1 Developing a Grant Budget The rules: Sponsor (via guidelines) and Institution (via policy) Example: detailed, multi-year budget for OHIO vs. summary budget for sponsor Accuracy and due diligence (vs. revise it later) to reflect the project

2 Resources for Grant Budget Institutional Policy, Forms, Tools, Templates Sponsor Guidelines, Forms, Tools OHIO Office of Research and Sponsored Programs ORSP

3 Proposal Budget Process at OHIO Notify ORSP of intent to submit—LEO Electronic Transmittal Form via LEO Work with ORSP on proposal budget, forms, certifications, and other supplementary information that may be required by sponsor.

4 Proposal Budget Process at OHIO Use budget template or other sponsor form to develop draft, send to ORSP for review/revision. Work with college/departmental grants person.

5 Proposal Budget Preparation Typical Budget Categories Salaries and Fringe Benefits Equipment Travel Materials and Supplies Publications Communications Collaborators/Subcontractors Miscellaneous

6 Proposal Budget Preparation PI and Co-PI Salaries Based upon PI base salary OHIO Academic year release time  Pays for replacement instructor to teach PI class(es)  Calculated as percentage of PI time  Check with department  NSF: months OHIO Summer time  Supplementary salary for June, July and August  Limited to 3/9 of academic year base salary (OU Policy)  May be limited by sponsor policy (i.e. NSF) OHIO Overload cannot be charged to a federal grant Escalate/increase salaries in future years (usually 3%, July 1)

7 Proposal Budget Preparation Other Personnel Post Docs Technicians Students (check with Department for pay rates)  Graduate/Undergraduate Clerical (must be dedicated to project) Escalate/increase salaries in future years (usually 3%, July 1)

8 Proposal Budget Preparation Fringe Benefits Retirement Medicare Workers Compensation Health Care

9 Proposal Budget Preparation Fringe Benefits Retirement: 14% faculty, 14% staff Medicare: 1.45% faculty, 1.45% staff (hired after 1985) Workers Compensation: 0.739% for all personnel (including students) Health Care: $10,625/year

10 Proposal Budget Preparation Fringe Benefits Health Care: $10,625/year Academic year ONLY Pro-rate based on effort Escalate/increase by 10% in future years

11 Proposal Budget Preparation Personnel Effort Specific to sponsor guidelines NSF: expressed in months Academic Year SummerCalendar Year Months9312 Weeks Hours

12 Proposal Budget Preparation Subcontractors Follow sponsor guidelines! Other university as subcontractor, OHIO needs: Statement of work Detailed budget Sponsor forms Letter of participation from inst. official NSF: Total subcontractbudget listed as Subaward

13 Proposal Budget Preparation Indirect Costs Overhead/Facilities and Admin (F&A) Negotiated with Federal government May be limited by sponsor policy/guidelines (must be documented in guidelines) Used by institution for utilities, space, equipment, secretarial/clerical support Waived/reduced only by OHIO VP Research Office, REQUIRES TWO WEEK NOTICE

14 Proposal Budget Preparation Indirect Costs Federally-approved rates for OHIO: On-campus research: 47.5% Instruction/Training: 48% Public Service: 39% Off-campus: 26% OHIO Calculates IDC on Modified Total Direct Cost Base (MTDC): excludes Equipment, Tuition, Participant Costs, subcontract total over $25,000

15 Proposal Budget Preparation Indirect Cost Distribution at OHIO: Research Incentive Academic Department 18% - Principal Investigator 7% - Department 14% - College 61% - Vice President for Research Center/Institute 14% - Principal Investigator 7% - Department 30% - Center 14% - College 35% - Vice President for Research

16 Proposal Budget Preparation Cost Share Institutional contributions to the project Generally Cash or In-Kind Only included if required by sponsor MUST be: Clearly identified, trackable, approved CANNOT USE: Existing equipment, match more than once, charges outside the period of performance

17 Proposal Budget Preparation Cost Share Salary and fringe Tuition/fee waivers for graduate students Unrecovered indirect costs (when limited by sponsor) Equipment allocable to project purchased by OHIO funds during project period

18 Proposal Budget Preparation Unallowable Cost Share Office space General office supplies Existing equipment Funds previously committed as match on another project Other personnel time without approval Commitment on behalf of other organization without approval

19 Proposal Budget Process at OHIO Electronic Transmittal Form via LEO REQUIRED for institutional approval

20 Proposal Budget Preparation NSF Use budget template/spreadsheet Document the specifics for Budget Justification section Consult GPG

21 Proposal Preparation Obtain Sponsor Guidelines and Information READ THE GUIDELINES!

22 Proposal Budget Preparation NSF Example 2 year effort PI: 2 summer months/yr $75K salary 2 Post docs: 100% effort/yr $32K salary 3 Grads: $12K/yr Clerical: $35K/yr Travel: 4 $1500 ea, 1 Lab Consumables: $14K/yr Transmogrifier drives: $3275, $7348 Subcontract: $50K/yr to Big State Univ.