Medical College of Georgia Administrative
Policies and Procedures
Office of Primary Responsibility:
Division of Sponsored Program Administration
No. 7.0.03Utilization of Residual Funds in Sponsored Research Grant and Contract
Account
1.0 Purpose
To provide institutional guidance for the timely and appropriate utilization
of residual balances of sponsored grant/contract accounts.
2.0 Definitions
2.1 A sponsored account is defined as an
account established for the receipt and expensing of funds from a source
external to the institution for project-specific purposes.
2.2 A residual balance is defined as an
unobligated balance of funds remaining in a sponsored account at termination
of the project and closeout of the account.
2.3 An unrestricted residual balance is defined
as a residual that is not required to be returned to the external funding
source.
2.4 A residual account is an account
established for the purpose of receiving the transfer of an unrestricted
residual balance at the closeout of a sponsored account.
3.0 Policy
An unrestricted residual balance in a sponsored project account may be
transferred to a residual account at the closeout of the sponsored account.
If a full or partial waiver of Facilities and Administrative (F&A) Costs has
been applied to the sponsored account, the waived F&A will be earned on
behalf of the Medical College of Georgia and the Medical College of Georgia
Research Institute prior to transfer of the unrestricted residual balance to
a residual account. Principal investigators/project directors of sponsored
grant and/or contract accounts are required to submit an action plan for use
of unrestricted residual balances through the appropriate department
chair/center or institute director, dean or vice president. Multiple
sponsored accounts may be closed to a single residual account or to separate
residual accounts. Each residual account will be established for a period
not to exceed 24 months. Amendments to the action plan or requests for
extensions to the time period require approval by the appropriate department
chair or center/institute director and dean or vice president.
Unrestricted residual balances will lapse to the appropriate dean or vice
president if an approved action plan for their utilization is not received
in the Division of Sponsored Program Administration within 90 days after the
end date of the sponsored account. Additionally, except in exceptional
circumstances and with strong justification and prior approval, any residual
account funds remaining at the end of the 24-month period will revert to the
appropriate dean or vice president.
4.0 Procedure
4.1 At closeout, the relevant sponsored
accountant in the Division of Sponsored Program Administration will generate
a Utilization of Residual Funds form for each sponsored account that expires
with an unrestricted balance of $100 or more. The Utilization of Residual
Funds form will be forwarded to the appropriate department manager and
principal investigator/project director. Balances less than $100 will be
transferred to the relevant dean’s residual account.
4.2 The principal investigator/project director
will review the form and certify that all fiscal and programmatic
obligations to the project and to the sponsor have been met. The principal
investigator/project director will develop an action plan for use of the
residual funds. The principal investigator/project director will complete
an Intramural Routing Sheet and submit the Intramural Routing Sheet with the
completed Utilization of Residual Funds form and action plan to the
department chair or center/institute director, then to the appropriate
dean/vice president for review.
4.3 The dean or vice president will forward the
approved Utilization of Residual Funds form, action plan, and the Intramural
Routing Sheet to the appropriate pre-award officer in the Division of
Sponsored Program Administration. The dean/vice president may approve full
or partial balance transfer, with the remaining balance to be transferred to
the dean’s/vice president’s residual balance account.
4.4 The Division of Sponsored Program
Administration will review the documents to verify approval by compliance
committees as appropriate, will establish a residual account, and will
transfer the unrestricted residual balance from the closed sponsored account
to the residual account in the “Other” budget category. The Division of
Sponsored Program Administration will notify the principal
investigator/project director, departmental manager, chair/director, and
dean/vice president that the residual account has been established.
Attachments:
Date: 1 May 2003 | Rev. No.: 05-01 | Rev. Date:
22 December 2005
| No. 7.0.03 |