The California State University system provides for a salary differential for a grant-related/specially-funded faculty classification. See http://www.calstate.edu/HRAdm/pdf2004/HR2004-07.pdf for details.
You may also be interested in the systemwide additional employment policy http://www.calstate.edu/HRAdm/pdf2002/HR2002-05.pdf . At most of the 23 CSUs, grants and contracts are managed by an auxiliary foundation, so faculty added compensation and summer salary (but not released time) are paid by the foundation, not the university.
Michael Fish
Director, Grants Development Office
California Polytechnic State University
San Luis Obispo, CA 93407
(805) 756-2982
mfish@calpoly.edu

-----Original Message-----
From: hcherm [mailto:hcherm@VCU.EDU]
Sent: Tuesday, April 13, 2004 10:09 AM
To: RESADM-L
Cc: hcherm
Subject: Re: [RESADM-L] Research Base Salary

Fine -- until the end of the discretionary funds, and then it becomes
pretty obvious that the "raise" was not regular or permanent.  And the
grant auditors would smell a rat.

Now if he can continue getting discretionary funds and NOT have to reduce
salary, that would be OK.  Of course, you would want to track the cost
sharing that resulted when he worked the same % for each grant for the same
dollars, which were now a smaller % of total.

Chuck

At 11:53 AM 4/13/2004, you wrote:
>How about this scenario:  Faculty member is supported 80% by funded grants
>(NIH, foundations, etc…) and contractually 20% by the institution for
>academic advisement, administrative functions, etc…  The faculty member
>receives discretionary funding and requests a salary increase to be
>supported by these discretionary funds.  Their effort remains the same on
>the restricted activities.  They see this as an incentive for themselves
>because they’ve been successful in bringing in sponsored grants.  Once the
>discretionary funds are exhausted, the salary is adjusted back down.
>
>Any thoughts to this?  Does any one have a policy that addresses this?
>Thanks
>Vinnie
>
>Vincent L. Grassia, Jr.
>Vice President for Research
>Hospital for Special Surgery
>535 East 70th Street
>New York, NY 10021
>tel 212.774.2261
>fax 212.717.1192
>-----Original Message-----
>From: Research Administration List [mailto:RESADM-L@HRINET.ORG] On Behalf
>Of Jennifer Morgan
>Sent: Tuesday, April 13, 2004 11:28 AM
>To: RESADM-L@HRINET.ORG
>Subject: Re: [RESADM-L] Research Base Salary
>
>The nifty new NIH Grants Policy Statement defines institutional base
>salary as:
>
>"The annual compensation paid by an organization for an empoyee's
>appointment, whether that individual's time is spent on research,
>teaching, patient care, or other activities.  Base salary excludes any
>income that an individual is permitted to earn outside of duties for the
>applicant/grantee organization.  Base salary may not be increased as a
>result of replacing organization salary funds with NIH grant funds."
>So, it doesn't appear that this would work with anyone paid by NIH as it
>would include everything paid by the university despite the activity.
>
>
>
>Jennifer Morgan, MHA
>Vice Chair for Research Administration
>Department of Psychiatry and Behavioral Science
>Medical University of South Carolina
>67 President Street, Suite 504
>Charleston, South Carolina  29425
>
>voice:  843-792-0191
>fax:  843-792-0048
>email:  <mailto:morganjf@musc.edu>morganjf@musc.edu
>
> >>> jmmccalliste@UALR.EDU 04/12/04 05:43PM >>>
>This sounds like faculty fantasy to me.  And wouldn't you know they'd
>fantasize about money?
>
>Spanky
>
>
>At 04:38 PM 4/12/2004, you wrote:
>>Hello Colleagues,
>>We've learned of an arrangement made by another institution whereby a
>>tenure-track faculty member may request a "research base salary" to be
>>used as a salary base for grant pay.  Apparently the faculty person
>>determines his/her "market value" and establishes a new job at the
>>university with that salary base (it is a written institutional policy
>>that this is acceptable and the new job goes through HR).  If s/he is
>>paid from a grant, the rate of pay used to pay the faculty person from
>>the grant is based on the research base, not their Academic Year
>>salary.
>>
>>This university has been advised by their external auditor that they
>>believe it would pass federal audit since the grants are charged based
>>on a separate job from their institutional salary.
>>
>>  I'm finding it hard to believe this would pass federal audit but have
>>been wrong before.  I would love to hear your two cents.
>>
>>Thanks in advance,
>>
>>Kim Chanley
>>
>>
>>Kimberly Chanley
>>Manager
>>Sponsored Projects Accounting
>>Boise State University
>>208.426.1791
>>
>>
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>
>Mike McCallister, Ph.D.
>Office of Research and Sponsored Programs
>University of Arkansas at Little Rock
>2801 South University
>Little Rock, AR  72204-1099
>
>(o) 501-569-8474
>(c) 501-590-5609
>(f)  501-371-7614
>http://www.ualr.edu/orsp/
>
>“Change is inevitable...except from a vending machine.”
>­anon
>
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Herbert B. Chermside, CRA
Virginia Commonwealth University
PO BOX 980568
Richmond, VA  23298-0568
Voice:  804-827-6036
Fax     804-828-2051
e-mail hcherm@vcu.edu

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