1. SPA Compliance Training: Cost Share
Presented by Jordan Belke
Cost Share Accountant

2. Learning Objectives What is cost share? When do we use cost share?
What are the different types of cost share?
How do we set up cost share?
How do we charge cost share?
How do we track cost share?

3. Definition
Cost Share: Additional support needed beyond sponsor funding to support the Statement of Work on the Award

4. Cost Share Facts Is it mandatory to include cost share?
Cost Share goes into the F&A calculation
Some sponsors and programs require Cost Share
Often referred to as “institutional support”
Ask the Question:
Is it mandatory to include cost share?

5. 3 Types of Cost Share CU Boulder Cost Share Policy
Mandatory committed: Pledged in proposal budget, budget justification, or proposal narrative. Specific dollar amount stated or can be calculated from info provided in proposal. Required as a condition of the award
Voluntary committed: Pledged in proposal budget, budget justification, or proposal narrative. Specific dollar amount stated or can be calculated from info provided in proposal. Offered by recipient when not specifically required by the award
Voluntary uncommitted: Incidental support that is over and above what was proposed and agreed upon for the project. Not tracked or reported

6. Language to Use in the Proposal
Commits Cost Share
Does Not Commit Cost Share
10% of Time to…
Support this project
$5,000 for equipment
Use of University facilities
Provide services valued at / worth….
The University supports research
500 hours of computer time
We have projects that have similar goals
Work a semester towards the project
University has research facilities/equipment

7. Reminders
All Cost Share Commitments must be approved by the party committing the dollars
Use the Cost Share Addendum form
Only authorized signatories can commit funds on behalf of the university
Be sure the Office of Contracts and Grants (OCG) has the signed addendum before the proposal is submitted
PI, Chair, Contributors, and/or Administration
Any revisions require a new cost share form

8. Questions to Ask
Be sure to ask the following questions before committing to Cost Share:
How does this benefit the University?
Can the expense be tracked?
Who is paying? – Whose financials are the dollars held in?
If the contributor does not meet the commitment, who is responsible?
How can we avoid unnecessary cost share?

9. Cost Share Rules: Protecting CS Dollars
Spend Cost Share dollars concurrently with project dollars
Follow policies and the Award budget and terms and conditions for allowability of expenses
Have persons of authority sign off on all portions of the cost share commitment
Clarify if the sponsor will allow F&A to be claimed as Cost Share either from Cost Share Direct Costs or Waived IDC from the Project
Return ANY unexpended cost share funds remaining at the end of the Award to the originating parties proportionally
Ensure the Cost Share amount on the budget and the Cost Share amount on the addendum match

10. Cost Share Rules: Protecting CS Dollars
Do not co-mingle Cost Share funds
Avoid accepting an Award with a TBD Cost Share Agreement
Cannot claim as Cost Share any dollar that is committed elsewhere
Do not use the value of equipment already in use as Cost Share

11. Uniform Guidance (U.G.) Regulations
This phrasing reoccurs in UG, Compliance Supplement Appendix XI:
Not be included as a cost or used to meet cost sharing or matching requirements of any other Federal award, except as specifically provided by Federal law or regulation
Costs were not included as a cost or used to meet cost-sharing requirements of other federally supported activities of the current or a prior period.
Not be included as a cost or used to meet cost-sharing or matching requirements of any other federally financed program in either the current or a prior period.
Costs are not used to meet cost-sharing requirements of other federally supported activities.
Not be used to meet cost-sharing requirements of other federally supported activities
Are not paid by the Federal Government under another award, except where authorized by Federal statute to be allowable for cost sharing or matching.
Costs were not used to meet the cost-sharing or matching requirements of another Federal program, except where authorized by Federal statute.
Costs were not included as a cost or used to meet cost-sharing or matching requirements of any other federally financed program in either the current or a prior period.
Costs were not used to meet the cost-sharing or matching requirements of another federal program, except where authorized by Federal statute.
Are not used to meet cost-sharing or matching requirements of other federally supported activities.

12. The Cost Share Addendum
Enter the Proposal number here
Include signature lines for each contributor and their respective Chair, Director, Dean, or other authorized party
If the PI is the Chair/Director please add a higher-level signature authority
Section 1: Effort from PI/Faculty

13. The Cost Share Addendum… continued
Section 2: Source SpeedType
If no Source SpeedType is available, use the Fund Code
Section 3: Benefits and F & A.
Fund 12 reports will not capture the Benefits & F&A
Note: Funds 22 & 32 are subject to benefits, which the contributor will be expected to fund

14. The Cost Share Addendum… continued
Section 4:
All In-Kind is REQUIRED to have a signed letter of commitment that includes all goods or services being provided, as well as the calculation for the value of the In-Kind contribution.
Section 5:
If the In-Kind is from a Subcontractor, the signed contract must include a clause that the Cost Share will be included on Invoices presented to the University.
The final Invoice from the subcontractor will not be paid until the Cost Share Commitment is fulfilled.

15. Cost Share Examples Type Description Tracking Internal Cash
Contributions from Chair/Director/Dean
SpeedType
External Cash
Contributions from a Third-Party
Own Award
Salary/Effort
Salary/Effort (meets restrictions)
ePERs – SpeedType
In-Kind/External
Goods or Services Given through a Third-Party
Certification form/PI

16. Changes with FIN 9.2 for Cost Share SpeedTypes Only
Funds are moved by cash transfers

17. Third-Party Cash Cost Share
Preferred Cost Share
Another entity provides the funding to go into our finances
Separate Statement of Work (SOW) to support the research on the main project. With its own:
Proposal number
Award number
Project number
Connecting the Main Award with Third-Party Cash Cost Share
InfoEd: Related Proposals
Finance: Titles of the Award / Project & SpeedType uses the nomenclature -
Costsharing for Proj 155XXXX: (then the title of the main Award)
Spending
Allowed in the main award = allowed on the Cost Share
The 3rd party will have criteria for specific expenses
Funding may not be used for Cost Share for any other Award or for any other unstated purpose

18. Incremental Cost Share
Situation:
A minimum amount/percentage of Cost Share to be reported for each report or invoice
A large expenditure or In-Kind
Steps to take – Be Proactive
PI estimates when the large expenditure/In-Kind is expected
Explain to the sponsor that the University cannot meet the minimum reporting requirement for each reporting/invoice due to the large expenditure and or In-Kind Cost share
Propose to the sponsor a variance or exception/waiver for the timeframe when it would be reasonable for the Cost Share to occur

19. Hooray! CU Won the Award What’s Next?
OCG completes information in InfoEd
OCG sends to SPA who enters it into the Finance System
Notify department of applicable SpeedTypes

20. InfoEd/Boulder eRA to PeopleSoft FIN 9.2
CCO’s Cost Share Accountant (CSA)
Internal Cost Share – SpeedType setup for each appropriate Fund Type
Effort only – SpeedType setup for each appropriate Fund Type
In-Kind – Monitors the timing to complete the In-Kind Certification Form
Waived F&A from Sponsor Direct Costs – Calculates the Cost Share amount
Third Party Cash Cost Share:
OCG creates a related Proposal & Award record
SPA creates a Project and sets up the SpeedType

21. Charging the Cost Share SpeedType
Expenses are to go directly onto the Cost Share SpeedType
Avoid charging elsewhere then using a PET or JE to move the expenses
Allowable expenses are those that:
Directly benefit the main project
Are allowable on the main project
Necessary and reasonable
Occur during the Period of Performance
F&A on Cost Share Direct Costs are defined by the sponsor:
Is it allowable?
Generally at the rate of the Award

22. System Reminders
Fund 12 – Reports only show Direct Costs less Benefits
CSA calculates the Benefits and the F&A
Fund 22 – Reports show Direct Costs including Benefits.
Generally, 2X Funds incur GAIR.
CU Boulder waives the GAIR on the Cost Share Fund 22
Any F&A is manually calculated by the CSA
Fund 32 – Reports show Direct Costs including Benefits
CSA calculates the F&A
Fund 70 – Set up as funding from a 72 – only for capital expenditures

23. Cost Share Reporting CSA reports Cost Share through:
Invoices to the Sponsor
Grant Accountant Financial reporting
NSF requires all Cost Share dollars to be reported in FastLane/Research.gov

24. Cost Share Reports
The m-Fin Financial Detail report is our recommended report to run for cost share.
To run reports without Cost Share SpeedTypes:
Open the report, type in either project or Award number
Click next
Choose the Fund 30 or 31
Click Finish
Only the main (non-Cost Share) SpeedTypes will be in the report

25. Financial Detail Report
Use dates before the beginning of the Award thru today
Click the next tab
Click on the Cost Share fund type (if you have pulled by project/award)
3. Click on PET box to get HCM PET request number

26. Financial Detail Report … Continued
4. Mark the report to be delivered in Excel 5. Remove the TROLL Lines 6. Recalculate all the totals & subtotals under the removed lines 7. Review what was entered in budget and cash transfers 8. Be sure Actuals are correct in the report 9. Do the calculation of funding minus actuals equals balance available

27. In-Kind Requirements
In-kind starts with the letter of intent from the contributor at the time of Proposal
The CSA logs the information into the Cost Share tracking and notes if possible when the In-Kind portion can be completed and certified
30-90 days before the end of the Award, the In-kind Certification form must to be sent to the donor of for signature
The PI will review the In-Kind Certification, they can verify whether commitment was fulfilled
The signed In-Kind Certification is sent to the CSA to be:
Documented and retained for audit
Incorporated into the Cost Share reporting

28. In-Kind Certification Form
Must be completed by an authorized signee from the entity that provided the In-Kind commitment for the project
It must include
Timeframe, value per time frame = total $ value
Verifiable value of services
Verifiable value of any goods
This is a binding document
The value of the In-Kind contribution is accounted for upon the receipt of this form
In-Kind cert can be found on the CCO website:
Sponsored projects accounting>SPA Compliance>Cost Share

29. Sponsor Waived F&A Cost Share
When the sponsor allows less than the total F&A rate, the sponsor can allow the University to claim the waived F&A as Cost Share
The Sponsor must specifically allow this option – we do NOT automatically use these F&A dollars as Cost Share
There is a line on the cost share addendum for waived F&A
The CSA pulls the Award reports and manually calculates the Cost Share F&A to be included in the reporting

30. Closing Cost Share – Together!
Monitoring takes place throughout the Period of Performance
30-90 days before the end – a review of the Cost Share is completed to make sure the commitment(s) are fulfilled
The CSA reconciles all the Cost Share financials
The CSA will file the final report with the appropriate person / entity
Departments make sure account balances are zero before CSA can close out. Any funds not expended go back to the funding sources proportionally
Department to notify the CSA that account is zeroed out and will then get the SpeedType Inactivated