policy pre-award spending modified Wed Oct 12 2022 14:27:01 GMT-0400 (Eastern Daylight Time)
University of Louisville
July 1, 2004
This policy applies to the University Community (administrators, faculty, and staff).
REASON FOR POLICY
Often a Project Director (PD) or Principal Investigator (PI) wishes to begin a project prior to the award date but rather than requesting a speedtype in advance of the award, expenses are placed on an existing speedtype. This practice significantly increases the number of salary and expense transfers if work begins prior to the formal award notice and/or contract execution. This policy is to assure that costs incurred between beginning the work and formal notification of award or in advance of the award date do not require transfers but are posted originally to the correct speedtype.
Prior to authorizing work and associated expenditures on an anticipated sponsored program the Principal Investigator or Project Director’s supervisor must request that the Office of the Executive Vice President for Research and Innovation (EVPRI) establish a chartfield with associated speedtype.
Office of the EVPRI – Office of Sponsored Programs Administration (OSPA– Grants Division)
The request can guarantee funding in one of three ways:
- For a certain type of expenditure(s), for instance salary and fringe benefits only.
- For a specified dollar amount in any category of the proposed expenditures.
- For the entire proposed project budget.
The request for a pre-award speedtype must be sent from the PI/PD and their chair/unit head to OSPA. The request must identify an unrestricted funding source to cover any expenses to be placed on the pre-award Chartfield/speedtype. The request must be consistent with the Proposal Clearance Form (PCF) or Multi Institutional Research Application (MIRA) and provide a budget for expenses to be charged during the pre-award period.
When the official award is generated, funds from the award will be used to cover these authorized expenses.
If the University does not receive the award, the responsible college/school/department must move all charges to other, non-sponsored funding sources. If not removed by the department in a timely manner all charges will be moved by OSPA – finance division.
Deans, Directors, and Department Heads
Approval of establishing the pre-award Chartfield/speedtype and provision of an unrestricted funding source to guarantee pre-award spending.
OSPA representative is responsible for the establishment of new Chartfield/speedtypes.
VIOLATIONS OF THIS POLICY
Transfer of expenditures may not be authorized by the OSPA if no request for pre-award spending has been requested and approved prior to the date of expenditure.
Executive Vice President for Research and Innovation
RESPONSIBLE UNIVERSITY DEPARTMENT/DIVISION
Sponsored Programs Administration
J.D. Nichols Campus for Innovation and Entrepreneurship
Louisville, KY 40292
Revision Date(s): August 15, 2012; December 3, 2013; August 12, 2015; February 19, 2021
The University Policy and Procedure Library is updated regularly. In order to ensure a printed copy of this document is current, please access it online at http://louisville.edu/policies.