Presentation on theme: "Preparing Proposal Budgets Office of Research Services The University of Oklahoma."— Presentation transcript:
Preparing Proposal Budgets Office of Research Services The University of Oklahoma
Types of Proposals Federal Non-Federal State or local government Foundation/Non-Profit Industry International Subcontract/Subaward
Budget Components Direct Costs Indirect Costs (IDC) – hereinafter referred to as Facilities and Administrative Costs (F&A)
Direct Costs Expenses identified specifically with a particular sponsored project, instructional activity, creative or artistic pursuit, or other institutional activity Expenses that can be assigned to a particular sponsored project with a high degree of accuracy Must be allowable, allocable, reasonable & necessary for the program, given consistent treatment and conform to sponsor limitations
Typical Direct Costs Include: Compensation of employees for work under a sponsored agreement Related fringe benefit costs Materials consumed or expended in the performance of the work Other items of expense incurred for the sponsored agreement provided such costs are consistently treated (e.g., travel, equipment)
Facilities & Administrative Costs Costs incurred for common or joint objectives which cannot be allocated to a specific direct cost activity Facilities Salaries of administrative and clerical staff Office supplies (May be allowable if attributed directly and specifically to the project) Postage (May be allowable if attributed directly and specifically to the project-no stamps!)
Budget Categories Personnel Costs Fringe Benefits Equipment Travel Participant Support Costs Other Direct Costs Research Materials and Supplies Publication costs Consultants Computer/ADPE Services Subcontracts Tuition Other Facilities & Administrative Costs (F&A) Cost Sharing Note the following slides are formatted to follow the ORS generic budget spreadsheet which is recommended for all budgets.
Types of Personnel Costs Faculty – Academic Year Faculty - Summer Professional Staff Post Docs Professional Staff – Limited (temporary) Classified Staff (hourly) Graduate Students (GRA/GTA) Undergraduate Students Other
Fringe Benefits Rates - FY 08 Full Time Employees Temporary Employees Post Docs, Fellows GRAsUndergraduates 39.6%7.0%14.2%3.2%0.1%
Equipment Items costing over $5,000 and having a useful life of one year or more Includes freight and shipping costs May include training and installation Fabricated Equipment Exempt from F&A Raises a red flag
Domestic Travel Airfare, Lodging Car Rental (Not in Oklahoma) Per Diem, Mileage Parking Fees/Pike Pass Registration Fees Local Transportation (Taxi, Metro, Shuttle) Travel to Canada or Mexico is agency specific GSA Rates (http://www.gsa.gov) OU Travel Policy link:
Foreign Travel Airfare Lodging/Apartment Rental Car Rental Local Transportation Per Diem Registration Fees Safety and security costs may also be included dependent on location Travel to Canada or Mexico is agency specific May raise a red flag
Participant Support Costs Agency specific (only applicable in limited circumstances) Intended for conferences, meetings, symposia, training activities, and workshops Participants or trainees may not be employees Stipends Cost of transportation Subsistence Other related costs Raises a red flag
Other Direct Costs Research Materials & Supplies Publication Costs Consultant Services Computer Services Subcontracts Tuition Other
Other Direct Costs Chemicals Expendable Equipment Computer Software Computer Supplies Lab Supplies (Gases and Fuels) Cartridges for Copiers/Printers/Faxes Research Supplies (allocable to the project) Reference Materials Research Materials & Supplies
Other Direct Costs Publication Costs Consultant Services Raises a red flag Letter of commitment Computer Services Subcontracts Raises a red flag Entire sub-proposal Institutional letter of commitment
Other Direct Costs - Tuition Graduate Research Assistant (GRA) labor budgeted on sponsored programs determines the amount of tuition to be budgeted GRA labor budgeted is multiplied by a percentage to arrive at the tuition amounts requested from sponsor and provided by the Graduate College Tuition is excluded from F&A Sponsor ShareGraduate College Share 15%19% FY 09 Cost of Tuition Remission is 34%
Other Direct Costs - Other Communication Costs: Express Mail Charges Fax Charges Mobile Phone Services/Pager Fees Postage (No stamps!) Telecommunication Long Distance phone calls All charges must be directly attributable to project
Other Direct Costs - Other Copying Animal care costs Human subject care costs Maintenance agreements Audio/visual services Construction/renovation/remodeling costs Costs for workshops/conferences/technical meetings (if including food costs, state such in budget & justification) Contractual/vendor expenses/services/fees Space Rental
Facilities & Administrative (F&A) Cost Rates – FY 10 On-CampusOff-Campus 50%26%* *Executive Director of ORS decides if the Off Campus rate can be used after review of the statement of work, budget, and budget justification
Facilities & Administrative (F&A) Cost Rates OU’s rate is set by negotiation with Department of Health and Human Services PI’s cannot negotiate F&A with sponsor If a sponsor has a rate set that is less than our negotiated rate then we use their rate (however, it must be formally established) PI may ask VPR to cost share IDC (may not be approved as OU volunteering not to collect our F&A may increase our rate in the future) The VPR allows use of 26% for most state agencies unless the source of the funds is providing full F&A.
Calculating F&A Identify Exclusions Equipment Capital Expenditures Tuition remission Rental costs of off-site facilities Scholarships/Fellowships Subcontract amounts in excess of first $25,000 (for each subcontract) Patient Care Costs Modified Total Direct Base (MTDC) = Total Direct Costs minus exclusions listed above
Common Budget Dilemmas Subcontractor versus Consultant or Vendor Consultants on Oklahoma Teachers Retirement Fellowship versus Stipends for Students (Is the student an employee?)
Cost Sharing - Sources PI Contributions Departmental Contributions University Contributions Vice President for Research Third Party Contributions (Subcontractors, Industry, etc.) Oklahoma Regents for Higher Education Contributed and Unrecovered F&A
Sponsor-Required Cost Sharing Equipment Contributed F&A Unrecovered F&A (F&A not allowed or F&A associated with Cost Sharing; not in all cases-check guidelines) Regents Matching Funds
Cost Sharing - Issues May be tracked internally but not reported to sponsor OU policy on 1% time commitment If in budget, budget justification, or body of proposal the sponsor may require tracking and documentation to prove it occurred
Requesting Cost Sharing from the Vice President for Research
Arithmetic Fringe Benefit Rate GRA Tuition Rate F&A Rate MTDC Exclusions Budget Total Correct? Within Sponsor Limits? For All Years?
How ORS can help you Perform budget review Ensure calculations, fringe and F&A rates are correct Ensure budget conforms to sponsor requirements or limitations Assist with sponsor forms and certifications Ensure that subagreement documents are in line with budgeted amounts Ensure that any cost sharing is approved and documented prior to submission
Useful Link for Proposal Preparation: Site with downloadable budget templates. Note: If you contact your PDS for a budget template they can ensure you are using the correct rate for the proposal. Site with downloadable F&A and fringe benefit rate agreements.
Preparing Proposal Budgets Proposal Development Specialists Tena Smith (A – D, CAPS & CIMMS): or Tonya Easley (E – L): or Fran Stephens (M – R): or Matt Berry (S – Z): or Tarah Hayes (Tulsa): or Proposal Services Main Line