NC State University

(Ex: 11.15.1 or REG 11.15.1)

Sponsored Awards - Expenditures

REG 10.05.12

July 1, 2002 Archived Version (Effective July 1, 2002 through March 2, 2004)

Authority: Vice Chancellor for Finance and Business

History: First Issued: July 1, 2002. Additional History Information.

Contact Info: Assistant Director, Systems and Compliance (919) 515-8018 Office of Contracts and Grants.

  1. Introduction
    2.

    This statement provides the criteria to be used by Colleges/Schools/Departments/Units when performing "preaudit" and compliance reviews to determine whether costs may be charged to sponsored awards.

  2. Rule

    3.
    1. Due to the restrictive nature of sponsored awards, expenditures charged to these projects must comply with all applicable regulations. These regulations will vary with each award, but generally include:

      1. UNC General Administration, State, and University regulations and procedures (travel reimbursements, consulting, payroll, purchasing, etc.),

      2. the University's Cost Accounting Disclosure Statement,

      3. OMB Circular A-21, and

      4. specific Sponsor regulations.

    2. It is the responsibility of each college to perform "preaudit" reviews of all expenditures to sponsored awards to ensure that specific costs comply with all applicable regulations.

    3. The budget as approved and awarded by the Sponsor, along with all policy restrictions must be consulted/reviewed prior to posting expenditures to any given award.

    4. The Prior Approval Request Form should be used to obtain prior approval for specific re-budget issues and other post-award costing requests. For more information on the Prior Approval Request form, refer to Statement No. 6.0.

    5. Expenditures for goods and services should not be made in an attempt to "spend out" a project's available balance.

    6. It is the responsibility of the Principle Investigator (PI) or Project Director to support and justify all direct costs charged to a sponsored award if questioned during an audit.

      7. For more detailed information regarding the allowability of expenditures, and a definition and examples of direct and facilities & administrative costs (including the treatment of administrative and clerical salaries), visit the Contracts and Grants website at www.fis.ncsu.edu/procman-d/d_index.htm.

      For more detailed information regarding OMB Circular A-21, visit the Contracts and Grants website at www.fis.ncsu.edu/cng/reference.htm