Cost Sharing May 15, 2013

Total cost of the project Cost Sharing/Match Total cost of the project Cost sharing is any additional costs beyond what the sponsor provides to support a project. Sponsor Award minus Cost sharing is the University’s portion of the costs of a sponsored project; it is also referred to as matching. Cost sharing occurs when an expense specifically benefits a sponsored project but it is not wholly charged to the project’s sponsor; rather, the grantee or a third party agrees to cover (in part) the cost—to share in the cost of the project. Click here to read OMB Circular A-110 on cost sharing. Cost Share equals

Cost Sharing Per OMB OMB is the Office of Budget and Management and their rules dictate cost principles and how we do business. The portion of the cost of a project not borne by the federal government; Must be tracked/verified from records; Cash or third party contributions from a non-federal source; Must be allowable cost under cost principles; Must not be used as match on another federal project.

Cost Share Categories Mandatory Voluntary Required as a condition of eligibility or award Voluntary Offered by project director; not required by sponsor.

Voluntary Committed If cost share is in the budget and submitted to the sponsor, then it’s a part of the award. We do not “uncommit” once the award has been issued.

Voluntary Uncomitted Anything more than what was originally committed and budgeted for in an award. For example: A project director commits 20% of his/her time to a project and actually spends 25% of his/her time on the project.

Examples of Cost Share Equipment or supplies purchased by UNI for the project Additional faculty or staff time Program income, if allowed by the sponsor and used to purchase items for the project

Cash Contributions If the value is the result of a cash transaction the cost share should be treated as a cash contribution.

In-Kind Contributions In-kind contributions are those wherein a value can be readily determined but where no actual cash is transacted, such as volunteer labor.

Where Do You See Cost Share?

Cost Share on the PRAF Once an award is made that includes cost share, the cost share amount is included on the NSPA

Cost Share on the Budget Item Sponsor Share Match/Cost Share Total Salary/Fringe $50,000 $0 Travel $3,000 Supplies $240 $4,760 $5,000 Other (Tuition) $10,000 F & A (31.5%) $17,401 $4,019 $21,420 $72,641 $16,779 $89,420

Cost Share on the NSPA   Amt. of This Cumulative BUDGET INFORMATION Notification Authorization $4,644.00 Direct Costs . . . . . $4,300.00 Indirect Costs . . . . . . $344.00 $2,948.00 Gen. Fund . . . . . . Non-Gen. Fund. . . $0.00 $7,592.00 Total project = $7592 Sponsor portion = $4644 UNI portion = $2948

Reporting UNI Cost Share

Reporting Third Party Cost Share

Cost Share CANNOT Be: Anything that is not an allowable cost Federal to federal Undocumented/not certified Used for two projects Any costs that are included in Facility and Administrative costs recovery (F&A)

And Finally… The project director is responsible for: Verifying cost share at budget stage Identifying cost share during the project Certifying cost share on cost share reports