DHHS sub account transition DHHS agencies are transitioning their payment request method Payments for DHHS awards must be requested on an award by award basis For competing continuations and new awards, DHHS has already started this transition Starting Oct 1, 2015, for non-competing continuations, DHHS is shortening current segments and issuing the next year awards under a “new segment” The old/current shortened segments must be closed out & final reported in eRA Commons Automatic carry forward into the new segments

DHHS transition contd. Around 15 direct awards and 10 flow throughs affected Elements in our current plan Set up new awards in InfoEd & PeopleSoft for the new segment Quick closeouts of the shortened segments Request carry-forward in the Financial report Sub award agreements Per HHS’ current guidance, any award that gets a No Cost Extension in the current year, will not be transferred over to the sub account.

DHHS transition contd. Set up new awards in InfoEd & PeopleSoft for the new segment New InfoEd & PeopleSoft numbers will be created for the “new” segment We are anticipating setting them up ahead of time with the pre- identified list The old and new awards in the segments are linked via the Additional Information field in PeopleSoft Consistent with our current processes, an Advance Account request is not required for the set up of the “new” segments

DHHS transition contd. Quick closeouts of the shortened segments Expenses should be allocated to the new award on the start date The old shortened segment will be closed out as early as possible Unliquidated obligations can be reported in the financial reports – wherever there is automatic carryforward we are planning to report the unspent dollars on subawards as unliquidated obligations. Sub recipients will be required to submit a “final” invoice

DHHS transition contd. Request carry-forward in the Financial report All balances, where carryover authority is automatic, can be requested in the Financial report Approval of the Financial report indicates approval of the carryover Greater than 25% carryover Still needs to be justified in the progress report or Separate notification needs to be sent to the sponsor. Once carryover is approved, SPA will automatically increase the budget of the new year project

DHHS transition contd. Sub award agreements SPA will contact the relevant subrecipients to notify them of the requirement to do a final invoice Subawardee carryover authority is the same as UVM’s, however it will not be approved until UVM’s is approved The next year amendment will have to be based off a new InfoEd number and depending on the timing, will not initially include the carryover SPA will set up new purchase orders with the new year award, and carryover will be added subsequently.

DHHS transition contd. What is not changing? No additional proposal No additional technical or programmatic reports Carryover greater than 25% needs to be justified Process for carryover on awards that do not have automatic carryover

Next steps? SPA will contact units with impacted awards SPA will circulate new information and changes as we find out. Per the liquidation expiration process, SPA will start the closeout 60 days after the end date so all final expenses must be posted at that time

Questions?