HANDS-ON BUDGETING ERA ELECTIVE November 4th, 2014 MaryJo Banasik, JD, CRA Research Administration Manager, College of Veterinary Medicine banasikm@cvm.msu.edu Bill Humphrey, MBA, CPA Research Coordinator, College of Agriculture and Natural Resources/AgBio Research humphre4@anr.msu.edu

Welcome! Before we get started…. Please make sure your laptop is connected to the internet. If your laptop is not configured to use MSU’s wireless network, please perform the following steps: Connect to wireless network MSUnet 3.0 and select Connect Automatically. Open your web browser and navigate to any web page. A registration page will pop up. Follow the on-screen instruction to register your computer. Please have your Case 1 Excel budget template, that was emailed to you prior to class, open and ready to use.* *Class materials are also available on the SPROUT website: http://sprout.vprgs.msu.edu/training/elective-hands-on-budgeting/

EVOLUTION OF A BUDGET PI emails you informing you of proposal and ideas for a budget Remember the 10-6-3 policy. Create a new etransmittal and notify OSP! You respond requesting additional details, which the PI provides You draft a budget PI approves Draft a budget justification Send to OSP for approval (note the App#) This stage may go back and forth causing several drafts of the budget

CASE STUDY – Email from PI Hi Pre-Award Group: Dr. Edna Tan (from UNCG) and I are planning to submit a "pathways" proposal to NSF's AISL's solicitation. The due date is May 14th. The pathways are limited to $1.5 million and 5 years. Start date: September 2015 End date: August 2019 Here is what I am thinking for MSU's budget… 12.5% time for me and some summer salary Half month of summer salary for Co-PI (Dr. Scott Calabrese-Barton) – all years Mr. Geier should be included at 1.2 months in years 1&2 and 2.4 months in years 3 & 4 A half time grad student Advisory board: 3 advisors (budget 3k per advisor, for travel and stipend) Materials & Supplies: Yr 1&3 - 2 high quality cameras; curriculum materials in years 1 & 3 Undergraduate hours (transcription, etc.): 300 hours/year each year ($10/hr) Subaward for Dr. Tan (Dr. Tan's time, 2 quarter time GAs, supplies, and travel) Subject incentives in years 3&4.  Year 3 = $750*6 people; Year 4 = $1,000*6 people Thanks, Dr. Calabrese-Barton (Angie)

CASE STUDY – Questions back to PI Dates? PI summer salary? AY or AN grad student? MSU faculty as Advisory Board Members? How much for cameras & curriculum materials? Subaward Budget? Travel?

CASE STUDY – 2nd Email from PI Hi Pre-Award Group, In response to your questions… I believe I can accomplish the scope of work in four years, so let’s stick with the 8/2019 end date Ideally I’d like as much summer salary as I can fit in, but let’s start with half of one summer month We are not planning on having MSU faculty serve as advisory board members Curriculum materials – Around $2,500 in year one and then bump it to $6,000 in year three. We shouldn’t need curriculum materials in years 2 and 4 See the subaward budget attached I guess I had forgotten about travel…oops! Yes, please include the required travel for me and the Co-I to go to DC for the annual meeting. Please also include travel for myself, the Co-I and the grad student to attend one conference per year. I think that’s it. Thank you very much for putting this together. I look forward to seeing an initial draft. Take Care, Dr. Calabrese-Barton (Angie)

CASE STUDY – Subaward Budget (UNCG) Title NSF Internal Budget Begin 9/1/2015 End 8/31/2019 Principal Investigators: Tan, Edna BUDGET SUMMARY BUDGET CATEGORY INITIAL BUDGET ADDITIONAL YEARS OF SUPPORT REQUESTED TOTALS PERIOD   1st 2nd 3rd 4th 5th Totals SENIOR PERSONNEL $ 13,927 $ 14,345 $ 14,775 $ 15,219 $ 10,852 $ 69,118 OTHER PERSONNEL $ 8,000 $ 5,000 $ 37,000 FRINGE $ 4,921 $ 5,059 $ 5,201 $ 5,348 $ 3,641 $ 24,171 EQUIPMENT $ - $ - TRAVEL $ 2,500 $ 12,500 PARTICIPANT SUPPORT COSTS OTHER DIRECT COSTS $ 9,600 $ 9,100 $ 10,600 $ 13,600 $ 52,500 SUBTOTAL DIRECT COSTS $ 38,949 $ 39,504 $ 39,577 $ 41,666 $ 35,593 $ 195,289 F&A 43.50% $16,943 $17,184 $17,216 $18,125 $15,483 $84,951 TOTAL DIRECT AND INDIRECT $ 55,891 $ 56,689 $ 56,792 $ 59,791 $ 51,076 $ 280,239 Person-Months and AY % effort Year 1 Year 2 Year 3 Year 4 Year 5 for senior personnel AY months 1.125 SU Months 0.50 0.00 Person Mo 1.625 Annual PCT Effort 14% 9%

CASE STUDY – 1st version sent to PI The first version of the budget has been sent to the PI…time for a break!

CASE STUDY – PI responds with changes

CASE STUDY – Issues? Laptop for 50% PostDoc? Meals for project meetings? Digital recorder – Equipment vs. Supply

CASE STUDY – Finalize Budget Now that you’ve included the PI’s changes, what’s next? Send to the PI for final Approval – Let’s assume it’s all set Send to OSP for review (Note the App #) Attach the approved version to the eTransmittal Assist with preparing the budget justification

CASE STUDY – Budget Justification A written explanation of your budget Note the % effort or person months effort of personnel Provide extra detail on supplies, travel (especially foreign travel), equipment and consultant costs (daily rate) Provide detail on subcontracts Avoid using subtotals

CASE STUDY – Approved! The eTransmittal with the approved budget has been fully routed and the proposal has been submitted…congratulations!

BUDGET RESOURCES OSP Budget Templates: https://www.osp.msu.edu/PL/Portal/Forms.aspx. SPROUT budget templates: http://sprout.vprgs.msu.edu/tools/. OSP Budget Builder: www.osp.msu.edu, → Quick Links → Salary Budget Builder HR Stipend Ranges for GAs: http://www.hr.msu.edu/hiring/studentemployment/gradasst/stipendRanges.htm

BUDGET TRAINING 2015 ERA electives: NCURA www.ncura.edu Hands-on Budgeting – Advanced Budgeting – NCURA www.ncura.edu SRA www.srainternational.org

CONTACT INFORMATION MaryJo Banasik, banasikm@cvm.msu.edu, 432-7780 Bill Humphrey, humphre4@anr.msu.edu, 355-0123