Sponsored Project Cost Transfers

Effective Date: January 1, 2007

Executive Summary

In accepting a grant or contract from a governmental agency, private foundation, or industry or other sponsor ("Sponsored Project"), the University is obliged to comply with a number of rules and regulations promulgated by that sponsor. Among those obligations is the requirement that expenditures related to such Sponsored Projects are properly allocated and documented. These expenditures, or "costs," include the salaries of faculty and staff working on the Sponsored Project as well as supplies, equipment, travel, and other expenses.

Faculty and staff must make every effort to allocate Sponsored Project costs to the appropriate account(s) at the time the costs are incurred. However, in certain circumstances, it is permissible to transfer costs from one account to another ("Cost Transfer"). Such Cost Transfers to Sponsored Projects are allowable only when:

1. There is a direct benefit to the project account being charged; and
2. The Cost Transfer is accompanied by appropriate documentation.

Cost Transfers to Sponsored Projects must be prepared and submitted within 90 days following the end of the month in which the original charge was posted to a University account; thereafter, Cost Transfers to Sponsored Projects will not be permitted except in extenuating circumstances. Cost Transfers which remove expenditures from Sponsored Projects are not subject to the 90 day time limit, and must be processed at any time that it is determined that an expenditure charged to a Sponsored Project is not appropriate to that Project.

Reason(s) for the Policy

To provide guidance to Principal Investigators and others responsible for the administration of Sponsored Projects on the requirements for Cost Transfers.

Primary Guidance to Which this Policy Responds

Federal OMB Circular A-21
NIH Grants Policy Statement 12/03

Revision History

Not Applicable

Responsible University Office & Officer

Office of the Controller
Cheryl Ross, Controller

Who is Governed by This Policy

Faculty and Staff who are responsible for authorizing, processing and monitoring charges to Sponsored Projects.

Who Should Know This Policy

 

1. All persons governed by this Policy [see above]
2. Departmental Administrators and other departmental staff
3. Deans and Departmental Chairs
4. Office of Research Administration staff
5. Office of the Controller staff

Exclusions & Special Situations

None. This Policy applies to Cost Transfers to all Sponsored Projects, whether awarded by governmental or non-governmental sponsors.