7th Annual Post Award WorkshopMarch 20, 2008

Sponsored by:Vice President for Research

Research Accounting

Goals/Objectives

• Introduction to the Post Award Process• Provide information and links for future

reference• Answer specific questions• Get to know each other

Research Accounting Staff487-2244

Julie Seppala, Directorjhseppal@mtu.edu

Tammy LaBissoniere, Assistant Directortklabiss@mtu.edu

Stacey Corrigan, Senior Research Accountant Tom Holzberger, Assistant Research Accountant Federal Pass-Through, State Federal Pass-Through, Foreign & Foundation Project Setup & Close-Out Project Setup & Close-Out

slcorrig@mtu.edu taholzbe@mtu.edu

Kate Wells, Assistant Research Accountant Kelly Kallio, Assistant Research Accountant Sponsored Billing, Industrial & Various Sponsored REF/Faculty Scholarship Project Setup & Close-Out Project Setup & Close-Out

klshamus@mtu.edu kmkallio@mtu.edu

Christine Gruver, Office & Account Assistant Karen Foltz, Office Assistant Expenditure Review Support Staff

cmgruver@mtu.edu ksfoltz@mtu.edu

Sponsored Project Responsibilities

• General Fiscal Responsibilities• Research Accounting• Principle Investigator (PI)• Department Chair/Director

General Fiscal Responsibilities• Every university employee• Compliance with university policies• Compliance with federal and other agencies

policies• Should the expense be paid from public funds?• Checks and balances are needed at every level

Research Accounting• Establish Projects in accounting system• Review expenses for compliance• Prepare reimbursement requests• Assist PI in the financial close of projects• Collect outstanding receivables from

sponsoring agencies

Principle Investigator (PI)• Management of expenditures• Appropriateness and reasonableness of

expenditures• Initiation of budget and/or other modifications• Preparation of technical reports/deliverables• Review of monthly accounting statements• Review and approval of effort reports for each

program

Department Chair/Director• Approve departmental cost share or matching• Monitor faculty and staff effort• Approval of substantial modifications to the

award• Oversight of project administration by the PI

Facilities & Administrative Costs/Indirect Costs/Overhead

Expense categories subject to F&A

• Salaries and wages• Fringe benefits• Travel• Supplies• Services

Expense categories not subject to F&A• Equipment• Tuition for GRA’s• Sub agreements greater

than $25,000

Incentive Returns• Distribution

– PI 6%– Dept 12%– College 7.3%– Institute/Center 34.7%

• Deposited in E35 index, quarterly basis• Funds to be spent on items that enhance

research and graduate studies

How to Read an Account Statement

• Index number coding• Summary• Detail transactions• Payroll/labor distribution• Open PO

Index Number Coding• E2 & E34 – Sponsored• E35 – Incentive• E0 – Enterprise, Senior Design, Research Related

Gifts• A1 – General Fund• D – Start Up, Unrestricted Gifts, Equipment Use

Budget vs. Actual by Account Codehttp://www.admin.mtu.edu/acct/dept/mtuonly/fygor501b2.pdf

• Summarizes the project budget and expenses by category

• Provides the balance of unspent funds for the index as a whole

• Provides the start date, end date and applicable F&A rate

Detail Transaction/Organization Detail Activity

http://www.admin.mtu.edu/acct/dept/mtuonly/fygor501b2.pdf

• Provides individual transactions by the source document number

• Travel, purchase orders, check request, etc.• Used to verify all transactions were expected

Open Purchase Order/Open Encumbrances

by Dept and Financial Managerhttp://www.admin.mtu.edu/acct/dept/mtuonly/fygor501b2.pdf

• Provides a listing of all outstanding purchase orders (PO’s)

• Used to verify that all PO’s listed were expected

Labor Distribution/Gross Earnings Payroll Expense

http://www.admin.mtu.edu/acct/dept/mtuonly/fygor501b2.pdf

• Provides listing of all the individuals compensated/paid

• Used to verify that all individuals listed were expected

How You Receive Your Award & Index Number

• RSP receives paperwork• PI & RSP review the term & conditions• RSP routes for authorized signatures• RSP routes fully executed award to PI & RA• RA sets up index number in Banner• RA informs PI & Dept Coord. the index #

– Multiple index numbers may be assigned

How to Spend Your Funds

• Questions to ask before spending• Payroll forms• Non-Payroll Forms

Questions to Ask Before Spending

• Are there enough funds available?• Is the expense within the start and end dates?• Is the expense allowable?

Payroll Forms

• Faculty – Change of distribution form• Faculty – Employee change status form• GRA – Pink status form

Non-Payroll Forms

• Purchase order• Procurement card• Travel Voucher

Allowable Costs

• Unallowable costs• Prior approval from the sponsor• Budget flexibility

Unallowable Costs• General purpose office

supplies:– Paper– Printers– Printer cartridges– Copy charges– Telephone charges– Postage

• General purpose computers

• Tuition for GRA’s is allowable only when the student is receiving stipend from that same award

Prior Approval From the Sponsor

• Equipment purchases require prior approval from the sponsor if the equipment was not originally budgeted or disclosed in the proposal budget or budget justification

• Other prior approval restrictions will be noted on the activity sheet

Budget Flexibility

• External/Sponsor dictated budget constraints will be noted on the activity sheet

• Internal budget flexibility is normally 25% variance of the budget category

• Internal budget modification guidelines

Thank You for Attending

• Call 487-2244 if you have any questions• Please fill out the evaluation form• Refer to our website at:

http://www.admin.mtu.edu/research/vpr/research_accounting/index.html

• THINK SPRING!!! IT HAS TO COME SOMETIME