Applying
for Sponsored Programs UPPS
No. 02.02.01
Issue
No. 8
Effective
Date: 05/11/2012
Review: July 1 ONY
01. POLICY STATEMENT
01.01 This UPPS provides guidelines for developing
and submitting proposals through the Office of Sponsored Programs (OSP).
02. UNIVERSITY PHILOSOPHY AND DEFINITIONS
02.01 Texas State encourages faculty and staff to
pursue sponsored program activities in their areas of expertise. Because
scholarly activities augment teaching, faculty are expected
to participate in meetings, conventions, and other activities that promote
scholarship and creative work, including applying for and administering
sponsored programs.
02.02 Texas State’s policies apply to all sponsored
programs unless the granting agency establishes exceptions. Sponsor guidance
must clearly identify any policies that deviate. These exceptions may not
conflict with federal or state law or with the Regents’ Rules. The Office of
the Associate Vice President for Research (AVPR) shall determine all conflicts
and mediate all solutions.
02.03 Sponsored Program Definition – Sponsored programs are
activities, sponsored, whole or in part, by sources external to the university
for which there is an expectation (implied or specifically stated) on the
sponsor’s part for performance, deliverable or outcome. The university awards
sponsored programs through various mechanisms—grants, contracts, non-teaching
consulting services, and cooperative agreements, or other legally binding means
of transfer.
02.04 Sponsored programs, identified by the following characteristics,
may support instruction or research activities. A program does not need to
include all elements to be considered to be "sponsored."
a.
Inclusion or allowance of indirect
costs/administrative costs
b. Percentage of faculty time
on project (the sponsor may or may not compensate this)
c. Expectation
of performance or outcome by the sponsor
d. Statement or
expectation of a “quid pro quo” relationship between the university and the
sponsor
e. Specific description of
the proposal or contract activity or work, sometimes known as a Scope of Work
f. A line item
budget is involved
g. A financial
report is required, and the budget or performance is subject to audit
h. All
government funds, exclusive of financial aid
i. All
corporate research contracts, subcontracts or agreements
j. Defined time period for
conducting the work
k. Definition of the manner
for spending funds and what conditions may apply to residual funds
l. Use of
university resources—equipment, space, students—mandate processing through OSP
to determine classification, i. e., does the activity qualify as a sponsored
program and who must approve the use of these resources.
02.05 The following further clarifies definitions
relating to sponsored activities:
a. Grant – A type of
financial assistance awarded to an organization for the conduct of research or
other program as specified in an approved proposal. The proposal typically
defines a scope of work or performance. The sponsor may make an award based upon a competitive review, and
establish performance terms and conditions. The proposal may state these terms
generally, as in many federal awards, or may specifically describe allowable
and unallowable activities and costs. Unless prohibited by sponsor regulations,
individuals involved with the award may modify performance as necessary under
project conditions. The proposal may allow the university to approve such
modifications internally or may require sponsor authorization. A sponsor may
award grants through simple contractual agreements, letters of authorization,
payments of fees, or other similar mechanisms.
b. Contract – A legally
binding arrangement or performance agreement for carrying out a specific
service or procuring a product that entails specific obligations for both
sponsor and recipient. Contracts are a more restrictive mechanism for securing
services than grants, and may specify penalties for non-performance. In a Fixed Cost or Fee for
Service Agreement, one party pays the other party a predetermined price,
regardless of actual costs, for services rendered. In a Cost-Reimbursement
Agreement, the sponsor pays for the full costs incurred for the work conducted
up to an agreed-upon amount, and for which the sponsor generally requires
invoices containing back-up information of costs incurred. In a Percent
Completion contract, the sponsor contracts for completion of specific tasks,
and makes payment upon receipt and approval of a report or other deliverable.
Research,
assessment, specific work performance, instruction, training, or similar activities
are reasons for awarding contracts. Generally, contracts will define specific details
of the legal relationship between the participating entities and will
incorporate the description and cost of the work to be performed either as a
legally binding attachment or embedded in the contract document. A purchase order may
constitute a contract.
The following shall
provide further distinction between the types of awards:
c. Matching
Grant – Some sponsors require the applicant to demonstrate commitment to the
proposed activity by providing funds in support of the overall project costs. Institutional resources
may generate matching funds, either in-kind (donated time, space, equipment
use, etc.) or cash, or the funds may originate from other entities (third
parties).
Cost-sharing has become a major issue in federal
awards. Many programs prohibit cost-sharing. The federal government issued
specific guidance on matching funds and the responsibilities of recipients in
accounting for these funds. Failure to comply may result in loss of revenue associated
with the specifically-funded project, or in general sanctions against the institution.
In cases where cost-sharing is permitted the following are the three types of
cost-sharing:
1) Mandatory – Required by the sponsor and
specifically referenced in the proposal, budget or other submitted document. The institution’s
accounting system must account for the funds.
2) Voluntary Committed – Committed by the
institution in the proposal, budget or other submitted document to enhance
possibility of funding, but NOT required by the sponsor. The institution’s
accounting system must account for the funds. (Note: After award, a proposal
initially submitted with voluntary cost-sharing, converts to mandatory
cost-sharing.)
3) After receiving the award, the university or PI provides more cost
sharing than promised or required. For example, a PI spends more time on the
project than originally projected. The university must track and verify these
funds but it does not enter the funds into the institution’s cost-sharing
system.
The policy of the university is to limit matching to
no more than the minimum required by the sponsor. Inclusion of “Voluntary
Committed” or “Voluntary Uncommitted” funds in proposal submissions must be
approved by the associate vice president of Research and director of Federal
Relations (AVPR).
Funds promised or provided by third parties to a
sponsored program must meet the same reporting requirements imposed on the
institution. The recipient (university)
is responsible for acquiring and maintaining third party matching
documentation. For Texas State, the Principal Investigator (PI) is responsible
for this documentation.
d. Challenge
Grant – A grant that provides monies in response to monies from other sources,
usually according to a formula. A challenge grant may, for example, offer two dollars for every
dollar it obtains from a fund drive. The grant usually has a fixed upper limit,
and may have a challenge minimum below which the sponsor will not create a
grant. This form of grant is fairly common in the arts, humanities, and some
other fields, but is less common in the sciences. A challenge grant differs
from a matching grant in at least one important respect: The amount of money
that the recipient organization realizes from a challenge grant may vary
widely, depending upon how successful that organization is in meeting the
challenge. Matching
grants usually award a clearly defined amount and require the institution to obtain
a specified sum before making any award.
e. Cooperative
Agreement – An
award similar to a grant, but one in which the sponsor’s staff may play an
active role in proposal preparation, and anticipate substantial involvement in
research activities after receiving the award.
f. Non-teaching
Consulting Services – Consulting as an agent of the university is
defined as additional activity beyond duties assigned by the institution,
professional in nature and based in the appropriate discipline for which the
individual receives additional compensation during the contract year.
Consultancy services include addressing the technical and professional needs of
communities, groups, agencies, businesses and other entities outside the
university. Consulting services are NOT sponsored programs unless the
university is the direct recipient of funds, and liable for the conduct of the
activity performed by the university employee. In this instance, it is
essential that these contracts are managed as sponsored programs, in that they involve
coordination of faculty time and effort reporting, and determination of
appropriate overload policy interpretation.
g. Training, Workshops,
Non-Credit Teaching – Proposals for conducting training, workshops or non-credit teaching
functions are considered sponsored programs if they meet any of the
above-stated criteria.
NOTE: The director of Continuing
Education may propose activities meeting the above criteria in the same manner
as other sponsored programs. The OSP will review, process and submit proposals on
behalf of that unit as with other colleges and schools. The same distribution as
other units will apply to indirect costs generated from these sponsored
activities.
h. Gift – A
flexible, irrevocable award of money, equipment, or other property provided by
a donor with few or no conditions specified. Frequently, developing programs use gifts to
support developing programs that do not receive other funding. Because gifts
meet the determination of having no “quid pro quo” relationship with the
university, University Advancement handles them.
A gift to an
organization implies no responsibility to provide the donor a product, service,
technical or scientific report, or intellectual property rights. The donor may specify the
fund use (as into a specific scholarship fund) or may allow the recipient to
use the gift in meeting the needs identified by the organization.
i. Research
gift – A gift for research generally must meet the following conditions:
1) Funds are
awarded irrevocably;
2) The donor
does not impose restrictive contractual obligations;
3) There is no
commitment of direct project personnel effort to accomplish the research; and
4) The funds
are designated for scholarly endeavors.
The university may consider a research gift a sponsored project
pending discussions with University Advancement.
j. Endowment – A fund
usually in the form of an income-generating investment, established to provide
long-term support for faculty or research positions (e. g., endowed chair). Recipients may not
consider an endowment a sponsored activity.
k. Internships – An
externally-supported opportunity for an individual (student or faculty member)
to engage in an extended learning activity. If the university receives internship funds
and the funding mechanism contains specific details concerning the intern’s or
institution’s obligation, the university must treat the activity as a sponsored
program, subject to internal approval, and submit it as such.
l. Congressional
or Legislative Allocations – In certain circumstances, federal or state governing
bodies may directly appropriate funds to the university for specific purposes.
It is important that the purpose of these funds represents the intent of the
funding entity. In the case of most federal and state appropriations, the most
common conveyance mechanism is to attach these funds to an existing agency
program, and to request a proposal describing how the university will utilize
these in keeping with the general intent of that specific program’s mandate. The university then
receives the award from the agency. In this circumstance, the federal or state
regulations and restrictions applied to all recipients of funds under that
agency program apply to the use of funds awarded to the university. For this reason, proposals
requesting support under direct appropriations become sponsored programs to
facilitate proper accounting and management.
02.06 E-Verify Definition – E-Verify is an
Internet-based system that requires an employer, using information reported on
an employee’s Form I-9, Employment Eligibility Verification, to determine the
eligibility of that employee to work in the United States. There is no charge
to employers to use E-Verify. The Department of Homeland Security, in partnership with the
Social Security Administration, operates the E-Verify system.
03. PROCEDURES FOR APPLYING FOR GRANTS AND
CONTRACTS
Faculty and staff wishing to submit a proposal to an
external funding source should confer with their chair, director, or dean to
discuss the proposal plans, particularly when the proposal involves committing
university resources (e. g., additional space required, renovation, cost
sharing). OSP serves as the next point of contact for faculty or staff
seeking external funds. When the commitment of
university resources (cost-sharing or cost-matching) requires additional space
or additional staff (including post doctoral research associates) for the
project’s completion, the PI must notify their chair, director or dean.
03.01 The associate vice president for Research and
director of Federal Relations (AVPR) is responsible for submitting proposals to
public and private funding agencies, except for proposals that require
submission by the Development Foundation.
03.02 Faculty
and staff must submit all proposals for research or sponsored programs (whether
for grants or contracts) through OSP. They must submit all proposals for
permanent endowments, certain types of scholarships, and capital improvements
through the vice president for University Advancement. Proposals for research
or sponsored programs (whether for grants or contracts) required to be
submitted through a 501C3 organization may be submitted through OSP via the
Texas State University Research Foundation. Proposals not submitted through
proper university channels are subject to recall at the AVPR’s discretion.
03.03 The AVPR will build opportunities by
developing partnerships between departments, collaborating with other
universities and industries, and establishing affiliations with potential
funding agencies as well as the U.S. Congress.
03.04 Proposal
Preparation
a. Deadline
– OSP must
receive the complete proposal package (including a complete budget, narrative,
executive summary, and all required sponsor forms) no later than three working
days prior to the submission deadline or the OSP will not guarantee proposal
submission. See the site below for a comprehensive description of the
three-working-day rule: http://www.txstate.edu/research/avpr/policies/contentParagraph/0/content_files/file/Three%20
Working%20Day%20Rule.pdf
b.
Changes to Completed Proposals Prior to
Submission – OSP
will update changes submitted within the three-day review window at its own
discretion. OSP reserves the
right to effect changes to bring the proposal into compliance with program
guidelines and will inform the PI in writing of changes made prior to
submitting the proposal.
c.
Only the following are eligible to serve as a PI on
a sponsored program: (1) full-time tenured and tenure-track faculty; (2)
full-time research faculty; (3) certain directors of research program centers
or institutes; and (4) full-time staff employees. The college dean or the AVPR
may approve exceptions to this policy.
d. University
faculty and staff who wish to submit a proposal to an external funding source
are encouraged to contact their chair, dean, or director to discuss the
proposal plans.
e. The
PI of the project must contact OSP by submitting a Proposal Notification Form
(PNF) found on the OSP
website to begin working with OSP on budget development and initiating the
internal routing process. Please note: the PI must
submit one PNF for each proposal prepared.
f. Other
responsibilities of the PI include the following:
1) The
PI bears the primary responsibility for the accuracy of all material in the
proposal and for compliance with all federal, state, private, Texas State University
System, and Texas State regulations such as those relating to scientific
misconduct in research, disclosure of financial conflicts of interest, and
management of human research subjects or lab animals. He or she has the
responsibility to become informed about those regulations, with guidance from
OSP and the Office of Research Compliance.
2) Loading the proposal information (with the help of OSP)
into the Grant Application Management System (GAMS) for internal routing.
3) Developing and verifying all
financial data with OSP prior to routing the proposal. OSP will determine that the requested facilities and administration costs
conform to the university’s federally-negotiated rate or the maximum allowed by
the funding source. PI’s are not authorized to negotiate sponsored
program agreement terms with prospective funders. The AVPR must approve all
deviations from the specified sponsor rate or federally-negotiated rate in
writing.
4) Identifying
all requirements for space needed to operate the contract or grant. If the needed space is not available, and
under the control of the department chair, the dean must identify available
space under control of the college. If
space is not available within the college, the PI must add a request for rent
or lease funds in the contract or grant budget to obtain space. If the sponsored program’s success requires space, the PI
must arrange, at the department or college level, for additional space before
submitting the proposal to the Office of Sponsored Programs. Please see UPPS No.
08.01.01, Scheduling of University Facilities and
UPPS No.
01.03.01, Space Management.
5) Determining, with OSP’s assistance, which university review
boards must review proposal methodology or protocols for compliance with state
and federal guidelines concerning research activities. The PI must meet all
compliance requirements prior to expending
funds. Relevant university review boards include, the
Institutional Review Board on the Use of Human Subjects in Research (see UPPS No. 02.02.03, Protection
of Human Research Subjects) and the Institutional Animal Care and Use Committee
(see UPPS No. 02.02.05,
Animal Care and Use Policy). For information regarding export controls, see UPPS No. 02.02.10,
Embargoes and Export Control Laws and Regulations and biosafety, see http://www.txstate.edu/research/orc/biosafety.html.
6) Identifying, with assistance from OSP, any technology
needs. The PI must notify OSP and the vice president for Information Technology
of requirements related to hardware or software procurement or technical
support required of Technology Resources or Instructional Technologies Support.
7) Ensuring, with the help from IT Security, that sensitive,
restricted and confidential data collected, stored, and reported in conjunction
with the grant or contract receive the appropriate protections. To meet
this responsibility, the PI should become familiar with the data classification
guidelines in Section 04.08 of UPPS No.
04.01.01, Security of Texas State Information Resources and at http://security.vpit.txstate.edu/policies/data_classification.html.
8) Identifying
the amount and source of matching funds, both monetary and in-kind, as well as
making sure that the account manager for these funds has approved the pledge through
the internal routing process or in writing. The
sponsor must approve and the AVPR must approve in writing, pledges of indirect
cost as all or part of a match.
9) Ensuring,
with help from OSP, that the proposal complies with pertinent state, federal,
or university policy such as those relating to scientific misconduct in
research or disclosure of financial conflicts of interest, coordination of
financial aid, and management of human subjects and lab animals.
10)Ensuring,
with help from OSP, that the proposal complies with Affirmative Action
regulations and that it meets any other regulations that might apply, such as
those mandated by Section 504 of the 1973 Rehabilitation Act, the 1990
Americans with Disabilities Act, and other relevant federal and state laws
pertaining to persons with disabilities.
11)Identifying,
with assistance from OSP, any facility and infrastructure needs. The PI must
notify the vice president for Finance & Support Services and the associate
vice president for Facilities of facility, infrastructure and utility
requirements as well as obtain planning, design and cost estimating support.
For additional guidance refer to UPPS No.
01.03.02, University Construction Policy.
g. Responsibilities
of the Office of Sponsored Programs
1) When OSP receives
proposals in the required format and by the deadline as specified in Section
03.04 a. above, it shall:
a)
Review
each proposal submitted for completeness and appropriate use of institutional
assumptions to the best of its ability;
b)
Return the proposal to the dean if there are any questions
regarding the proposal’s completeness or with appropriate use of institutional
assumption; and
c)
Upon approval by all
required parties by the deadline as specified in Section 03.04 a. above, submit
the proposal for consideration to the potential sponsor.
2) In the event that OSP
receives the proposal in an incorrect format or past the deadline as specified
in Section 03.04 a. above, OSP shall submit the proposal on behalf of the PI
and the university. The university shall retain the right to rescind, recall or
otherwise remove the proposal from the sponsor’s funding consideration. The OSP
staff is not responsible for delinquent or missed proposal submissions when it
did not receive the proposal in the proper form or by the specified deadline.
03.05 Timeline
– The PI must allow enough time for adequate review of the proposal by the
chair, dean, or director. The PI should initiate
internal routing in the Grant Application Management System (GAMS) with a
finalized budget and Scope of Work at least three working days prior to the
submission as specified in Section 03.04 a. above (also see Section 04. below).
03.06 Special
Consideration – After receiving an award and before
employing faculty, staff, or students on that award, the PI must follow all
university Human Resources policies and procedures for current and future
staff.
04. REVIEW PROCEDURES
04.01 PIs,
with the help of OSP, must receive approval for their proposals by releasing
their proposal for routing and approval through the GAMS proposal management
system. The proposal should be complete, including at a minimum:
a. An
abstract or narrative,
b. Complete
budget, and
c. Completion
of the internal processing form.
05. NOTIFICATION PROCEDURES
05.01 The
funding source may send the notification of acceptance or rejection to any of a
number of different locations. The office receiving the notification must
forward it to OSP. Failure to do so will delay establishment of a Texas State
account for accepted grants.
05.02 The
action required as a result of the rejection of a proposal varies from one
proposal to another. Therefore, the PI or OSP will determine the proper
individuals to notify concerning the rejection notification.
05.03 When the potential funding source is a corporation or
foundation, OSP will notify University Advancement for submission clearance as
well as funding results.
06. AWARD IMPLEMENTATION
06.01 A sponsored program is not
operational until the funding document is signed by all those required and the
PI approves all terms and conditions.
Awards at Texas State are made to the university and are not personal grants or
contracts to the PI. Only the president or his or her designee can obligate the
university and are the only persons authorized to sign a grant or contract. Before making a commitment, financial or otherwise, the
university must receive a signed copy of the contract or a formal award in
writing or the funding source must guarantee the director of OSP that such
award is in transit. If a PI deems it
necessary to begin work prior to receiving an executed agreement, the PI can
establish an expenditure account in accordance with UPPS No.
02.02.02, Sponsored Programs --Post Awards, Section 05.03. In the event that a PI or other unauthorized individual or
contracting official signs a contract or award with a funding source, the
university may hold that individual personally liable for any expenditure or
obligation of university resources to the subsequently invalid contract or
award. Additionally, the university may take disciplinary action against
that individual including revocation of the individual’s status as a PI.
06.02 Acceptance
of the award constitutes a commitment by the PI to comply throughout the grant
period with all policies of The Texas State University System, university, all
state and federal regulations, and all funding agency requirements. If the PI does not comply, the AVPR or the OSP director
will ensure that the university fulfills its contractual obligations under the
award’s terms. These steps may
include removing the PI from the grant or contract and prohibiting him or her
from future work as a PI.
06.03 When the OSP receives the award notification, the director
and staff will review the agreement’s financial terms and seek the PI’s written
approval. Upon PI approval, OSP will establish a Texas State account. In
the event that terms are not satisfactory, the director of OSP will attempt to
renegotiate the terms and conditions of the award. If negotiations are not
successful and the terms are considered unacceptable, the AVPR may reject the
award on behalf of the university.
06.04 The university will not reimburse individuals for
expenditures from any source other than the appropriate Texas State account,
even prior to the establishment of a Texas State account, as these are personal
liabilities of the person making the expenditure. Exceptions due to
extraordinary circumstances require approval of the director of OSP.
06.05 When OSP receives an approved federal contract
containing the E-Verify clause (73 FR 6770), it will
notify the PI associated with the contract, who will then contact Human
Resources to provide instructions.
06.06 Refer to UPPS No. 02.02.02, Sponsored Programs -- Post Award,
for policies regarding managing an awarded grant.
07. REVIEWERS OF THIS UPPS
07.01 Reviewers
of this UPPS include the following:
Position Date
Associate Vice President for Research July 1 ONY
and Director of Federal Relations
Director, Office of Sponsored Programs July 1 ONY
08. CERTIFICATION STATEMENT
This
UPPS has been approved by the following individuals in their official
capacities and represents Texas State policy and procedure from the date of
this document until superseded.
Associate
Vice President for Research and Director of Federal Relations; senior reviewer
of this UPPS
Provost
and Vice President for Academic Affairs
President