1. Award Management Post Award August 9th, 2017
By Maria Rojas

2. Learning Objective You will get a better understanding of:
Financial Management of Grants
Grants Management Cycle
Departments Responsibilities
Best practices

3. What is a Grant?
Financial/Monetary award given by a government agency, foundation, corporation or other entity to funds a particular project.

4. Grants Life Cycle

5. Where does funding come from?
Federal Funding
NIH (National Institute of Health)
NSF (National Science Foundation)
ONR (Office of Naval Research), etc
State Funding
State Health Departments
State Departments of Education
State Departments of Transportation, etc.
Local Government
Miami Dade County
City of Miami
Public/Private Funding
Emil Buehler Perpetual Trust Foundation
Susan G. Komen Foundation, etc.
Foreign Funding
University of Qatar
Infravation (Italy)
University of Havana (Cuba)

6. Types of Awards Grants Contracts Cooperative Agreements Subcontract
A type of financial assistance awarded to conduct research or other program as specified in an approved proposal.
Contracts
A mechanism for the procurement of a product or service with specific obligations for both sponsor and recipient. They may include restrictive terms, usually specified in the RFP (request for proposal), and require deliverables.
Cooperative Agreements
Similar to grants, but typically involve a significant level of sponsor participation.
Subcontract
A Subaward or Subcontract is a special category of sponsored project that may be made under a grant, contract or cooperative agreement and refers to work to be carried out at more than one institution.

7. Roles & Responsibilities
Principal Investigators (PIs)
Primarily responsible for all aspects of the project (Technical and Financial)
Department Managers (CAE, ECE, MAE, BME, IEN)
Assisting PIs with day-to-day financial management of their grants
Dean for Research
Dr. Solo (COE final Reviewer and Approver)
COE Manager (Maria)
Oversee COE Pre and Post Award
COE Sponsored Specialist (Daviane)
Pre-Award (Application submission)
ORA (Office of Research)
Ensuring Compliance, Training/Guidance, Monitoring, Final Submission, ect.

8. Essential Department Managers Functions
Administration
Maintain Effective Communication with PI to ensure:
Accounting
Allowable (per agency guidelines)
Reasonable (shop for the best deal)
Allocable (per approved budget)
Necessary (is needed to conduct the scope of work)
Compliance –Check all policies at
Reporting
Review accounts biweekly/Monthly to get it ready for agency required Financial Reporting
Maintain proper documentation (a file for all grants)

9. Department Manager’s Responsibilities
Communicate frequently with PIs
Ensure that the budget is accurate based on awarded/approved budget
Review project expenditures on a monthly basis
Reconcile account monthly against R90 or new reporting system
Ensure compliance with grant’s terms and conditions (check allowable & unallowable cost)
Maintain schedule of Financial and Technical reports
Minimize cost transfer to avoid audit flag
Maintain all project records for audit purposes

10. Examples of Grant Mismanagement
Lack of communication with PIs
Not following awarded/approved budget
Inadequate award monitoring
Over/under spending of funds
Spend in wrong budget category (do IPAR to avoid)
Lack of proper documentation (justification)
Inadequate/untimely submission of reports (affects future funding)
Lack of effective internal controls and audit

11. What are Direct Cost?
Direct benefit to the grant-supported project or activities
Included but not limited to:
Salaries/Fringe Benefits
Travel
Equipment
Technical Supplies
Publication
Participant Support Cost

12. What is Indirect Cost?
Also known as F&A (Facilities and administrative costs)
Rent
Building maintenance
Most utilities
General office expenses
Cost of administrative personnel
General administrative cost

13. Unallowable Costs Advertising ** Alcoholic Beverages Bad Debt Expense
Contributions/Donations
Entertainment
Fines, penalties, damages, and other settlements
Goods and services for personal use
Interest Payments
Membership**
**Please check agency guidelines
Always ask yourself-How does this benefit the project?

14. Cost Sharing
The portion of a project or program costs that is not borne by the sponsor. Cost sharing consists of three types:
Mandatory (when sponsor requires matching funds)
Voluntary committed (becomes mandatory-when PI commits UM/Dpt. resources)
Voluntary uncommitted (non mandatory-but still uses university resources)
Voluntary cost share are strongly discouraged by the University
What department managers need to do?
If not automatically allocated, a journal must be completed (PAA or FA-11) before o each financial/progress report is due to sponsor
Follow cost share approved budget

15. Cost Transfers
After-the-fact reallocation of costs, either salaries or non-salaries, to an award/grant
Key Elements of Cost transfers:
Must follow federal regulations
Federal regulations require timeliness and properly documented explanations
Must be kept to a minimum
Note:
Salaries transfers are done on a PAA
Non-Salaries are done on FA-11

16. Cost Transfers-Allowable
Written approval from sponsor/agency
Correction of a clerical error (typographical or transposition of digits in an acct)
Reallocation of expenses on multiple project
Reallocation of shared resource costs
Reallocation of a salary expense to properly reflect effort (PAA)
Cost Transfers to move unallowable charges
Transfer of pre-award expenses from non sponsored account (when no advance account was done)
Transfer within in Master and Sub accounts

17. Cost transfers-Unallowable
Unidentified expense
Cost incurred before or after the project period
Transfers between two “6” accounts
Excessive cost transfers
Justifications that are not accepted:
Absence of PI or department staff
Staff Shortage
Inexperienced staff
No administrative oversight

18. IPAR (Internal Prior Approval Request Form)
What is an IPAR?
The IPAR form can be used to request internal prior approval for Federal and Federal Pass-Through awards for a variety of actions:
Pre-Award Cost up to 90 days
End Date Extension (NCE-No Cost Extension)
Equipment Acquisition (not included in the original budget)
Rebudgeting
***Always follow the agency guidelines

19. Justifications Memos Always answer these questions: Who What Where
When
How
**Samples in binder

20. Effort Reporting What is effort reporting? Why is it required?
Certification that salaries and wages charged to sponsored accounts are reasonable in relation to work performed. Mandate by the Federal Government.
Why is it required?
Two thirds of the direct charges to federal research funding are to salaries and benefit costs
Who should certify?
All employees with salary/benefit charges to sponsored awards in the designated effort reporting period
All employees with cost share commitments on sponsored awards
**New system coming soon**

21. Questions?