Hi Kim;

I assume this institution would prefer to remain anonymous?

Issues:

1. Does the institution's contract with the faculty member indicate that
they have obligations to perform research?

2. Do the faculty have to conduct research either funded or unfunded as part
of the tenure process?

3. Do they pay this "research base salary" on nonresearch grants as well?

If the answer is yes to any of the above it sounds to me they are out on the
shaky end of the limb and would not seem to reconcile with A-21 J. 8

(1) Salary rates for academic year. Charges for work performed on sponsored
agreements by faculty members during the academic year will be based on the
individual faculty member's regular compensation for the continuous period
which, under the policy of the institution concerned, constitutes the basis
of his salary. Charges for work performed on sponsored agreements during all
or any portion of such period are allowable at the base salary rate. In no
event will charges to sponsored agreements, irrespective of the basis of
computation, exceed the proportionate share of the base salary for that
period.

(2) Periods outside the academic year.

(a) Except as otherwise specified for teaching activity in subsection (b),
charges for work performed by faculty members on sponsored agreements during
the summer months or other period not included in the base salary period
will be determined for each faculty member at a rate not in excess of the
base salary divided by the period to which the base salary relates, and will
be limited to charges made in accordance with other parts of this section.
The base salary period used in computing charges for work performed during
the summer months will be the number of months covered by the faculty
member's official academic year appointment.

Gary

-----Original Message-----
From: Research Administration List [mailto:xxxxxx@HRINET.ORG] On Behalf Of
Kim Chanley
Sent: Monday, April 12, 2004 2:38 PM
To: xxxxxx@HRINET.ORG
Subject: [RESADM-L] Research Base Salary

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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