Sponsored Programs at Penn Module 4 Project Management

Sponsored Programs at Penn Module 4 Project Management REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 1

Project Management Agenda • Establishing the Project Environment • Managing Monthly • Communication • Monitor Expenditures • Cash Management REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 2

Roles and Communications • Report monthly to PI • Communicate regularly with ORS – ORS represents the University externally for all sponsored projects – Financial reports, cost sharing, delinquent sponsor payment – Programmatic changes – Assesses allowability of costs • Don’t surprise the sponsor REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 3

Communicate with PI • Personnel – Establish payroll distribution • Establish level of effort anticipated for each individual on project • Subcontracts – Confirm amount; inform ORS • Restrictions on spending • Cost Sharing REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 4

Communicate with ORS • Inform sponsor via ORS of project changes • Monitor subcontractee SPP #2131, #2135 Subrecipient Monitoring policies • ORS Accountant – Cost sharing – Verify payments – Allowability of costs during Post Award period • ORS Contracts Administrator – Allowability of costs during Pre Award period – Extensions and other project changes REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 5

Support the Project • Work with PI on on-going basis • Ensure that interim reports & proposals are submitted on time • Disclose Inventions and Patents • Prepare for Progress Reports and Non-Competing Continuations REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 6

Establishing the Project Environment Payroll Set-up • Identify who belongs on distribution • Identify amount of funding and % effort • Distribution Stop Date s/b set to the Account End Date • Salary Encumbrances are calculated through the Current Budget End Date or Distribution Stop Date (whichever is earlier) REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 7

Procurement • Ben Buys Commodity Matrix – Methods of Purchasing – When should C-1, C-1 A, C 368, Purchase Order, or P-Card be used • Competitive Bids Required on aggregate purchases > $5, 000 unless purchase is with a University Contract Supplier or with a supplier participating in the Penn Marketplace. REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 8

Issues Surrounding Specific Expense Categories REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 9

Equipment • Must be necessary for project purposes – During the award period • Is not reasonably available for use elsewhere in the University • Award notice does not constrain equipment purchases REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 10

Equipment (cont. ) • Obtain necessary bids – Or have justification for sole source purchase • Document whether equipment is – Government owned – Government furnished • Disposition after project end – Know sponsor regulations REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 11

Travel • Determine allowability on project • Justify and document changes if not in proposal REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 12

Foreign Travel • Travel must be included in proposal or otherwise be allowed by sponsor • Department must maintain documentation in the file that supports the trip’s purpose • Foreign air travel paid with federal funds must be on US-flag air carriers – Limited exceptions REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 13

Foreign Travel • Exceptions, which must be documented, generally include: – – – US-flag air carrier does not go to destination Total trip time extended more than 24 hours Lay-over extended more than 6 hours Foreign carrier eliminates 2 or more changes On short trips: US-flag air carrier would double travel time • Exceptions can be found at GSA Travel Regulations (41 CFR 301 -10. 135 -143) – www. access. gpo. gov/nara/cfr-retrieve. html#page 1 REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 14

Consultants • Evaluate: Consultant, Employee or Subcontractor? – Use C-12 Independent Contractor Determination & Certification http: //www. finance. upenn. edu/comptroller/tax /contractor_certif. shtml • Consulting agreement completed and forwarded to ORS for approval & signature REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 15

Consultants (cont. ) • Document role of consultant – Needs to be working towards the goals of the project to which he/she is charged • Review sponsor’s guidelines for consultants – Ensure any required approvals are obtained – Consultant rates may be limited REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 16

Purchases • PI approval process for purchases • Assess allowability, allocability and reasonableness • Verify budget and availability of funds • Procure bids • “Buy American” on federal awards when possible • Don’t buy capital equipment at end of project REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 17

Service Centers • Definition: – A department or functional unit within a department, which performs specific service for a fee Examples: Cell Sorting facilities, Resonance Imaging facilities, and Animal Care facilities REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 18

Service Centers (cont. ) • ORS responsible for review & approval of rates • Services provided charged based actual use of services • Charges for services allocated monthly -Financial Policy #2115 University Service Centers REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 19

Service Centers (cont. ) • Make sure Service Centers use correct fund account • PI & BA should review Service Center charges regularly – The BA may not know what services were provided, or if the amount charged is appropriate REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 20

Manage Monthly • Plan expenditures in advance – This will make the project easier to manage throughout life of project • Run and analyze appropriate reports – Financial Policy #1402. 5 Monthly Closings/Reporting • Send detailed reports to PI REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 21

Manage Monthly (cont. ) • Remove unallowable and wayward charges • Compare expenditures to projections • Manage changes through full system – Changes in award value affect payroll – Changes in subcontracts or equipment affect F&A charges REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 22

Manage Project Changes Proactively • Use proposal as “home base” • Anticipate necessary changes – Contact ORS for approval – Get sponsor approval through ORS – Change of scope or effort • Plan ahead for extensions REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 23

Monitor Expenditure Rates • Sponsors question unusual expenditure rates – Have we changed scope of work? – Are we still breathing? • Communicate with Sponsor (cc ORS) REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 24

Cost Transfers • The transfer of costs to sponsored projects where the costs initially had been incorrectly charged to another account. Any cost transfers that occur need to be properly justified and documented. – University Financial Policy Number 2113 Cost Transfers and Payroll Reallocations states "Cost transfers must be prepared and submitted within 90 days from month end in which the transaction appears on the fund. " Failure to adhere to this policy may result in the University disallowing the transfer which would result in a write-off to the administering department. REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 25

Cost Transfers • Must be an allocable, allowable and justified charge to the particular award • Department must maintain documented justification for transfer • Must be made within time constraints REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 26

Cost Transfer Principles • Cost transfers are for correcting legitimate ERRORS • Cost transfers should NOT be used as a means of managing cash flow • Project funds are NOT interchangeable – Integrity of each grant account must be maintained • Allowability of costs must be maintained REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 27

Cost Transfers • Documentation – Supported by full explanation and justification, as well as a certification of the propriety of the transfer – Explanations such as “to correct error” or “to transfer to correct project” are not sufficient – Approval can be documented by • PI signature • Printed e-mail messages from PI REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 28

Cost Transfer “Red Flags” • Transfers made in excess of 90 days after the original charge • Transfers without a full explanation • High volume of transfers • Timing and “route” of transfers • Late transfers to funds with unexpended funds • Transfers from funds with overdrafts to other 5 fund(s) • Transfers between funds with scientific overlap REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 29

Advance Accounts for Continuation Awards • Recommended for noncompeting renewals requiring new fund #’s for each period – Department requesting the advance account bears the risk of having to fund any costs incurred if the funding never materializes REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 30

Monitoring Accounts Receivable • For Letter of Credit awards, check revenue • On Letter of Credit, confirm that PBIL is correct • Contact ORS to address payment problems with sponsors – Departments should review AR and contact ORS regarding aged receivables of concern • For awards on payment schedule, contact Bob Speakman • For all other awards, contact Gokila Venkateswaran REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 31

Checks, Payments and Project Budget Increases • Hand carry check to ORS immediately, with project identification – Do not deposit check • Should AIS be increased because of check? REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 32

Run and Review Reports • BEN Reports – – 102. ORG 115. ORG 133. ORG 134. ORG – – Summary CNAC-ORG-FUND level Fund Summary Due to Close Summary of Final Expenditure Report • Data Warehouse – Fund Summary – Org Summary – Corporate Documents • Payroll • Correct Errors REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 33

Reporting Tools “There are so many reports I’m not sure where to look first. ” REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 34

GRAM – The online PI view GRAM / BEN Reports • Reports used primarily by Principal Investigators • Reports represent a Current Budget Period perspective • Not easy to determine PJTD Numbers or amount to close out at (other than Budget Available) • Critical for Operating Budget to be posted to the Budget Period Start REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 35

• Actual Spent represents Current Budget Period Only • Further Detail can be clicked on, but none is available for Prior Budget Periods REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 36

Management of All Grants in ORG BUSINESS OBJECTS ORG Summary. rep by Fund, PI, Acct End, receivables, overdrafts, funds freezing, late/due FSR’s, Analysis of expired funds, Illegal object code charges, possible F&A direct charged to Fed grants, payroll compared to budget. Grantmonitor. rep PBIL/PBUD/Budget, NCC Due, Awards Due, Revenue Check, Overdrafts (active and expired), Federal Cash, CT Cash, Residual Balances, Receivables Subbudgets. rep our charges to others Otherorgschgs. rep ORGpersonnel. rep all current distributions Paylate. rep funds with pay after termination Award Analysis- Award Date. rep PT-Proposals. rep JE inquiry (by batch between dates). rep FY Grant ORG Expense Analysis. rep Effort Report – Home Dept ORG. rep Object code by fund – posted org. rep Object code by fund – detail AIS (full search). rep REVISED AUGUST 28, 2007 BEN FINANCIALS 132. ORG List of Terminated G&C Funds 133. ORG List of G&C Funds Due to Close 138. ORG Frozen Fund List 201. SCH PJTD Rev/Exp for G&C/URF 202. SCH YTD Rev/Exp Totals for Funds 211. SCH PJTD Rev/Exp Outline for G&C/URF 212. SCH YTD Rev/Exp Outline for G&C/URF 301. BUD Budgetable Amount - Grants/Contracts 306. BUD Negative BBA ORG/FUND/CREF PJTD The Office of Research Services The Office of Research Support Services 37

Fund Level Management BUSINESS OBJECTS fundsummary. rep summary by ORG/CNAC SNAP/NCC estimated unobligated balance Fundsummaries for RESP ORG. rep Fund Detail. rep monthly matrix all expense monthly matrix personnel paid BEN FINANCIALS 102. ORG Summary G&C by CNAC/ORG/FUND 103. ORG Summary G&C by CNAC/ORG/FUND/CREF 115. ORG Grant Fund Summary Report 130. ORG PI Report by CNAC/ORG/FUND 134. ORG Summary of Final Expenditure Report (available for grants in adjustment period) 137. ORG Grant/Contract Budget Period Summary Effort Report – Fund. rep GRANT REPORTS. rep PI friendly & monthly payroll and expense detail GRANT REPORTS –PI. rep GRANT REORTS – Resp Org. rep REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 38

Expense Detail BUSINESS OBJECTS Fund Detail. rep Payroll by Obj, by Person, Exp Detail by Object, Org, Acct Period, P. O. /User Fund Detail – PI. rep monthly matrix of personnel paid on PI grants Payroll. rep (any fund any period of time) variations include: All grants of PI All grants of Resp Org Personnel. rep (any person, any period) Personnel-one (any person’s current distrib) Detail. rep variations include: All grants of PI All grants of Resp ORG subcontracts object special budget operating budget cash deposits Encumbrances(Fund). rep Waywards. rep REVISED AUGUST 28, 2007 BEN FINANCIALS 150. ORG 151. ORG 152. ORG 153. ORG 155. ORG 156. ORG 160. ORG 163. ORG 301. BUD 304. BUD 305. BUD 306. BUD 315. BUD 507. GA 508. GA 510. GA Detail by CNAC/ORG/FUND/CREF Detail by CNAC/ORG/FUND/PROG Detail Extract Detail by CNAC/ORG/FUND/PROG/CREF Account Analysis with payables detail Open Encumbrances Report Budgetable Amount - Grants/Contracts Negative BBA ORG/FUND YTD Negative BBA ORG/FUND/CREF PJTD Posted Budget Journal with Exceptions Posted Journal Activity Report Unposted Journal Activity Report Detail Transaction by OBJECT by ORG The Office of Research Services The Office of Research Support Services 39

Your assignment • Full documentation of the Business Objects Queries is available at: http: //www. upenn. edu/computing/da/dw/financial_queries. html Select “Grants Management” • While we will discuss and give samples of some of the more popular reports today, it is essential that you GO BACK TO YOUR OFFICE AND PLAY WITH THE REPORTS!!! Decide what tools/reports work best for you and your investigators. REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 40

ORG Summary. rep REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 41

ORG Summary - Analysis of Expired Funds Why isn’t my fund disabled? REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 42

ORG Summary – possible F&A REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 43

Fundsummary. rep- Estimating the Unobligated Balance Make sure the formula toolbar is visible and checked under View Toolbar. REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 44

Grant Reports. rep REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 45

Grant Reports. rep REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 46

Identifying Waywards – 115. ORG The 115 shows a possible wayward charge from ORG 4227 Cardiology. To obtain the detail of the charge a 15 X. ORG report can be run entering the ORG making the charge in the Accounting Period the charge was made. REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 47

Otherorgschgs. rep & Waywards. rep REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 48

Effort Report - Fund REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 49

Effort Report - Fund REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 50

In Summary • Award must be reviewed on a regular basis • Communication is vital to the proper administration of the award • When you are not sure, investigate and ask • If an award is properly managed, the closeout process is very simple REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 51

Questions? ? ? REVISED AUGUST 28, 2007 The Office of Research Services The Office of Research Support Services 52