John:  I have always been under the impression that as a grant recipient
institutional policies must be administered consistently for all
employees regardless of the source of funds.  The intent is to avoid
discrimination based on different funding sources.  Under this umbrella
assumption, the policy you suggest would not be in compliance with
federal guidelines.  You might look into establishing a severance/unused
leave  fund that could be part of your fringe benefit rate as an
alternative.

Judith Baskett, Director
Research Administration
National Jewish Medical and Research Center
1400 Jackson Street, F204
Denver, Colorado 80206
303-398-1043
303-270-2104 Fax
xxxxxx@njc.org

> -----Original Message-----
> From: John Cavendish [SMTP:xxxxxx@SELU.EDU]
> Sent: Wednesday, November 18, 1998 10:05 AM
> To:   xxxxxx@hrinet.org
> Subject:      Annual Leave
>
> We are considering establishing a University policy requiring all
> employees funded through grants to use, or lose their annual leave by
> the end of each grant year.  State-funded employees may be paid for up
> to 300 hours of accrued annual leave when they terminate their
> employment.  At the present time annual leave is not factored into our
> fringe calculation.  Does anyone have a policy like this at their
> institution?   Thanks.
>
> John Cavendish, Director
> Sponsored Research and Contracts
> Southeastern Louisiana University