")
======================================================================