Bill, At Eastern Michigan University, we have the authority to open a pre-award account to handle such cases. The following is from our policy statement regarding Grants & Contracts Roles, Responsibilities, & Procedures: Issuing a Pre-Award Account Principal Investigators may have legitimate reasons for needing pre-award or ³hardship² accounts, to begin work in advance of a signed agreement. These costs put the University at risk in the event that sponsored agreements are not finalized, or the sponsor declines to pay the costs. This policy outlines internal controls and procedures that ensure accountability for the funds and compliance with sponsor regulations. ORD Responsibility ORD recommends the creation of a pre-award account only if each of the following conditions are met: · Written documentation from the sponsor that funding has been recommended and the award document is being processed · Confirmation from the sponsor that the pre-award period will fall within the overall grant period · Confirmation from the sponsor that the pre-award costs will be reimbursed upon finalization of an award · Demonstrated need by the project director to begin work immediately Pre-Award Time and Spending Limits A pre-award shall be established for a period not to exceed 60 days. Pre-award budgets shall not exceed a pro-rated share of the annual budget. Pre-Award Authorization Authorization for the establishment of a pre-award shall require the signatures of the PI, unit head, and the director of ORD. Any exception to the pre-award time and spending limit requires the signature of the provost. Responsibility for Pre-Award Costs In the event that an award agreement is not ultimately received and the pre-award costs are determined to be uncollectible, the project costs incurred will be reimbursed 50/50 by the Office of the Provost and the PI Unit. ------------------------ Brian Anderson, Director Office of Research Development Eastern Michigan University Starkweather Hall, 2nd Floor Ypsilanti, MI 48197 Office: (734) 487-3090 Fax: (734) 481-0650 Email: xxxxxx@emich.edu On 08/14/2003 11:02 AM, "Bill Schulze" <xxxxxx@CCMAIL.NEVADA.EDU> wrote: > We are seeking to bolster local streamlining efforts by gathering a > collection best practices concerning how universities deal with funding > continuity. By funding continuity, I mean the ways that institutions > provide for recurring situations such as: > > 1) You know a grant will have an effective date of October 1st, but you > need to exercise your 90-day preaward option and get graduate assistants on > the payroll & pay their tuition in mid August... > > 2) An agreement is only partially executed, and the fully executed copy is > not likely to arrive until after the start date - and the PI needs to order > equipment, hire students, etc.... > > 3) The current year of a multi-year award is coming to an end, but the > assured continuation funding has not yet arrived - and employment documents > need to be processed to that project staff & students will continue to get > paid... > > 4) A federal cooperative agreement for millions of dollars approved for > multiple projects is in place, but because of continuing resolutions, > initial obligations are insufficient to cover needed encumbrances - but the > research is expected to go forward.... > > These are but a few of the real world situations we encounter, and I'm sure > they are familiar to you as well. In situations such as this the risk > factor is almost zero, and we deal with them - but our current process is > cumbersome and inefficient. I am aware that institutions use various > techniques such as setting up unbillable accounts, temporary accounts, > internal overrides, etc., but it would really help our efforts if I had a > good selection of best practices. > > So if any of you all have policies or procedures you could share via > comment, attached files, or URL references, I would really appreciate > it.... I also will be happy to make what I collect available to others who > may be interested... > > Bill > > **************************************** > William E. Schulze, EdD > Director of Sponsored Programs > University of Nevada, Las Vegas > Phone (702) 895-1357 > Fax (702) 895-0986 > xxxxxx@ccmail.nevada.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") > ====================================================================== ====================================================================== 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") ======================================================================
