1. Grant Closeouts presented by Jessica Rosen Prepared by Terry Shoebotham, CPA Business Management Specialist In collaboration with: HSC Contract & Grant Accounting Main Campus Contract & Grant Accounting 10/13/08 1

2. Grant versus Fund What is the difference? 2

3. Accounting Structure Grant Code XXXXX Fund 1 Index 1 Index 2 Fund 2 Index 1 Fund 3 Index 1 Index 2 Index 3 3 Note that each grant has one or more funds. Each fund within the grant has one or more indices.

4. Grant Closeout Program completion Progress Reports and other required documentation completion Banner accounting reconciliation and closure – for each index – in each fund for the entire grant 4

5. Grant Closeout Grant Code XXXXX-Status “C” Fund 1-FROE Index 1-closed Index 2-closed Fund 2-FROE Index 1-closed Fund 3-FROE Index 1-closed Index 2-closed Index 3- closed 5 Note that each grant has one or more funds. Each fund within the grant has one or more indices. When a grant is closed, all indices within each fund are closed. Each fund title is changed to begin with “FROE”. Then the grant is closed. All reports and other documents are due.

6. Fund Closeout A grant may require a new fund for each year it is in operation. A new fund is opened, and as of a certain date, all grant expenses are charged to the new fund/index. The old fund/index is no longer used for future charges. 6

7. Fund Closeout Grant Code XXXXX-Status “A” Fund 1 FROE Index 1 -closed Index 2 -closed Fund 2 Index 1 Fund 3 Index 1 Index 2 Index 3 7 Note that In this example, Fund 1 has been closed. Funds 2 and 3 remain open. The indices in Funds 2 and 3 continue to receive expenses for the grant.

8. Why Close a Grant or Fund Immediately after it Ends? Decrease your workload Remain on good terms with your sponsor Remain in compliance with Federal regulations 8

9. Workflow Process 9

10. Department Closeout Duties STEP ONE: When you get a workflow email stating that your fund is ending, you need to determine whether or not this is correct. 10

11. Department Closeout Duties - Determining What is Ending: Read your Notice of Grant Award. This will tell you when the grant ends. If you have a SNAP award [Streamlined Non Competing Application Process] the fund should be extended if the grant is not ending. 11

12. Department Closeout Duties - Determining What is Ending: For Health Science Center grants, look in FRAGRNT under the User defined tab. It may say “has Expanded Authority”, “Doesn’t have expanded authority”, or “Budget period needs new index”. Discuss with PI to determine status. Ask your Fiscal Monitor. 12

13. If the Grant is continuing, but the fund is ending: Find out the status of the new fund for the grant. Move all recurring expenses. Review all expenses. 13

14. If the Grant is Ending: Move recurring expenses to a different index Remove all (unused) encumbrances Review all expenses – Move in or out expenses that need to be moved 14

15. Will there be a Loss? F&A can be a significant expense. If you need to move or add expenses to your grant before it can be closed, F&A may change. To avoid a loss in a cost reimbursement grant, do not allow your direct expenses to exceed your direct cost budget. Direct expenses are all expenses in all accounts except 89Z0 – F & A Expense. 15

16. Will there be a Loss? With Fee for Service contracts or grants: – Your revenue is dependant upon the services provided. – If costs exceeded the revenue for the services provided, there will be a loss. 16

17. Will there be a Loss? When you are unsure: – Of accurate F&A – If the contract or grant has a loss for any other reason Check with your Fiscal Monitor 17

18. Are related reports/documents complete? PI submits progress report directly to sponsor Documents are submitted as required The account administrator documents in workflow that this has been done The Fiscal Monitor sends the Reconciliation Form and patent if applicable to the department for completion 18

19. Is it Closed Yet? Some Banner Screens that will help: – FRAGRNT – FGITBSR 19

20. FRAGRNT 20

21. FGITBSR 21

22. FGITBAL 22

23. Contract & Grant Closeout Duties - One Touch Process: 23

24. One Touch Process: Do monthly reconcilements on each grant Keep all grant information organized and up to date in folders Near Grant end, proactively move recurring charges (remember to move Telephone charges!) Pick up the Reconciliation Form ONE TIME and complete it 24

25. Contract & Grant Closeout Duties - Closeout begins with your returned Reconciliation Form Checklists 25

26. Department Closeout Checklist 26 Initial When Completed Date When Completed ItemComments Is the Grant or contract closing? Is the Fund closing? If the fund (but not the grant or contract) is closing, is the new fund/index set up? All recurring charges are moved off the grant/contract with the correct effective date (including Telecom/ITS). All expenses are correct grant/contract charges. Any incorrect charges have been moved off. No correct grant/contract charges are missing. Any missing charges have been moved into the correct fund. All encumbrances are at zero. The PI has confirmed that all Progress reports have been turned in. All other required documents have been completed (list under comments). The Reconcilement Form has been completed and sent to Contract and Grant Accounting Office. (HSC only) direct expenses match Banner direct expenses. Confirm the grant/contract or fund has been closed by the Core Office. Grant /Contract___________Principal Investigator __________________________ Fund __________________Dept. Closer _________________________________ Index __________________Completed (sign & date) _______________________ End Date _______________Reviewed (sign & date) ____________________________

27. Contract & Grant Closeout Duties - Some C&G Closeout Duties: Check for Unallowable Expenses Correct F&A if necessary 27

28. Contract & Grant Closeout Duties - Some C&G Closeout Duties: Record the residual balance or loss Close the grant or fund Submit financial & Patent report when required 28

29. Examples: Completed HSC Reconciliation Form FRIGITD FGITBSR Completed Main Campus Reconciliation Form FTMACCI FRIGITD FGITBAL 29

30. Completed HSC Rec. Form 30 = $26,348.79

31. FRIGITD 31 = $26,348.79 = Actual Expense Total

32. FGITBSR 32

33. FGITBAL 33

34. Completed MC Rec. Form 34

35. FTMACCI 35

36. FRIGITD 36

37. FRIGITD 37

38. FGITBAL – is this fund closed? 38

39. More Examples: FRIGITD – Looking at grants with multiple funds FTMFUND – Looking at grants with multiple funds 39

40. FRIGITD 40

41. FRIGITD 41

42. FTMFUND 42

43. FTMFUND 43

44. Questions? 44