Reduced Responsibility Policy, Process and Status on Implementation Presented by: Carol Rhodes Associate Director Office of Sponsored Programs Michael Anthony Executive Director Management Accounting & Analysis To: MRAM November 14, 2013

What is Reduced Responsibility? Reduced Responsibility defines a temporary reduction of a faculty member’s base salary commensurate with a reduction in the faculty member’s institutional responsibilities. This does not result in a reduction of the faculty member’s appointment with the University.

Factors that lead to RR status Loss of external funding as source of salary support Loss of internal funding with intent to seek external funding as source

Purpose of GIM 38 The why: Per federal sponsor requirements (disallows “increase” in IBS due to securing external funding) The who/what: – Defining Faculty – Defining Reduced Responsibility (RR) status The how: – Standardized documentation and review of RR status – Return to full base salary and responsibility process The requirement to follow the process of documentation – Mandatory – Uniform across all schools/colleges

Documentation of Responsibilities Alleviates appearance of increase of base salary due to increase in external funding, once external funding sought and obtained. When funding secured, reflects a restoration to previous base salary and responsibilities. Allows faculty member to continue using IBS on proposals - reduces risk that a lower amount will be required by sponsor to calculate compensation off grant.

Overview of RR Status Procedures Identification of RR status Reduced Responsibility Documentation Recording at Department level Tracking at Central level Proposals – Effort and Salary calculation Ending RR status

Identifying RR Status Who and How Faculty member: When reduction in external funding imminent (based on sponsor notifications, communications) Department administrator: Use Reporting Services to generate a report identifying discrepancies between appointment level & current distributions Payroll coordinator: Notify the department administrator if a faculty member’s paid distribution reduces based on changes to externally funding

Documenting the RR Status Responsibilities prior to loss of external funding documented Responsibilities while in Reduced Responsibility status Responsibilities once external funding secured and a return to full base salary level *All faculty members will use standardized documentation

Example RR status documentation Part A Prior to RR Status Part B During RR Status Institutional Base Salary RR Status Salary (Not IBS)

Where does the documentation go? Approval required by Chair/Director, Dean Original filed with payroll records Copy sent to faculty member

How will it be centrally tracked? New Earn Type in OPUS (RRD = Reduced Responsibility Distribution) RRD earn type reflects % of reduced effort Entered by the payroll coordinator

OPUS DollarsPercent Grant A 30,000 20% Grant B 30,000 20% Non-Grant 90,000 60% 150,000100% DollarsPercent Grant A 30,000 20% RRD *** 20% Non-Grant 90,000 60% 120,000100% *** Use the RRD percent to calculate the missing salary amount OPUS before RRD OPUS with RRD

Proposal Writing – Use IBS RR documentation provides basis for using IBS level immediately prior to RR status to calculate salary on proposals (rather than using the reduced amount) Include statement in budget justification: “Full-appointment Institutional Base Salary amounts are used in all salary calculations, including for any researchers who may have a part-time or reduced responsibility appointment and correspondingly reduced compensation. Proposed effort is also expressed in relation to full- appointment effort, so the requested salary is consistent with proposed effort.” *As before, effort/time to carry out proposal writing is not paid from grants.

Supporting Scholarly Activities Support provided to faculty from non- federal funds for scholarly responsibilities (e.g., grant proposal writing, administrative activities) should remain consistent with the academic unit’s practice and GIM 35.

How does RR status end? External funding secured – Same RR Status Form used to reflect restoration to full base salary and commensurate responsibilities RR status at 3 year maximum Appointment is renegotiated

GIM 38 Implementation Steps Final approval by Provost (?) Finalize RR Status Form (?) Finalize communication plan & materials Conduct informational sessions for faculty and staff Post GIM 38

THANK YOU