Project Administration Account Closeouts

Restricted Funds is responsible for the final close-out of grant and contract accounts in FAS. The process for close-out is as follows: An account can be closed out when project-to-date expenses on FAS agrees with the total amount of expenditures on the Financial Status Report submitted to the funding agency.

If an account is overspent (i.e., expenses on FAS exceed the agency award), the overdraft must be cleared in order to close the account. It is the responsibility of the department to CLEAR THE OVERDRAFT PROMPTLY by giving Restricted Funds an alternate account to which the excess expenses can be moved. Overdrafts incurred on one grant may not be moved onto another grant (except for pre-award costs incurred in accordance with institutional and agency policy).
If an account is under spent, and reported as such on the Financial Status Report, Restricted Funds will adjust the account budget to equal the expenses reported on the Financial Status Report before closing out the account.

An account may be reported as fully spent based on a fully documented reconciliation, even when expenses on FAS at the time of reporting do not equal the amount reported on the Financial Status Report. This variance is due to authorized transfers pending and/or open commitments not yet expensed. Until those transfers and/or expenses appear on the FAS account, the account cannot be closed. Prompt processing of transactions is necessary for efficient grant close-outs.

When the budget equals the project-to-date expenses on FAS, Restricted Funds will set a delete flag. The FAS statements will continue to be generated until the end of that fiscal year (June closing) and then for another fiscal year cycle