1. Sponsored Programs at Penn
Closeout of Sponsored Project Funds

2. Closeout Process Purpose Understanding the Process
By accepting funding from sponsoring agencies, the University agrees to manage and utilize these funds in agreement with the sponsor’s terms and conditions
The University has an obligation to sponsors to complete the closing of sponsored projects in a timely manner
The closeout process is a collaborative effort. All involved parties work together to ensure the aims of the project are completed, the required reports and documentation are submitted timely, and the financial matters are resolved
Understanding the Process
The process and procedures required to complete the closeout process vary depending on the sponsoring agency
We rely on the terms and conditions of the award to dictate best practices

3. Adjustment Period
The adjustment period - from grant end date until the fund freezes, it should be utilized to make any necessary final adjustments to the fund
The adjustment period varies depending on when the final report is due
90 day reporting – fund freezes on the 60th day
60/45 day reporting – fund freezes on the 30th day
30 day reporting - fund freezes on 15th day
If you fail to utilize the adjustment period you will be required to submit an unfreeze request
An unfreeze request can be used to add additional expenses or to remove an overdraft
You need to submit documentation to support pending expenses
(copies of invoices, PDA forms, T&E forms etc.)
Be mindful of cost transfer policy - additional documentation may be required
The unfreeze request should be sent to your ORS accountant who will unfreeze the fund if approved

4. Unfreeze Request

5. BA Closeout Checklist Send closeout confirmation to ORS
- include direct, indirect and total costs to be reported
Review Personnel
- salary distribution
- effort reporting certified
Review Non-Personnel
- all object codes reviewed; project-related expenses allowable
- unallowable and wayward expenses have been corrected
Revenue Impacts
- cost share has been properly recorded and documented
- program income and interest income have been addressed
Financial Issues
- receivable issues have been addressed and resolved

6. ORS Roles and Responsibilities
Review the NOA and budget to ensure compliance with T&C and any restrictions
- cost share was it met and documented; revenue journal completed
- interest income can we spend it; must it be returned in full or partially
- program income is it additive or deductive
Review Fund Summary Report to ensure proper posting of expenses
Begin closeout after receiving confirmation from department of total expenses
Reconcile EB’s and F&A and make necessary adjustments
Review the Cost Transfer Report
- ensure all OV 90 day CT’s have been properly documented and approved
Review Stale Dated Check Reports
- ensure all stale dated checks have been addressed or voided, if applicable
Remove all overdrafts via unfreeze request or process chargeback JE
- ORS will process 4827 chargeback JE if no response is received

7. ORS Roles and Responsibilities
Address Unobligated Balances
- submit FFR reporting the unspent portion of the award
- process carryforward at closeout; if automatic
- request confirmation if carryforward is being requested
Address Unliquidated Balances
- if allowed they may be carried forward to new year; usually on training grants
- if reported on final invoice/financial report they will be encumbered
Address Cash Balances
- return unexpended cash to sponsor
- process a Residual Balance Transfer
Prepare and process closing entries and carryovers
- closing entries- posting FSRD/FSRI; reducing PBIL if needed
- if carryforward is automatic post award will handle
- if carryforward requires sponsor approval pre award will handle

8. ORS Roles and Responsibilities
Financial Reporting
The Financial Status Report (FFR) will be submitted no later than the due date
A copy will be sent to the department and a copy will be scanned into our imaging system (ONBASE)
ORS will process closing entries based upon expenses reported
We will submit forms to refund any funds that must be returned to the sponsor
Revised FFR’s
Will only be done in rare circumstances
Some sponsors will not accept FFR’s revised to report an increase in expenses
There may be a stated time limit that upward revision will be allowed
There is no time limit when revising to decrease expenses; this should be done as soon as the need to revise is identified

9. Funds Are Eligible To Disable
When the following criteria are met
The final report or final invoice must be submitted
FSRD and FSRI s/b posted reflecting Direct and Indirect Costs reported
The following should all match
PBIL / PBUD
Total of FSRD and FSRI
Expenses
Revenue
All encumbrances must be removed
Receivable Object Codes 1220/1222/2630 must equal=0
Equipment in Object Code 183X/187X must be transferred to School Surrogate Accounts via an Object Code 4826 Equipment Transfer
BBR (ORS billing system) is reconciled (requires ORS action)
All stale dated checks have been satisfactorily addressed

10. In Summary Processes that aid in the closeout of the project
Throughout the entire grant cycle the PI and BA should monitor expenses, ensure deliverables are met and submit required non-financial reports
At least 3 months prior to termination of the award, attention must be devoted to a full review of the fund and preparation for closeout
ORS will send a closeout at least 30 days prior to the due date of the final report requesting closeout information
All pending adjustments should be made before the fund freezes
All overdrafts must be addressed and/or resolved prior to the submission of the final report
The BA will confirm total expenses to be reported
Final financial Report and/or Final invoice will be submitted prior to the due date reporting expenses posted to the G/L if no reply is received

11. Getting Assistance on Closeouts
Closing grants is a shared responsibility
For financial matters:
- Contact ORS accountant or Post-Award Associate Director
Requests or statuses extensions
- Contact your Contract Administrator and copy ORS Accountant
Requests for carryover approvals
Requests for budget or other modifications to agreement, or non-financial matters:
- Contact your Contract Administrator