ORSP/GCA Advisory Team Meeting

ORSP/GCA Advisory Team Meeting

April 6, 2016

Meeting Notes

1) Introduction of New Director of Grant and Contract Accounting.

Angelo Chrisomalis is the new Director for of Grant and Contract Accounting. A brief biography and introduction can be found here. He can be contacted at .

Note: The Division of Grant and Contract Accounting has changed its name to Grant and Contract Accounting (GCA).

2) Proposed Budget Template

The new proposed budget template is designed to simplify capturing cost share and show the true cost of the research project. This original template was sent to the group on the morning of April 6, 2016 by Brianne Tysk.

The budget front page has 5 basic sections: demographics (PI name, proposal number, etc.), base information (salary cap, F&A rate, etc.), budget summary (amount requested), personnel (salary, effort, fringe, etc.), and non-personnel (supplies, tuition, travel, etc.). The template also has additional tabs for cost share details, and ability to convert the budget onto the 424 budget template. Since there is no authorizing signature on this new budget template, the cost share amount for proposals with mandatory cost share should be indicated on the endorsement form or within RAPSS, which captures signatures/approvals from the PI and department head.

The following is feedback on the proposed budget template from the meeting:

• Add FICA and Medicare rates to fringe
• Make the fringe rate editable
• Add a fillable line for subaward F&A oddities
• ORSP to update standard rates as they change
• Specify that the template is a “Grant Award Budget Template”, not for use with GIFTS
• Questions about Clinical Trial budgets. Should they use the template?

Following the meeting, the working group will discuss the issues raised and will modify the template based on the feedback from this group and central administrative staff. A new version will be circulated to the group for comment within the next several days.

Training on the new budget template will be provided prior to its implementation.

3) Policy Changes in Response to Uniform Guidance (see slides)

Several policies were updated or created in response to the Uniform Guidance. Below are only a handful of policies/processes that impact departments/PI’s.

a) Administrative and Clerical Salaries

Administrative and Clerical Salaries are generally treated as indirect costs. Under certain conditions, they can be charged as a direct cost, if the services are integral to the project and a minimum of 25% FTE compensation is budgeted. These costs must be specifically identified in the budget and budget justification, and not recovered as indirect costs. The salary must match the effort proposed. Effort must be certified. (Question about administrative salaries for hourly employees --- are they allowed, since these employees generally cannot certify their effort.

b) Computing Devices

The condition that a computing device must be used by (and charged solely to) a project to be an allowable expense has been loosened under UG. Computing devices can now be charged as direct costs if they are essential and allocable to the project. Essentially, devices under $5,000 are treated as supplies, regardless of their useful life, if the aforementioned conditions are met. If the device is charged direct as a supply, it is subject to F&A. Devices costing $5000 or more are still considered equipment, must be approved by the sponsor and do not incur F&A.

c) Subaward Issuance and Monitoring

It is important to differentiate between subrecipients and vendors. Subrecipients have more responsibility, they use program funds to carry out a program (and require a SOW), and their performance is measured against the achievement of the objectives of the project. Vendors charge a fee for a service or goods provided. They generally have no intellectual involvement in or programmatic responsibility for the project. The policy further outlines various criteria to differentiate subrecipients from vendors. If in doubt, discuss with ORSP personnel.

For all subcontracts, the Rutgers PI is responsible for assessing the adequacy of the subrecipient and budget, as well as monitoring the work progress, while ORSP is responsible for the risk assessment and ensuring an appropriate subcontract is put into place. Subcontracts require an annual subrecipient audit review. Closeout on all subcontracts require deliverable items/completion of SOW; report of patents, inventions, discoveries, etc; and a final invoice with signed certification statements.

4) Clinical Trial Budgets

Most clinical trial awards will now be abstracted for 3 years with a $5000 budget and 30% F&Aon TDC, unless the contract states a defined end date and/or award amount. Clinical trial indexes will now be setup as non-revenue recognition and current open clinical trials will be corrected as part of a future AR cleanup prior to the Oracle conversion. All invoices must go through GCA in order to have AR booked correctly and to make sure cash is applied against open AR. GCA frequently receives checks with no identification as to what award they should be credited to, so the “Outstanding Receivables” list has been reinstated and will be distributed to departments to help determine to which accounts checks should be deposited.