TimeandEffortReportingGuidelines

TimeandEffortReportExplanation• ATimeandEffortReportisalegaldocumentstatingthatthe

certifierconfirmstheeffortonthesponsoredprojectisaccurateandappropriate.Thisdocumentwillbeexaminedbyauditorsintheeventofanaudit.Therefore,suitablemeansofverificationthattheworkwasperformedshouldalwaysbedocumented.

TimeandEffortReportExplanationCont.• Anyemployeefundedbyfederalgrantsmustdocumentthe

timetheyspendworkingonthegrant’sobjectivesthroughtimeandeffortreporting.

• Alltimeworkedfortheorganizationshouldbeincludedinordertocalculatewhatportionrelatestofederalawards.

• Employeespaidhourly(viaiTAMS)mustpreparerecordsindicatingthetotalnumberofhoursworkeddaily,thereforetheirtimesheetisalsoconsideredtheireffortreport.

What isEffort?• “Effort”– theamountoftimespentonaparticularactivity.It

includesthetimespentworkingonasponsoredprojectinwhichsalaryisdirectlychargedorcontributed(cost-sharedeffort).

• Individualeffortisexpressedasapercentageofthetotalamountoftimespentonwork-relatedactivities(instruction,research,patientcare,administration,etc.)forwhichtheUniversitycompensatesanindividual.

ChangeinGuidelines– Late2014• Thelanguageintheregulationwentthroughvarious

modificationsbeforethefinalguidancewasissuedinlate2014.Thepreviousrequirementsweredifferentamongthestateandlocalgovernment,not-for-profit,andhighereducationindustries,sothefinalguidanceisconsideredbymanytobeacompromiseofallofthedifferentruleswithafocusonreducingtheadministrativeburdenthatoftenaccompaniedmeetingthepreviousrequirements.

• Thenewstandardsprovidemoreflexibilityintheprocess,withthefocusbeingoncontrolstoensurethattimeischargedtograntsappropriately.

WhoMustComply• Allindividualsinvolvedwiththeadministrationandconductof

federallysponsoredawardactivities,includingcentralanddepartmentalsponsoredprojectadministrators,principalinvestigators,andotherresearchpersonnelmustcomplywithUniformGuidance.

• AdherencetoUniformGuidanceisrequiredforalleffortrelatedtofederallysponsoredawardsaswellasanynon-federalawardswherethenon-federalsponsorrequireseffortreporting.

WhenaTimeandEffortReportisRequired• Thefederalgovernmentrequiresaneffortreportwhenan

individualiscompensatedbyorhasagreedtocontributetimetoafederallysponsoredproject.Allfacultywhoserveasinvestigatorsonsponsoredagreementsareresponsibletocertifytheamountofeffortthattheyandtheiremployeesspentonsponsoredactivities.

CalculatingTime• Totaleffortalwaysequals100%regardlessofhoursworkedintheweek.– Cannotbegreaterthan100%forovertime.

• 100%Effort=100%IBS(InstitutionalBaseSalary)

InstitutionalBaseSalary(IBS):• Payfortheemployee’sprimaryjobresponsibilities.The

amountofanemployee’sInstitutionalBaseSalaryisdescribedintheirappointmentletter,andthereafterinannualsalarylettersoramendmentstosuchletters.

ApprovingEffort• PrincipalInvestigators,DepartmentChairsand/orAdministrators– Understandandcomplywithsponsorrequirementsregardingcommitmentsofeffort.

– Coordinatethemonitoringofalleffortformsforindividualswithintheirdepartment.

ApprovingEffortCont.• PrincipalInvestigators,DepartmentChairsand/orAdministrators– Assistinensuringthateffortcertificationsarecompletedinatimelymanner.

– EnsurethattheUniversity’saccountingrecordsareconsistentwithcertifiedeffortbycompletingcosttransfersanddocumentingcostsharing.

– Certifyeffort,whereappropriate,usingsuitablemeansofverification.

TimelineofCompletion• UniversityofSouthCarolinacompleteseffortreportingsemi-annually.1. January– June2. July– December

CalculationofEffort:Example1• ProfessorAworksanaverageof50hoursperweekwitheffortdivided

equallyamongfourtasks:teaching,conductingresearchoneachoftwogrants(AandB),andchair/committeeresponsibilities.– 25%EffortTeaching– 25%EffortGrantB– 25%EffortGrantA– 25%EffortChair/Committee

• IfProfessorAworkedanaverageof30hoursperweekandthesamefourtaskshowwouldeffortbecalculated?

Example1:Answer• Thepercentageofeffortisthesamebecausethepercentage

ofeffortisbasedontheeffortworkedoneachtaskdividedbythetotaleffortworked,notthenumberofhoursworked.– 25%EffortTeaching– 25%EffortGrantB– 25%EffortGrantA– 25%EffortChair/Committee

CalculationofEffort:Example2• ProfessorBworksanaverageof50hoursperweekonteaching,grantandadministrativeduties– Alsoservesforpayonoutsidescientificadvisoryboard,averaging5hoursaweek

– Worksfullcalendaryearontwogrants,spendingtotalof10hoursaweekonGrantAand5hoursaweekonGrantB

Example2:Answer• Distributionofeffort:– 100%EffortforUSCis50hours– GrantAmaybecharged10/50,or20%effort– GrantBmaybecharged5/50,or10%effort

Example3:SalarySupportfromtheUniversityandanAward• Dr.Cbudgets75%efforttoafederalprojectandispaidfromthegrantat75%ofherIBS.

• Dr.Cputsin30hoursaweekontheproject,butalsospends20hoursaweekonteachingandvice-chairresponsibilities.

• 30hoursis75%ofa40hourweek,soDr.Cthinkssheiscompliant.

Example3:Answer

• Dr.CisoutofcomplianceandsubjectingtheUniversitytoauditriskbyoverchargingthefederalproject.

• Effortonthefederalprojectis60%(30/50).

Example4:AdjustingEffortDuetoNewAwards• Dr.Dworks60hoursperweek:15onafederalgrantand45hoursonotherinstitutionalactivities.Dr.D’sactualeffortforthisgrantwas25%(15/60),consistentwiththerequestedandfundedamount.

• Receivedasecondfederalawardthatprovidedsupportfor20%effort.

• Dr.Dcontinuestoexpend15hoursonthefirstgrantand45hoursonotherprofessionalactivities,butnowalsodevotes15hoursperweektothesecondgrant.

Example4:Answer• TheactualeffortandsalaryonGrant#1shouldbereducedfrom25%to20%(15/75)ontheeffortcertificationreport.

ConsequencesofNoncompliance• Increasedscrutinyfromfederalauditorsandfinancialpenalties.Itemsbelowincreasetheriskforauditfindings:– Unsignedeffortreports– Emailssaying“Justzerooutthegrant.”– Noproceduresinplacetomonitoreffortexpendedvs.committed.