Simplify Your Life: Overcoming Closeout Anxiety

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Simplify Your Life Overcoming Closeout Anxiety
OVPR Closeout Training April 25, 2006

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THE CHANGING CULTURE OF GRANT MANAGEMENT
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THE CHANGING CULTURE

• Grant money is becoming more competitive
• Sponsors are becoming less flexible about
  agreement requirements
• The University of Delawares culture is changing
  to meet the demands of the sponsors and to remain
  competitive

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THE CHANGING CULTURE

• These changes are manifesting themselves in many
  ways
• More collaboration between institutions
• More collaboration between PIs
• Increase in proposals being sent out
• Fewer grants being awarded
• Monitoring quantity of No Cost Extensions
• Increased oversight (and audits) by sponsors
• Less flexibility at the end of the grant period

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THE CHANGING CULTURE

• Less flexibility means higher expectations
• The consistent expectation is that grants will be
  closed promptly and accurately
• The administrations expectation is that grants
  will be closed in a timely manner
• The sponsors expectation is that grants will be
  closed in a timely manner
• The result of these increased expectations is an
  increased pressure to perform the closeout process

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THE CLOSEOUT CHECKLIST CAN HELP YOU
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THE CLOSEOUT CHECKLIST

• The OVPR closeout team will be presenting
  training on various topics that pertain to award
  closeout
• The first session is on the Closeout Checklist
• Other topics will be partly determined by you
  (please leave your surveys at the door!)
• So, why the Closeout Checklist???

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THE CLOSEOUT CHECKLIST

• We believe that if the items on the checklist are
  completed properly, this will greatly reduce your
  interaction with OVPR at the end of a grant
• The closeout checklist can act as a road map
  during the life of a grant and guide you in the
  management of that grant

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THE CLOSEOUT CHECKLIST

• Just think . . . .
• No more scrambling to do JVs
• Less digging for old or archived receipts and
  reports
• Fewer emails with attached spread sheets junking
  up your Inbox
• Reduced phone calls from OVPR
• Less pressure to get it done on OVPRs schedule
• Who could ask for anything more???
• Yes, the closeout checklist is your friend!! Or
  at least . . . .

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THE CLOSEOUT CHECKLIST

• A good starting point
• Departments that return the checklist with all
  appropriate documentation receive fewer follow-up
  questions regarding their grants
• If the checklist is used consistently it should
  make the work done at closeout time easier
• Going forward, we hope to see the checklist
  returned more consistently and will be using it
  as an instrument to monitor progress in the area
  of grant management and closeout

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So lets get to it . . . .
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FIRST THINGS FIRST

• Checklist can be printed or downloaded from
• http//www.ovpr.udel.edu/OVPR/do/index?pageId77
• Please complete the entire checklist before
  sending it to OVPR
• Boxes stating checking on this or checking
  with PI are not very helpful!
• Finish it and then send it
• Unless you are already working with a specific
  Closeout Administrator, you may send the
  checklist and backup to OVPR, Closeout

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ITEM 1 ON THE CHECKLIST

• FINAL TECHNICAL REPORT

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THE FINAL TECHNICAL REPORT

• Documentation is needed for the closeout file
  that includes the following information
• The date the report was sent to the sponsor
• The name of the person to whom the report was
  sent
• Contact information which may include
• Mailing address
• Phone number
• Email address
• An award number and the period covered by the
  report

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THE FINAL TECHNICAL REPORT

• Examples of acceptable documentation include
• A cover letter addressed to the sponsor
• An email sent to an Award Officer, with header
  info
• A fax that makes reference to the attached report
• SAVE TREES . . . . OVPR does not usually need the
  report itself just proof to show an auditor that
  the report was sent
• Showing an auditor a final report does not show
  the auditor that the report was sent to the
  sponsor

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THE FINAL TECHNICAL REPORT

• If the technical report will be submitted at a
  future date, OVPR will communicate that to the
  sponsor in the Closeout Transmission Letter
• If the award requirements indicate a final
  progress report is due, but the PI states that it
  was not required or that the requirement was
  waived, then something in writing from the
  sponsor is needed for the closeout file

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ITEM 2 ON THE CHECKLIST

• COST SHARE/MATCH

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COST SHARE/MATCH

• Cost share is the institutional contribution to
  the cost of completing a project
• Also referred to as in-kind

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COST SHARE/MATCH

• How do you know if you have committed to sharing
  the cost of a project?
• Check in these places
• The award document
• The COA or Maintenance Sheet from OVPR
• The blue sheet for older awards
• The Proposal Approval Webform
• The proposal narrative, budget, or budget
  justification

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COST SHARE/MATCH

• Sometimes cost share is specifically required by
  the sponsor
• This may be stated in the RFP or program
  guidelines
• It may also be a standing requirement specific to
  a particular sponsor, as in the case of NSF (1
  match on most projects)

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COST SHARE/MATCH

• Preventative Medicine How do you show that you
  have met the cost share requirement?
• Attach a cost share report to the Closeout
  Checklist
• Let us know if all of the match expenses were
  recorded by using the grant project ID, or by
  using a dedicated match purpose
• Reflect any committed effort on the SARs or in
  the Effort Certification System
• Provide the PO for an equipment purchase, where
  the expense breakdown by purpose is indicated

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ITEM 3 ON THE CHECKLIST

• AFTER END DATE CHARGES

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AFTER END DATE CHARGES

• After end date charges ideally should not occur,
  but if they do happen they should be promptly
  removed. Waiting for a new grant purpose code is
  not a valid reason from an audit standpoint.
• If the expense is legitimate, provide a copy of
  the receipt or other documentation that shows the
  original transaction date or date of purchase. We
  need to validate ALL charges hitting after the
  end date.

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ITEM 4 ON THE CHECKLIST

• OVER EXPENDITURES

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OVER EXPENDITURES

• Over expenditures are not allowed and must be
  removed
• Any over expenditures should be addressed in the
  60 days after the grant end date
• OVPR is required to promptly move any over
  expenditures to a departments 1-book
• If correcting transactions have already been
  initiated, let us know on the checklist so that
  these efforts are not duplicated

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ITEM 5 ON THE CHECKLIST

• UNALLOWABLE CHARGES

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UNALLOWABLE CHARGES

• Sources for determining unallowable charges
• Read the award document/agreement review all
  terms and conditions
• Refer to the RFP or program guide this may be
  particularly useful for exceptions
• Review the OMB circular (take a booklet!)
• This is the guiding principal for all federal
  money
• This may also be used by non-fed sponsors
• Ask OVPR
• Ask the sponsor

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UNALLOWABLE CHARGES

• OVPR will question anything that might be
  questioned by an auditor.
• There are unusual occasions when expenses that
  are typically unallowable will be allowed. If
  this is the case, attach adequate documentation
  to the closeout check list for the closeout file.

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ITEM 6 ON THE CHECKLIST

• OUTSTANDING TRANSACTIONS

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OUTSTANDING TRANSACTIONS

• If all legitimate expenses havent hit yet, let
  us know early on
• - For on-campus charges, OVPR may be able to
  help expedite
• - For other expenses you may need to request a
  no- cost extension, so the closeout is not
  late

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ITEM 7 ON THE CHECKLIST

• EQUIPMENT INVENTORY

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EQUIPMENT INVENTORY

• If an equipment/property inventory is required by
  the sponsor or terms of the agreement, please
  provide it as an attachment to the checklist (see
  example handout)
• Equipment Fabrication needs to be capitalized as
  equipment, or moved to a supply expense before
  closeout can be completed

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ITEM 8 ON THE CHECKLIST

• SUBCONTRACTS

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SUBCONTRACTS

• If the subcontractors final invoice has not yet
  been received, please contact them to obtain it
• After the final invoice has been approved by the
  PI and sent to OVPR, we will initiate the
  closeout with the subcontractor
• Is our PI satisfied with the invoices submitted?
• Is our PI satisfied with the results from the
  subcontractor?
• Is our PI satisfied with the reports submitted by
  the subcontractor?
• GMQ_PO_ACTIVITY_SUM query provides the funds
  committed and the expenditures

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ITEM 9 ON THE CHECKLIST

• SALARY JOURNAL VOUCHERS

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SALARY JOURNAL VOUCHERS

• Please ensure that all Salary JVs provide the
  specific dates of the salary being moved
• Good 10/1/03 12/15/04, 5 pays _at_ 875.00 ea
• Bad moving salary for fall 2004
• Any Salary JV that affects an effort period prior
  to 09/01/04 will require a revised Sponsored
  Activity Report (SAR)
• Please let us know that the SAR report was
  revised, or revise it now and return it with the
  checklist
• Effort Certification System (ECS)
• JVs needed for salary after 9/1/04 will require
  that the corresponding effort report be pushed to
  you. The completed JV will automatically update
  the effort report.

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ITEM 10 ON THE CHECKLIST

• FACILITIES ADMINISTRATION EXPENSES

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FA EXPENSES

• Verify that the correct overhead rate was used
• Month End Statement
• Take the total month end expenses
• Subtract out the months overhead
• Take the new amount and multiply by the FA rate
• The amount calculated should match back to the
  months total overhead
• Verify that all FA has hit
• If a transaction has a purpose but not a project,
  FA did not hit the correct project

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ITEM 11 ON THE CHECKLIST

• INVENTIONS AND INTELLECTUAL PROPERTY

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INVENTIONS AND IP

• Verify with the PI if any invention or IP issues
  resulted from the award
• If yes, please provide appropriate documentation
  to OVPR
• If no, please note not applicable

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ITEM 12 ON THE CHECKLIST

• PURPOSE AND PROJECT

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PURPOSE/PROJECT BALANCES

• Why dont my balances match? Why should I care?
• How to find discrepancies
• Compare Project and Purpose Transactions
• Use GMQ_CLOSE_OUT_REPORT (project) and
• EZQ_TRANS_NONBUDGETQUERY (ledger)
• Some discrepancies are more complicated,
• check with OVPR if you get stuck

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ITEM 13 ON THE CHECKLIST

• FINAL EXPENDITURES

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FINAL EXPENDITURES

• Confirm final expenditure total in the provided
  space
• If the award is underspent, please let OVPR know
  there will be no other legitimate expenses
• If the award is overspent, please remove the over
  expenditures, after end date charges or
  unallowable costs

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ITEM 14 ON THE CHECKLIST

• LABOR ALLOCATION MODULE

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LABOR ALLOCATION MODULE

• Please remember to update any LAM entry
  containing the grant purpose AND/OR project
  number this includes match!
• Detailed training information is available at
• http//www.udel.edu/UDFS/info/training/shtmlLAM
• http//www.ovpr.udel.edu/OVPR/do/index?pageId30

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THE END

• Please remember to fill out and hand in your
  surveys
• Please make sure that you signed the attendance
  sheet
• Thank you for coming!