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Sponsored Projects Manual

Table of Contents

 
 
Chapter 1:
Chapter 2:
Chapter 3:
Chapter 4:
Chapter 5:
Chapter 6:
Chapter 7:
Chapter 8:
Chapter 9:
Chapter 10:
Glossary of Terms  

Introduction

Marist College encourages and supports qualified members of the College to seek external funding in support of their own professional interests and the College's mission. These activities contribute to the continuous renewal and development of the faculty and staff, to the education and motivation of undergraduate and graduate students, and to the enhancement of the community. Recognizing that the current climate of external funding is highly competitive, the College is committed to assisting faculty and staff who actively pursue sponsored project support.

Every proposal for external funding has the potential to become a legal document that binds the College to comply with the terms required by the funding agency. When a proposal is submitted to a sponsor, the College is the legal applicant, not the author of the proposal. When an award is received, the College, on behalf of the Principal Investigator, accepts it. Given the high level of responsibility placed upon the applicant in adhering to the requirements related to an award, it is important for the author of a proposal to become familiar with the policies and procedures contained in this manual.

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Acknowledgements

The information in this manual reflects the hard work of the members of the Marist College Grants Task Force as well as the combined knowledge and experience of many colleagues in the profession of sponsored project administration at other colleges and universities. Task Force members Erika Blossom, Nancy Cervone, Pau-San Haruta, Karen Hinton, Sheila Jasalavich, Richard Lewis, Tom Lynch, Vicki Mullen, and Tony O'Brien assisted me in developing a comprehensive document that serves as an overview of the grants process. In addition, the courses and seminars offered by the National Council of Research Administration (NCURA), the Society of Research Administration (SRA), and Management Concepts, Inc. were invaluable to the development of this manual. The following resources were very helpful in devising Marist's manual and policies related to sponsored projects.

Finally, special thanks are extended to Gloria Rote of PriceWaterHouseCoopers for all her support and guidance.

Donna Berger
Office of Academic Grants

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Definition of Sponsored Projects

A sponsored project or program is a signed award (grant, contract, or cooperative agreement) under which the College agrees to perform a certain scope of work, according to specified terms and conditions, for a specific budgeted financial compensation. Sponsored projects are supported by external funds awarded to the College on behalf of a full-time faculty or staff member and include one or more of the following conditions:

  • commitments regarding the level of personnel effort, items of output, or achievement of specific performance targets
  • specific performance or outcomes
  • formal sponsor application guidelines
  • restrictions on the use of funds
  • a specific project period
  • specified use of program outcomes or data
  • required fiscal and/or technical reports
  • rights to data produced
  • representations regarding the College's adherence to regulations such as civil rights, lobbying, etc.

Excluded from this definition are:

  • student financial aid
  • gifts and bequests to the College
  • donations of equipment or property

Unlike sponsored projects, a gift to the College is a unilateral transfer of money, property, or other assets by a donor who makes no claims on the recipient in connection with the gift. Gifts normally have the following characteristics:

  • There are no reporting requirements or other deliverables.
  • Restrictions on use of the gift are minimal, if at all, designated for the university, a unit, a program, or an activity.
  • Funds may be commingled with funds from other sources.

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Types of Sponsored Projects

Sponsored projects fall into several general categories, which serve as a guide for the particular design of a proposed project. Specific guidelines from the sponsor may provide details for a particular program, but the determination as to what "type" of sponsored project is envisioned by the sponsor is an important early step in designing appropriate and competitive project strategies, such as goals, methods, and structure. Types of sponsored projects include:

  • Research, involving any activity specifically organized to produce research outcomes.
  • Education and Training, involving any activity that is part of an institution's formally organized instruction program.
  • Public Service, involving any activity that provides non-instructional services beneficial to individuals and groups external to the institution.
  • Scholarships and Fellowships, involving any scholarship or fellowship in the form of grants, trainee stipends, prizes, and awards for individuals enrolled in formal course work.

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Sponsors of Funding

There are several different sources of external funding. The method of communication, format of the proposal, and representations contained in the budget and elsewhere in the proposal will vary depending upon the type of sponsor. General categories of support are outlined below.

Government

Federal, state, and local governments provide support for various sponsored projects. Examples of federal funding sources include the Small Business Administration (SBA), Environmental Protection Agency (EPA), National Institutes of Health (NIH), National Endowment for the Humanities (NEH), and the National Science Foundation (NSF), as well as the US Departments of Agriculture (USDA), Commerce (DOC), Defense (DOD), Education (USDE), Energy (DOE), and Interior (DOI). Examples of state funding sources include the New York State Department of Education and Empire State Development Corporation.

Foundations

Private, corporate, and community foundations are another source of funding support. Many foundations have very small staffs, so communicating with them can sometimes be difficult.

However, foundations can be an excellent source of funding, if applicants have innovative ideas that are consistent with the mission of the foundation. Most foundations restrict their support to very specific areas of interest, so obtaining a foundation's published annual report or funding guidelines when available can help researchers determine particular funding opportunities. Providing a foundation with a brief concept paper (e.g. two to three pages) of proposed activity is often an important first step in seeking sponsorship.

Business and Industry

Often overlooked by academic researchers, business and industry can be important funding sources. Business/industry support may include cash funding and/or in-kind contributions of expertise, service, equipment, or materials. Not only can business/industry provide support or partial support for a new project, but academic-business/industrial partnerships can also establish a basis for seeking additional funding from federal agencies or other sources, especially those requiring or rewarding such partnerships.

Proposals to businesses often originate with the proposer. When guidelines do not exist, extensive communication with the business/industry representative is crucial in determining project goals and expectations. Proposals are often much shorter and simpler than those submitted to federal agencies, although the resulting legal agreement can be quite complex. Business/industry agreements often contain special clauses covering such things as publication rights, patents, nondisclosure of proprietary information, and indemnification.

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Types of Proposals

Any proposal, whether solicited or unsolicited, must obtain prior approval before submission to a sponsor. (See Procedures for Proposal Processing and Submission.)

Solicited Proposals

A solicited proposal is an offer submitted in response to a request by a sponsoring agency for research or other services on a specified subject. Government solicitations are typically in the form of a Request for Quotation (RFQ), Request for Proposal (RFP), or a Request for Application (RFA). A solicitation is a full statement of the work to be performed and may include the requirements of the proposed agreement, including terms and conditions. The proposal can be accepted by the sponsor to create a binding agreement either following negotiations or without discussion. Special consideration should be given to a solicitation's terms and conditions. It is important to provide the Academic Grants Office with a copy of the solicitation well in advance of the proposal deadline. There may be budgetary requirements and/or limitations such as total project cost, percentage of effort, equipment needs, explicitly restricted budget categories, required travel, Facilities and Administrative (F&A) cost limitations, period of performance, or cost-sharing. Adhering to the solicitation's guidelines is crucial, as a specific budget format and level of budgetary detail and/or justification may be required.

Unsolicited Proposals

An unsolicited proposal emanates from the initiative and imagination of the principal investigator. However, its realization as a formal request to a sponsor for support is subject to several factors that should be explored. The principal investigator should ascertain, primarily through preliminary inquiries, the degree of interest sponsors have in supporting the proposed work and the extent to which they can do so financially. The format suggested under Letters of Inquiry and Pre-Proposals is typical of most unsolicited proposals. But, the principal investigator should check with the Academic Grants Office to determine if the sponsor has specific forms and instructions for proposals that need to be used. (See Contacting Sponsors for strategies on dealing with corporate sponsors.)

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Basic Types of Sponsored Project Agreements

The type of sponsored project award grant, contract, or cooperative agreement is an indication of general program requirements regarding the sponsor's role in the program, the Principal Investigator's responsibilities, the nature of expected outcomes, the payment method and schedule, and the use of program results or data. The particular program requirements for each sponsored project are specified in the award document.

Grants

Generally, the grant mechanism is used when the sponsor is not seeking immediate benefit for itself but is simply providing support for work initiated by the principal investigator. As a general rule, grants contain fewer restrictions than do contracts or cooperative agreements. Grant recipients make no guarantees other than that work will be done as described in the proposal and good management practices will be followed. The proposal incorporates the conditions outlined in the sponsor's guidelines, and the sponsor will typically not impose further restrictions. The sponsor expects to receive reports, but not to supervise the program. The sponsor usually does not place limitations on the use or publication of program results.

Grants are generally made for a specific period, often for multiple years. However, the granting sponsor usually disburses funds on an annual basis. The Principal Investigator may be required to submit a continuation application as each subsequent grant year approaches in order to report program activity and assure the agency that the work is being performed in accordance with the plan outlined in the original proposal. Usually, a grant renewal, as opposed to a continuation, requires submission of another proposal that is competitively peer-reviewed.

Contracts

While all sponsored project agreements are contracts, sponsors commonly use the term "contract" to refer to an agreement for the procurement of products or services. The contract establishes an agreement between the sponsor and recipient to acquire, by purchase, lease, or barter, property or services for the direct benefit of the sponsor. Generally, contracts specify deliverables within a specified project period. Almost always, these deliverables are tangible items and/or services rather than basic research or project outcomes. Contracts are consequently much more formal and specific than grants. Through contracts, a sponsor stipulates its needs, and the recipient and the sponsor come to an agreement. The process sometimes involves bidding and competitive negotiations. Strictly speaking, contracts do not have a principal investigator. Instead, a proposer describes a work plan and the costs needed to produce a product or service. Contract negotiation is more likely to involve discussion of proposed provisions restricting the publication or other use of research data, or clauses affecting potential patent rights and licensing agreements than is grant negotiation. Contracts also can require frequent and detailed reporting. In a contract arrangement, the sponsor is actively involved in overseeing the progress and direction of the project. It is recommended that applicants attend a bidder's meeting with government representatives before writing a government contract proposal.

Contracted Corporate Support

Contracted corporate research or services are somewhat different from that for grants. Most contracted corporate research is the result of independent faculty contact with colleagues and former students in industry. Several aspects of corporate contracting are different from government grants program. For instance, there is usually no formal peer review of proposals, and considerably fewer regulations and restrictions are placed upon principal investigators in the pursuit of their research. Corporate funded research projects must focus on the research needs of the sponsor.

Cost-reimbursement

A cost-reimbursement agreement provides payment for allowable costs incurred in the performance of the agreement, to the extent prescribed, and establishes estimates of total cost for the purpose of obligating funds and establishing ceilings that Marist may not exceed. A cost-reimbursement agreement is used when the uncertainties of performance are such that costs cannot be estimated with enough certainty to permit use of a fixed-price agreement.

Fixed-price Agreements

Fixed-price agreements set a firm price for the sponsor for which the contractor (e.g. Marist) bears full responsibility. A definite price is agreed upon before the award, and the price remains fixed for the life of the agreement and is not subject to further adjustment. Fixed-price agreements are generally used when reasonably definite specifications, either functional or detailed, are available and when fair and reasonable prices can be estimated and established. They are often used when dealing with corporate sponsors. Such a proposal specifies a set or "fixed" price for a performance of work on an agreed set of specified deliverables, but does not contain details of the budget. The detailed budget is kept internally by the College for cost accounting purposes only. In these types of agreements, sponsors agree to the scope of the work to be performed, with an agreed upon value, but provide no details of how the funds are to be spent on personnel, supplies, equipment, travel, or facilities and administrative costs. Further, in such fixed-price agreements, should any funds remain at the conclusion of the project, the residual funds may be retained by the College. Cost overruns, however, are not reimbursable.

Such agreements are usually more restrictive in nature than cost reimbursement agreements, and are tied to a specific task-oriented work statement. Because a strict limit is imposed on spending, special care is needed when preparing the budget to ensure that the College is in the best possible position to fulfill its proposed obligations. It is especially important to ensure that all reasonable costs are included, since the sponsor is unlikely to reimburse any additional or unforeseen expenditures.

In both fixed-fee and cost-reimbursement contracts, prior approval from the sponsor is required in order to increase the amount of the award.

Subcontracts

A subcontract is a written agreement between Marist College and a third party, sometimes issued under a sponsored project agreement to procure substantive programmatic effort. A subcontract generally involves services of a relatively long period (a year or more), compared to a consulting or independent contractor agreement which is typically used to hire an individual to perform a specific service of short duration. Subcontracts, like contracts, may be either fixed-fee or cost-reimbursement arrangements. Subcontract proposals are treated in the same way as any other proposal to an off-campus sponsor. (See Procedures for Proposal Processing and Submission and Consortium/Partnership Submissions.)

Cooperative Agreements

An agreement that combines elements of both a grant and a contract is known as a cooperative agreement. In a cooperative agreement, as with a grant, the sponsor is not seeking immediate benefit for itself (though it may expect to see "immediate benefit" for another entity). As with a contract, the sponsor expects to have some involvement in the project.

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Proposal Development

Sponsored projects vary significantly according to the types of funding sources, the types of projects funded, and the types of sponsored project awards, but whatever the nature of the individual project, successful application for and management of sponsored projects require the coordinated efforts of individuals and departments throughout the College.

The Academic Grants Office can help locate funding sources, secure application forms, and assist in the completion of the application. The office subscribes to a variety of publications and databases on funding priorities for federal and nonfederal sources.

These are some steps that faculty and staff should take before looking for a sponsor.

  • Survey the existing literature on the proposed topic. What have others already done and what are they currently doing? Be able to explain how the project idea will contribute to existing knowledge.

  • Decide how the project links to long-term research/professional/organizational goals.

  • Determine how long the project will take. What will the timetable look like?

  • Make sure that the project is doable. Do the appropriate resources exist at Marist College to support the project? Who else will need to participate?

  • Read the Procedures for Proposal Processing and Submission section of this manual.

Answering these questions before getting waist-deep in the proposal process will prevent spending time on an unfundable project and will help to prevent any unnecessary surprises or snags along the way.

Depending upon the type of sponsor, the format of the proposal and the time required for proposal development will vary. The budget categories outlined in this manual are used as a guide in developing all budgets for sponsored projects. Unless required by the sponsor, a detailed budget need not always be submitted to the sponsor; however, all proposals are required to have a complete budget that can be routed for approvals during the internal review prior to the proposal s submission to the sponsor. Sponsor guidelines should be followed verbatim if available.

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Finding a Sponsor

Finding a sponsor that has an interest in a particular project among all the possibilities can be a daunting task. The Academic Grants Office can help streamline the process by helping faculty find a potential sponsor for a noteworthy idea. Through electronic sources, the Academic Grants Office assists faculty with funding searches.

The College subscribes to two electronic databases containing thousands of sponsors: Sponsored Projects Information Network (SPIN), an online database of funding opportunities - federal, nonfederal, and corporate that can be used for identifying funding for research, education, and development projects, and The Foundation Center's Database on CD-ROM. These databases are comprised of thousands of potential sponsors. Automatic search results from SPIN can also be e-mailed daily to faculty. Faculty and staff interested in obtaining e-mail alerts on funding opportunities are encouraged to register their academic profile on the Global Expertise Network for Industry, Universities, and Scholars (GENIUS).

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Contacting Sponsors

Once a sponsor is identified, it is usually appropriate to make contact with the sponsor. Essentially, this initial contact is to let the sponsor know about the project idea and to find out if it is worthwhile to submit a proposal. Some sponsors have staff that are researchers themselves and can give some helpful input on the project.

Some agencies prefer to be contacted in writing; others can be contacted by phone or e-mail. Most foundations discourage phone calls and prefer a letter of inquiry. (The agency information will usually suggest its preferred method.) A letter of inquiry should be only one or two pages but include concisely all information in the proposal outline.

Dorin Schumacher's book titled Get Funded: A Practical Guide for Scholars Seeking Research Support from Business (1992) is an excellent resource for faculty seeking strategies for funding and making contact with corporations. (A copy of Schumacher's book is available in the Academic Grants Office.) She suggests the following activities to get started:

  • At professional meetings, make it a point to seek out people from companies.

  • Collect participant's lists from previously attended meetings; check all corporate names.

  • Get to know any corporate people on the committee you serve on.

  • Get information from professional associations about any committees that have both university and corporate members. Ask for lists of committees and members. Call up the chair(s) and ask to be put on the committee of choice.

  • Register with industry liaison offices; give them descriptions of current research interests; ask for names of potentially fruitful corporate contacts.

  • Ask the departmental secretary for an alphabetical-by-place of employment listing of all departmental graduates. Check names of companies.

  • Talk with colleagues about the companies they work with or know about. Ask about company interests.

  • Meet with the director of Center for Career Services. Ask for a list of companies that recruit on campus and a schedule of visits for the semester. Check the ones you would like to know more about. Send a memo to a director, requesting that arrangements be made for you to meet with the recruiters from those companies when they come to campus.

  • Get to know the corporate people supervising students. Call them up and discuss possible placements. Offer to visit them; invite them to visit you.

  • If you are not teaching continuing-education courses for companies or are not attracting corporate employees to the ones you do teach, contact the Office of Graduate and Continuing Education for assistance. Ask for success stories.

  • If you are teaching continuing education courses for companies or company employees, make it a point to get to know students from companies you think you would have an interest in.

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Preliminary Inquiries

Some type of informal communication, either a telephone call, personal contact or written correspondence, should precede submission of the full proposal. A preliminary inquiry permits the sponsor representative to examine the idea for consistency with the purposes and priorities of the sponsor. This can save the principal investigator (PI) time and effort if the sponsor is either not interested or the project is ineligible for funding under the terms of a particular program. Frequently, in the latter case, other programs or agencies may be suggested to the PI.

Letter of Inquiry and Pre-Proposals

Some sponsors, especially foundations, require a letter of inquiry. Certain government sponsored projects require letters of intent or pre-proposals prior to submission of a formal proposal, but most do not. Nevertheless, a letter of inquiry is an effective way to initiate contact with public and private sponsors.

Unlike formal proposals, there is usually no required format for preliminary inquiries. However, they should be short, preferably 2-5 pages, and include the following:

  1. TITLE - Select an appropriate, concise but descriptive title, suitable for indexing.

  2. STATEMENT OF THE PROBLEM/PROJECT - At the preliminary stage this is the most important section and it should:

    1. demonstrate a precise understanding of the problem or need;

    2. indicate the project's relationship to a larger set of problems and justify why this particular focus has been chosen;

    3. establish the importance and significance of the problem, especially to a national audience;

    4. signify the potential generalizability and contribution of the project;

    5. establish a theoretical or conceptual base for the project; and

    6. justify why the problem should be of interest to the sponsor.
  1. PROJECT OBJECTIVES & METHODOLOGY - This should be a brief description of the research design or approach to the problem, emphasizing any innovative features and a schedule for the project.

  2. BUDGET - Costs should be calculated precisely, but only major budget categories should be included at this time. Also major items of equipment or other unusual expenditures should be included and justified, if they are critical to the project. (The Academic Grants Office should be involved in developing the preliminary budget to assure that it follows Marist and sponsor budget guidelines and is not significantly different from the budget submitted with the formal proposal.)

  3. CURRICULUM VITAE - Only a brief vita should be included to identify the principal investigator.

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Proposal Format for Solicited Proposals

In the absence of any instructions or a required format, the following format is recommended for solicited proposals that do not have published guidelines:

Title Page Personnel
Abstract Dissemination
Table of Contents Continuation
Introduction References
Literature Review Bibliography
Project Description Budget
Evaluation Appendices
Facilities & Equipment Collaborators

Title Page

Many sponsors have their own self-explanatory format for a title page. In the absence of a required format, the page should include the name, title, address, phone number and email of the principal investigator or project director, a descriptive project title, and date of submission.

Abstract

Every proposal should include an abstract, which is a concise summary (approximately 200 words) of the project's major objectives, procedures to be used and its significance. Prepared after the proposal is written, the abstract is designed to give the reviewer a quick overview of the project and should be on a separate page at the beginning of the proposal.

Table of Contents

The table of contents is prepared for the convenience of the reviewer if a proposal has many sections. List only the major sections of the proposal and give page numbers where each section begins. If a proposal is very long, the table of contents may be supplemented with a list of illustrations, figures, or tables.

Introduction

An introduction is needed only in very long, complex proposals. The introduction should assist the reviewer -- often the initial administrative reviewer, who may direct the proposal to the sponsor's proper study section -- in grasping the full significance of the proposed project. Therefore, the introduction should be clear to an informed layman. It should place the project problem in a context of common knowledge and show the importance of the project.

Literature Review

The problem or need posed and methods for addressing it must be substantiated by the literature. This is the section where the principal investigator illustrates knowledge of and credibility in the field. Citations of relevant work as well as dissenting viewpoints should be used to demonstrate knowledge of the most recent work or findings in the field. Since it is possible that the proposal could be reviewed by someone who has published in the field, omission of pertinent references can have negative results. Citations should be compiled in a bibliography at the conclusion of the project narrative.

Project Description

The project description is the heart of the proposal and should be prepared with special care. It should be a comprehensive explanation of the proposed project, not addressed to lay people but to specialists in the field. This section may be broken down into four subparts -- problem or need, significance, objectives, and plan of work.

  1. Problem/Need -- A proposal is generally accepted to be an identification of a problem and a solution, or plan, that will solve that problem. With this in mind, the beginning of the proposal should define the need or problem that the project will attempt to solve and explain how the proposed approach will build upon other efforts. Citing other sources, statistics and studies can be an effective way of emphasizing the significance of the problem or linking projects to a larger issue or national need. The problem statement should relate to the larger goals of the sponsor.

  2. Significance -- The proposed project's contribution to current knowledge in the field, its relation to work in progress elsewhere, and its place among the long-term goals of the principal investigator should be stated clearly and emphatically.

  3. Objectives -- With a problem or need defined, the next section of your narrative should explain the objectives to be reached in solving this problem. Objectives should not be expressed as merely a goal, but as a definable project outcome. They can include changes in behavior, changes in performance, changes in a process, or some other sort of tangible result of the project. Objectives should answer the following questions:

    • Who?

    • Is going to do what?

    • By when?

    • To what degree?

    • As measured by what?
  1. Plan of Work -- This section should include a broad design of the work to be undertaken and detail methods and procedures. The plan of work should reinforce the budget requested. Management and staffing plans are also critical components for projects involving multiple investigators and/or collaborations with investigators at other institutions. A timeline can be a very valuable tool to help the reader see exactly what will be done. This is always an excellent addition to any narrative.

Evaluation

This is often an overlooked component of a proposal. Most sponsors require a plan for evaluating the outcome of your project. This section should detail who will be responsible for the evaluation, the design and method of the evaluation, and the data to be collected or documented. Make sure that the evaluation is effectively measuring the objectives described earlier. A poorly structured evaluation plan, or a plan that does not properly measure the extent to which objectives will be reached can be the demise of an otherwise excellent proposal. Regardless of who does the evaluation, it should indicate:

  1. Who will be performing the evaluation

  2. How evaluators will be selected

  3. Evaluation criteria

  4. Data gathering instruments

  5. Any test instruments or questionnaires

  6. Data analysis process

  7. How the evaluation will be used for program improvement

  8. The evaluation reports to be produced.

Facilities & Equipment

Available facilities and special equipment that will be important to the project should be described. Any additional facilities and equipment to be acquired under the project, either by the College or the sponsor, should be described in detail. The importance of these items to the success of the project should be made clear.

Personnel

This section should identify the principal investigator, co-investigators, the number of students and support staff, and briefly describe their roles in the project. The biographical sketch for each key project person should be on a separate page and should include name, education, experience, professional affiliations and honors, and list of publications published in the past five years as well as those in press.

Dissemination

Most sponsors want to know that the results of your project will be disseminated and expect a plan for dissemination to be included in the proposal. Commonly used strategies are newsletters, books and articles, conference presentations and workshops, pamphlets and websites. Since these approaches have become so common, also consider demonstrations of your project, agreements with other agencies to produce or market your results, filing project documents with a national clearinghouse, or including national organization in project so they can later become advocates for the project and assist in dissemination.

Continuation

Sponsors are more likely to fund a project that will not terminate on the same day that funding ceases. Some proposals need to include plans for the continuation of the project after funding has run out. Will the project be supported on a fee-for-service basis? Will the College be able to sustain the project? Can the financial responsibilities be transferred to another organization after the conclusion of this sponsor's funding?

References

If three or fewer references are cited, they may be included as footnotes in the text itself. If greater than three, they should be indicated by sequential footnotes in the text and the list of references included at this point. Standard footnoting style should be followed.

Bibliography

This section is optional, but can serve the purpose of informing the reviewer that the principal investigator is familiar with pertinent literature in the field beyond that is cited in the proposal. Standard bibliographic format should be followed.

Budget

See Budget Considerations and Budget Categories.

Appendices

Appendices may be used to include data of peripheral benefit to the research (e.g., reprints of articles, subcontract data, letters of support, tabular data, and graphs). The use of appendices is recommended, particularly when a sponsor limits the length of the proposal to a specified number of pages. However, many sponsors do not allow appendices and even when allowed may not copy them when circulating proposals to reviewers. Therefore, any information essential to the proposal should be in the narrative.

Collaborators

Sponsors like collaborative proposals because they know that their dollars will impact more than one institution. However, lines of responsibility must be clearly delineated and letters of commitment included in the proposal package. This shows the sponsor that the partner is serious. Because partnerships generally impact the budget, a separate budget for each partner must be incorporated into the proposal budget. If funded, a subcontract arrangement will be made to transfer funds from Marist College to the partner institutions.

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Budget Considerations

The budget is an indicator of the magnitude of the project and serves to identify the cost of the project to the sponsor. The budget also serves as a further measure of the principal investigator's (PI) capabilities since there must be a reasonable correlation between the project as described and the PI's assessment of the various cost elements. Budgets that are too high or too low can alert the reviewer to the possibility that the PI does not have a realistic grasp of project needs.

The budget should reflect total costs (direct and facilities and administrative costs). While preparing the technical proposal, the PI should work with the Academic Grants Office to begin estimating costs. It is essential that a budget be drafted early in the proposal development stages so that assistance can be provided by the Academic Grants Office and unnecessary delays in processing the proposal avoided.

A proposal must include an estimate that reflects the cost required to perform the work and a corresponding budget justification. If a proposal requests support for a multi-year project, annual budgets and a summary budget are usually included. Many sponsors provide guidelines and budget forms. Budgeting details and requirements vary considerably depending on the sponsor and type of proposal. The following criteria should be considered in developing a budget:

Budget Cost Principles

The Office of Management and Budget (OMB) Circular A-21 (Cost Principles for Educational Institutions) is used as a guideline to describe the cost principles for all sponsored agreements at Marist. Under these principles, all costs charged to sponsored agreements should conform to the principles of reasonableness, allocability, consistency, and allowability as well as any specific conditions stated in the agreement. Circular A-21 define these principles as follows:

  • Reasonableness: A cost is considered reasonable if the nature of the expenditure and the amount involved reflects the action that a prudent person would take under the circumstances.
  • Allocability: A cost is allocable if it is beneficial to the project.
  • Consistency: Costs incurred for the same purpose in like circumstances must be treated consistently as either direct or facilities and administrative (F&A) costs. The method used to estimate, record, and report costs must be consistent.
  • Allowability: Costs must be allowed in accordance with the principles in A-21 or the terms of the sponsored agreement.

Distinction between Direct and Facilities and Administrative (F&A) Costs

Direct costs are expenses that can be identified specifically with a particular sponsored project, an instructional activity, or any other institutional activity; or can be directly assigned to such activities relatively easily with a high degree of accuracy. Direct costs include salaries, wages and fringe benefits for all personnel involved; equipment; travel; supplies and expenses; consultant services; other contractual services; participant support costs; and subcontract costs. Facilities and Administrative costs (F&A), which also are known as indirect costs, are usually divided into the following categories of supporting activities: 1) Sponsored project administration personnel and other costs of offices whose responsibility is the administration of sponsored projects; 2) Departmental administrative expenses administrative costs at the departmental or organization level; 3) General administrative and general expenses accounting, payroll, and other administrative offices; 4) Plant operation and maintenance utilities, custodial services, maintenance and repairs; 5) Library expenses library resources and staff; 6) Depreciation or use allowance for buildings and equipment; and 7) Information Technology, including computing costs, telecommunications, networking, and other information services.

Both direct and F&A costs are real costs. If sponsors of projects do not fully reimburse either the direct or indirect costs, these costs must be paid from other College funds. As a result, through reimbursement shortfalls or audit disallowance, other areas may be short-changed to accommodate sponsored projects that are not fully reimbursable.

The F&A cost rate, which is an accounting mechanism used by colleges and universities to recover costs that cannot be readily associated with specific projects, applies to all sponsored projects administered by the College. The process for recovery is a reimbursement of actual expenditures, calculated in accordance with A-21 cost principles. The College is subject to government internal and external audit of supporting data for every year. The F&A cost rate is an average of all F&A costs incurred for all federal and non-federal funded projects. (See Facilities and Administrative (F&A) Costs.) Thus, all project budgets must include the maximum amount of F&A costs that the sponsor will allow according to the sponsor's written policies and procedures. Unrecovered F&A costs are represented as a Marist College cost share.

Circular A-21 states that the salaries and wages of administrative and clerical staff, and non-salary items such as postage for routine correspondence, local telephone calls (including equipment), and office supplies are normally treated as F&A costs. These costs qualify as direct costs only when their purpose is for the sole direct benefit of the project and the nature of the performed work constitute a major program or activity. These costs must be specifically identified and justified in the proposal s budget or budget justification section.

Unallowable (nonrecoverable) Costs

Expenditures for which Marist may not, by regulation, request reimbursement, either in whole or in part, from the federal government are considered nonrecoverable or unallowable. The cost principles in OMB A-21, Section J, establish allowability. When preparing a budget the following costs are nonrecoverable and should be excluded:

  • Advertising or public relations: Expenditures to promote the College are nonrecoverable. This includes non-technical newsletters, department publications, and advertising in excess of what is ordinary and necessary. Advertising for the disposal of surplus materials or for employment positions is allowable.
  • Alcoholic beverages
  • Alumni activities
  • Bad debts
  • Commencement and convocation costs
  • Donations or contributions
  • Development/fundraising costs
  • Entertainment costs: Costs of entertainment (e.g., tickets to shows or sporting events, meals, lodging, rentals, transportation, and gratuities) are nonrecoverable. However, business meals (those necessary to carry out the unit's mission) are recoverable with proper documentation and justification. All attendees who claim federal reimbursement must have contributed to the business purpose. Proper documentation includes the date, location, food costs (with an itemization of any alcoholic beverages), attendees, and business purpose. This documentation is also required for Internal Revenue Service purposes. When the number of attendees is large, it is sufficient to name the group rather than each participant (e.g., science faculty).
  • Excessive employment recruitment costs (e.g., color advertisements)
  • Fines and penalties
  • Goods or services for personal use (including gifts)
  • Housing and personal living expenses
  • Investment management costs
  • Lobbying costs
  • Memberships (including airline clubs)
  • Moving costs (if the employee resigns within 12 months)
  • Student activity costs (those activities normally directed by students)
  • Travel costs in excess of commercial coach airfare. Costs in excess of the lowest available commercial coach fare are normally nonrecoverable. Exceptions may be granted if unreasonable travel arrangements would result when traveling coach, if the upgrade would decrease the cost, or if it is required to meet the medical needs of the traveler. In order for excess airfare costs to be recoverable the institution must justify and document, on a case-by-case basis, the applicable condition(s), and when required, obtain the sponsor's approval.
  • Trustee travel

Cost-Sharing or Matching Funds

Cost sharing or matching is that portion of the costs, direct or indirect, not borne by the sponsor. Some sponsors require an institutional cost-share, or matching funds, from the institution. Cost sharing is either mandatory (required by statute or program requirements as a condition of award) or voluntary (offered by the grantee).

Many sponsors require cost sharing in the proposal budget or indicate that it is recommended. When cost sharing is recommended it usually means that it will be a factor during proposal evaluation. Cost-sharing requirements may be in the form of a specific ratio or stated percentage. The source and categories of the proposed cost-sharing commitment should be clearly cited in the budget justification.

Items generally cost shared include:

  • College funded salaries and wages of the principal investigator and staff directly engaged in the sponsored project, including applicable fringe benefits and F&A costs
  • Donated equipment or supplies
  • Unrecovered F&A costs (the difference between the full, allowable F&A costs calculated at the current negotiated rate and the F&A costs reimbursed by the sponsor). Prior authorization may be required by some sponsors to use F&A costs as cost sharing. For internal budgetary purposes, unrecovered F&A costs will be calculated as a cost share.
  • Third party in-kind or cash contributions

Items not generally allowed for cost-sharing are:

  • Costs incurred prior to the award
  • Cost overruns
  • Program income earned under an award unless authorized by the sponsor

Federal funds cannot be used as cost share on federal awards. Also, cost sharing funds, whether internal or third party, may not be used to meet more than one cost sharing requirement. Federal awards must also conform to other provisions as stated in OMB Circular A-110 (Grants and Agreements With Institutions of Higher Education, Hospitals, and Other Nonprofit Organizations: Uniform Administrative Requirements) or in the sponsored agreement.

When an award results from a proposal that was submitted with cost sharing commitments, whether mandatory or voluntary, the cost sharing commitments generally become an auditable condition of the award, and therefore, must be documented.

Distinction between Consulting and Employment Relationships

Consultants are independent contractors and not employees of the College. They are hired to perform a specific service for a relatively short duration (less than one year). Marist College employees are not considered consultants when working on Marist College projects.

Consultants

  • may be individuals or firms
  • may provide identical services to others as part of their primary business
  • provide expertise vital to the project, but do not have authority over the direction of the project
  • are provided with specifications defining their contribution to the project rather than a statement of work requiring discretion

Consulting agreements are contracts that bind both the consultant and the College. It is important to distinguish between consulting and employment relationships established on behalf of the College. Through consulting agreements, the College can complete work that cannot be done by its own personnel without acquiring any additional responsibility or liability beyond that established in the contract. However, improper consulting arrangements that establish employment relationships under the guise of a contract impose on the College full employer responsibilities under the law. The primary difference between employment and consulting on which the Internal Revenue Service bases its enforcement of employer's withholding and reporting obligations, is the degree to which a proposed service arrangement will allow control of the work effort.

Consortium/Partnership Submissions

Incorporating a Subcontract into a Marist Proposal

On occasion, subcontracts are budgeted when a portion of the required effort needs to be provided by one or more other entities (third parties) for a discrete part of the project. When the portion of effort being performed by a third party constitutes a significant component of the sponsored project, then the third party will be required to provide the resources necessary to conduct that portion of the effort as an independent contractor. Costs associated with the subcontractor normally include salaries and wages, employee benefits, supplies, equipment, travel, consultants, subcontractors and other direct costs as stipulated by the subcontractor as part of its proposal to Marist College. Greater itemization of categories may be needed if required by the prime agreement. Facilities and administrative costs should be included and should be calculated using the subcontractor's current rate(s). In the profit sector, it is not uncommon for the subcontractor to include costs such as labor overhead, material overhead, general and administrative expense, cost of money, and a profit or fee.

It is the responsibility of Marist College and its Principal Investigators to comply with procurement requirements of the sponsor in selecting a subcontractor. There are two methods of selecting a subcontractor: competitive bidding or sole source procurement. Regardless of who the subcontractor is or the method used in selecting a subcontractor, there must be adequate time provided between the receipt of a subcontractor's proposal and the sponsor's proposal due date, to allow the Marist PI sufficient time to discuss and negotiate the statement of work. If the proposed subcontract involves human subjects or animal experimentation, appropriate subcontractor compliance to their policies may need to be included with the proposal.

In any case, the subcontractor's proposal must be signed by a designated official who is authorized to commit the subcontractor's resources to the completion of the project.

Collaborative efforts by various Marist departments are not considered subcontracting arrangements. Each Marist employee must be written into the budget proposal as an employee, not as a subcontractor.

Marist as a Subcontractor in Proposals Submitted by Other Institutions

Marist College faculty may submit proposals that are portions of a larger proposal being submitted by another institution or group of institutions. Marist College is then technically a subcontractor. Through a partnership with the lead submitting institution(s), the Marist College Principal Investigator has obligated himself or herself and the College to completing specific work related to the total project. Principal Investigators need to be aware that the following guidelines must be followed:

  1. The subcontract represents a Marist College application. Therefore, the internal submission and review process remains the same.
    1. Facilities and Administrative (F&A) rates that reflect the College's F&A rate must be included, not the rate of the partner institution(s).
    2. Budgets are subject to the same cost principles described in (OMB) Circular A-21.

Collaborative proposals can become extremely complicated. Principal Investigators are encouraged to contact staff at the Academic Grants Office early on in the proposal development process (see Proposal Development Timeline).

Future-Year Projections

Costs for periods beyond the current year are called future year projections. Factors to consider in projecting future costs include project time frame, salary increases, inflation, and vendor quote projections.

Program Income

Some sponsored projects may generate income. Program income includes: income from fees for services performed; the sale of commodities or items fabricated under an award; license fees; royalties on patents and copyrights; and interest on loans made with award funds. Interest earned on advances of federal funds is not program income. Except when otherwise provided in federal awarding agency regulations or the terms and conditions of the award, program income does not include the receipt of principal on loans, rebates, credits, discounts, or interest earned on any part thereof. Some sponsors require a projection of program income and its intended use at the proposal stage.

Use of small, disadvantaged, and women- and minority-owned businesses

When working with a federal prime sponsor and the contract or any resultant modifications to the contract are expected to exceed $500,000 ($1 million for construction projects), Marist is required to submit a subcontracting plan. A small and disadvantaged business subcontracting plan is a method by which Marist separately addresses the requirements (in terms of participation and goals) of subcontracting to small, disadvantaged, and women-owned businesses.

When submitting to a New York State sponsor Marist is required, to the extent possible, to utilize women- and minority-owned businesses as subcontractors.

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Budget Categories

Direct Costs

With the exception of cost sharing or matching commitments, the principal investigator is expected to request sufficient funds from the sponsor to cover all the direct costs that will be incurred during the conduct of the project.

Salaries and Wages

Compensation for personal services covers all amounts currently paid or accrued by the College for employee services rendered during the project period. The budget should reflect the estimated percentage of effort (versus hours or months) for professional staff and faculty who will work on the project. Overtime pay eligible staff may be budgeted by providing estimated hours. New positions should be budgeted in accordance with the compensation levels and job classifications published by the Office of Human Resource Services.

The costing detail should include names of senior project personnel and the titles and percentage of effort for all project personnel. Part-time employees should be identified as either temporary help, clerical help, or students. Percentage of effort for nine-month faculty should be shown separately from summer support.

Academic-Year Salary

Faculty salary figures should be based on a percentage of estimated effort and budgeted at current salary levels plus reasonable annual increases. Faculty may budget a portion of their academic-year salary directly to sponsored projects. The salary charged to an agreement during the period of the individual's full-time appointment should not be considered as extra compensation. If release time is granted by the institution for the purpose of the proposed agreement, then the funding requested goes to Marist to cover the costs of hiring adjunct faculty and other costs associated with the release of a faculty member.

Summer Salary

Faculty on nine-month appointments may receive additional salary during the summer months up to a maximum of three-ninths of their academic year salary. Summer salary funded by the National Science Foundation (NSF) for faculty on a nine-month appointment is limited to two-ninths of their regular academic year salary. This limit includes summer salary received from all NSF-funded agreements. The individual must be working on the project while receiving summer salary. Vacation during this period is unallowable. Additionally, nine-month faculty hired to teach full-time during the summer are ineligible to receive additional salary from sponsored agreements during the period of time they are teaching. Summer salary is based on the individual s salary for the new Marist fiscal year.

Sabbatical Supplements

Faculty who take a nine-month sabbatical at half pay may wish to recover all or a portion of the remaining amount of their salary from a sponsored project. Some sponsors will provide academic year supplements to cover all or part of the salary lost during a sabbatical. Endowed sabbatical supplements do not have F&A costs applied; statutory sabbatical supplements generate both employee benefits and F&A costs.

Emeritus Faculty Salary

Emeritus salaries are based on the individual's last regular salary plus reasonable annual increases.

Visiting Academics

If the visiting academic is a faculty member at another college or at Marist College, the appointment should be made at the same professorial level they currently hold. The title "Visiting Fellow" should be used if the individual does not currently hold a professorial title. Budgeting for visiting academics should be consistent with departmental appointments and based on the rank of the visitor, plus reasonable annual increases.

Other Professionals

Individuals included in this category are research and extension associates, technicians, computer programmers and analysts, and academic or extension support aides or specialists. These positions should be budgeted at current salary levels plus reasonable annual increases. Figures should be based on a percentage of estimated effort.

Administrative and Clerical Staff

Staff responsible for providing coordination and support in the areas of administration, secretarial, personnel, business and/or facilities of an office, department, program, or unit are considered administrative and clerical staff. Direct charging of administrative/clerical salaries on federally supported sponsored agreements is restricted by A-21 because they "should normally be treated as F&A costs." The "direct charging of these costs may be appropriate where a major project or activity explicitly budgets for administrative or clerical services and the individuals involved can be specifically identified with the project or activity."

If a principal investigator (PI) budgets administrative/clerical salaries, they must be separately itemized with a justification detailing the job duties so they are easily identifiable and assignable to the project with a high degree of accuracy. These positions should be budgeted at current salary levels plus reasonable annual increases. Budget figures should be based on a percentage of estimated effort.

Graduate Student Salary

Graduate student hourly wages are established by the Office of Student Financial Services and are excluded from the employee benefits calculation. Graduate students may receive tuition reimbursement for work on a sponsored project. The tuition portion includes tuition remission and other forms of compensation paid as, or in lieu of, wages and should not be included under salary and wages.

Student Wages

Undergraduate students are budgeted at an hourly rate based on their level of expertise and prior experience. These wages are established by the Office of Financial Aid and are excluded from the employee benefits calculation.

Temporary Personnel

A temporary appointment is a term of employment of at least 20 hours per week and less than six consecutive months. Temporary personnel is budgeted by hourly rates that are consistent with the minimum salary levels established by the Office of Human Resource Services and appropriate to the required level of work and experience.

Fringe Benefits

Fringe benefits are direct costs to the College and depending upon the terms of employment, may include employer costs of retirement, Social Security, workmen's compensation insurance, unemployment compensation insurance, and health and other insurance coverage. Employee benefits are part of real employment costs and must be included in a budget. Benefit rates are calculated annually and take effect each July 1. Benefits for salaries and wages should be calculated at the current rate. Benefits based on salary estimates for future years or for single year projects that overlap Marist s fiscal year should be calculated at projected rates. To determine the appropriate rate and the formula for calculating fringe benefit rates, contact the Academic Grants Office.

Equipment

The capitalization threshold for all items of equipment with a useful life more than one year is $5,000. That is, each unit cost must be at least $5,000 and the equipment must have a useful life of more than one year. Equipment is subdivided into two classifications: special purpose and general purpose.

Special Purpose Equipment

As a rule, special purpose equipment is considered to be that which is necessary and is strictly limited for use by the activities of the sponsored project, and is unlikely to be available within the College.

General Purpose Equipment

General purpose equipment is equipment that is not limited to activities specified in the sponsored agreement (e.g. office equipment and furnishings, air conditioning equipment, reproduction and printing equipment, motor vehicles, and data processing equipment). Expenditures for general purpose equipment, buildings, and land are unallowable, except where the equipment is primarily for the sole benefit of the project and the expenditure has advance approval from the sponsor.

The budget justification page should contain estimates and justification for all equipment needed to perform the scope of work. Such detail should include the necessity and suitability of the equipment, description, unit cost, and any quoted discount. Estimates should be based on either catalog or telephone quotes, historical cost, engineering estimates, or prior experience. Assistance in matters of price, quality and delivery may be obtained from the Purchasing Office.

The budget justification page should include the necessity and suitability of the equipment, a description, and the unit cost. Stipulation must be made as to ownership of the equipment after the project is complete.

Communications

Communication costs include telephone services, local and long distance telephone calls, postage (including services such as United Postal Service and Federal Express), and facsimiles. Large mailings of surveys or questionnaires must be identified and justified. These costs should be based on actual experience with an inflation factor built in for future years. Postage for routine correspondence and local telephone costs (equipment, installation, maintenance, line charges, facsimile lines) are treated as F&A costs and are appropriate to budget as direct costs only if the purpose is for the sole direct benefit of the project. Such costs must be explicitly budgeted, identified to the project, and justified. Shipment of project materials and deliverables are direct costs if incurred for the sole benefit of the project. Project-associated long distance telephone charges are considered direct costs.

The budget justification page should include a listing of the items and a justification and estimated cost for each.

Travel

Travel costs are classified as those expenses for transportation, lodging, subsistence and related items incurred by employees who are traveling on official College business. Unless otherwise stated by the sponsor, domestic travel is considered to be travel among any of the 50 United States, its possessions and territories, and Canada. Foreign travel is classified as travel outside these areas. During budget preparation, consideration should be given to expenses for attending professional meetings, field work travel and living allowances, consultation with experts, and meetings required by the sponsor. The Post-Award Office has available a Travel and Expense Reference manual. All travelers should familiarize themselves with the guidelines stipulated in the manual. Marist policy will prevail over most sponsorships. Travel expenses and requests should be clearly justified and reasonable. The budget should be based on a travel agency quotes and sponsor guidelines.

Travel in excess of commercial coach airfare is normally nonrecoverable. Foreign travel is a restricted category by most federal agencies and requires prior approval by the sponsor. When costs are charged to a federally-sponsored agreement, only U.S. airlines may be used.

The budget justification page should include the number of trips, the purpose and relationship to the project, and the estimated costs for each trip. For foreign travel, the countries to be visited and the visit dates must also be included.

Lease and Rental

Lease and rental expenses for computers and peripheral equipment, general equipment, vehicles, land, buildings, offices and storage areas are included in this category. Lease and rental for space are excluded from the base from which F&A costs are calculated and are not subject to the F&A rate. Budgeting for lease and rental should be based on actual experience with an inflation factor built in for future years, or on actual lease agreements. The budget justification page should list the lease or rental item(s) and the estimated cost(s). The Purchasing Office can provide assistance with lease and rental expenses.

Repair and Maintenance

Repair and maintenance are categorized as costs incurred for the necessary maintenance, repair, or upkeep of property that neither add to the permanent value of the property nor appreciably prolong its intended life, but keep it in efficient operating condition. Budgeting should be based on actual experience with an inflation factor built in for future years, or from the actual maintenance agreement(s). The budget justification page should include a list of the equipment to be maintained and the estimated costs. To qualify as a direct cost, maintenance costs must be for the sole benefit of the sponsored agreement.

Services

Under this category professional services rendered by Marist interdepartmental services (that are not included in the College's F&A rate), outside firms, companies, or individuals should be listed. For interdepartmental services budgets should reflect actual quotes based on current fee structures or anticipated use. Budgeting for external use of services should be based on actual quotes. Both internal departmental and interdepartmental computer charges must be based on accounting and expense systems developed in accordance with A-21 guidelines. The budget justification page should include a list of the type of service(s) and the total estimated costs. Assistance in matters of price, quality, and delivery for external sources can be obtained from the Purchasing Office.

Academic Fees and User Fees

Academic recharge operations and service centers may recover the cost of goods and services provided to internal and external users through rates or user fees. User fees should be designed to recover no more than the cost of the service provided, with adjustments based on prior experience. User fees must be calculated consistently for federal and nonfederal users. User fees may not be based on what others charge for similar services or what the market will bear. User fees should be based on A-21 guidelines. New user fees for service facilities must be submitted for review and approved by the Controller's Office prior to implementation. User fees for other service facilities must be submitted annually to the Controller's Office for review and approval. Current rates can be obtained by contacting the Controller's Office.

The budget justification page should include the rate schedule and calculation of the user fees.

Consultants

Consultants should be listed by name in the budget and the following information provided:

  • daily rate of pay
  • number of days of employment
  • any additional amounts to be paid such as travel and per diem
  • the consultant's primary affiliation and expertise
  • justification of the need for consultant services

Services of a consultant may be budgeted when the services are sufficiently special, temporary, or technical in nature such that they cannot be performed satisfactorily by existing College personnel during the course of their assigned responsibilities. Since consultants are independent contractors, fringe benefits are not charged. Travel and incidental expenses are included in the total consultant estimate and budgeted under this category. The department should maintain curriculum vitas and other specific information related to the consultant. Designation of independent contractor status is governed by the Internal Revenue's Code of Common Law. Marist may be subjected to significant institutional tax penalties should the individual be incorrectly classified as an independent contractor. Costs should be based on quotes from the consultant.

Some sponsors may not permit the use of consultants, or may restrict the daily reimbursement rate. The budget justification page should include the justification, name, expertise, compensation rate, number of days of expected service, related travel expenses, and the estimated costs.

Subcontracts

The cost(s) normally associated with a subcontract could include any or all of the following: labor, employee benefits, materials and supplies, travel, equipment and other direct costs, and F&A costs. The budget justification page should include a line itemization at the same level of detail as requested from the sponsor. F&A costs should be included and calculated using the subcontractor s current rate. A copy of the subcontractor s negotiated rate agreement, a statement of intent to participate, and a statement of work should be submitted along with the proposal budget. The reasons for selecting a particular subcontractor should be explained in the proposal. (Also see Consortium/Partnership Submissions and Issuing Subcontracts.)

Supplies and Materials

Supplies and materials are items used in the performance of the work, and all tangible property other than equipment. Incoming transportation charges (freight, bills of lading) are part of material costs. Reasonable amounts should be budgeted, and projects that anticipate using large amounts or expensive items should specify such items and justify their necessity. Budgeting should be based on actual experience with an inflation factor built in for future years. Assistance in matters of price, quality, and delivery can be obtained from the Purchasing Office.

Routine office supplies should be treated as F&A costs and are only appropriate to budget as direct costs if they are used solely for the project. These direct costs must be explicitly budgeted, specifically identified to the project, justified and approved by the sponsor. Laboratory supplies (chemicals, glassware, disposables), animals (purchase, shipping, housing, maintenance), research supplies and training materials (questionnaires, surveys) are considered direct costs. Care should be taken to explicitly describe all consumables included in a proposal budget.

The budget justification page should include a list of the supplies and the estimated costs for each. The breakdown should be more detailed when the total supplies cost is substantial.

Conferences and Seminars

When hosting a conference or seminar, appropriate costs include meals, transportation, facilities rental, and other related items. When budgeting for a conference or seminar, some considerations are:

Employee salaries and benefits: Salaries of professional personnel, editorial, clerical, and other staff are allowable in proportion to the time and effort devoted to the preparation and conduct of the event and summarizing its results. To the extent possible, costs should be based on actual salaries and benefit rates.

Participant Stipends: Participants are the individuals whose primary interest is as beneficiaries of the event. Participants may make formal presentations or give papers. Participants may receive stipends to help defray living expenses while participating in a conference. Allowances should be budgeted at a reasonable rate and are limited to the days of attendance plus actual travel time. (Federal employees cannot receive compensation from other government sources while participating in the event.)

Travel, per diem, or subsistence: Reasonable travel allowances related to the conference or training activity (e.g., field trips) may be budgeted.

Registration fees: Registration fees are treated as program income to offset the costs of the event. Fees should be established based on total program costs including both the direct and F&A program costs and divided by the number of expected participants. A registration fee paid to or on behalf of a participant is treated as a direct participant cost.

Non-participants: Reasonable fees (in the form of honoraria), travel allowances, and per diem are allowable for cost of services (e.g., presenters) rendered by persons who are members of a particular profession or who possess a special skill and are not employees or participants.

Facility rental: Rental of facilities and necessary equipment are allowable and budgets should be based on quotes from the service provider.

Conference materials: Necessary expendable materials and supplies are allowable and estimates should be based on actual experience with an inflation factor built in for future years.

Publications: Cost of publishing the proceedings are allowable only if approved by the sponsor. Projections should be based on actual experience with an inflation factor built in for future years.

The budget justification page should include an itemization of the above categories and the estimated costs of each.

Publications

Publication costs consist of the documenting, preparing, publishing, disseminating, and sharing of project findings and supporting material. Budgeting should be based on actual experience with an inflation factor built in for future years. Assistance may be obtained from the Purchasing Office or by contacting a publisher. The budget justification page should include the page charges, number of pages, and the estimated cost.

Facilities and Administrative (F&A) Costs

An F&A cost rate is applied to all restricted accounts for all awards regardless of whether they are categorized as a gift, grant, or contract. In practice, F&A cost is applied as follows: whenever a sponsor is the primary beneficiary, or receives specific deliverables, it is appropriate that the sponsor pay for the full cost, both direct and F&A. If the award does not provide for any of these conditions, it is still appropriate to charge the full F&A cost. However, the recovery rate may be discounted, but never below ten percent of direct costs. The unrecovered F&A costs must be represented as a costshare. In this manner every project supports part of Marist's infrastructure.

Award Conditions Applicable F&A Cost Rates
All awards which contain one or more of the following conditions giving the sponsor:
  1. Hardware, software, instructional or research data deliverables (other than routine reports).
  2. License to intellectual property (Patents or Copyrights).
  3. Training or other services (including testing) performed primarily for the benefit of the sponsor.
  4. Input or joint determination of the research effort during performance such as in a cooperative agreement.
F&A costs will be applied at the Full Rate in accordance with the published rate schedule.
All Awards containing none of the above conditions. Wherever possible F&A costs should be applied at the full rate but may be discounted to a minimum rate of 15% of Direct Costs.

On-campus versus Off-campus

Projects are normally budgeted as solely on-campus or solely off-campus. Some projects may, however, involve both. The definition of off-campus activity is that which is performed at a location that has neither the use nor aid of owned or leased College-operated facilities. A College-operated facility is one where Marist is responsible for the costs of maintenance, custodial services, and utilities. In general, off-campus locations are at distances where reasonable access to or use of the College-owned or operated facilities is not feasible. Personnel are considered to be on campus unless they are working off campus for a two month or longer period. Costs generated by personnel working off campus, including their travel to and from the off-campus location, can be budgeted as off-campus.

Current Facilities and Administrative Rate information is available from the Academic Grants Office and the Post-Award Office.

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Sponsored Project Administration

Responsibilities

According to the Marist College Faculty Handbook, the Executive Vice President is the "administrator of sponsored research contracts." (See Faculty Handbook, Code 9.21). Responsibilities of other offices and individuals involved in the administration of sponsored projects are identified below.

Office of Academic Grants

The Office of Academic Grants serves as the first point of contact for individuals wishing to apply for a grant or involve the College with a grant proposal from another organization. Services and responsibilities of this office include:

  • Assisting PI with funding searches
  • Registering PIs on electronic funding alert system
  • Advising PIs on the grants process at Marist and agency expectations, interests, and application requirements
  • Assisting PI with preparation of budget, budget narrative, and government forms and compilation of the proposal as needed
  • Assisting with proposal editing if requested (See Proposal Development Timetable)
  • Advising the PI on strategies for producing a competitive proposal
  • Mailing of grant proposals (See Proposal Development Timetable)
  • Reviewing all proposed commitments of College funds, new personnel, or additional space requirements being made in the proposal
  • Registering new PIs on electronic proposal submission systems
  • Assisting the PI with routing grant proposals for required institutional approvals
  • Assisting with collaborative proposals (e.g. contacting grants office of collaborating institutions, etc.)
  • Reviewing and confirming cost-sharing arrangements as needed
  • Advising the PI, academic deans, and other administrators on issues that arise during proposal development
  • Assisting with the negotiation of the terms of grant awards
  • Providing management and guidance to principal investigators and departments regarding management of grant and contract funds
  • Verifying that an award has been made and accepted by the College according to established administrative procedures
  • Overseeing institutional management of electronic submission systems
  • Overseeing institutional database of all grant awards
  • Assisting PI and Post Award in award negotiation as needed
  • Contacting the PI and Office of Post Award when a grant award has been made

Office of Post Award

  • Confirming that all grant awards for which an account is to be set up were routed for approval through the Office of Academic Grants
  • Assisting PI and Office of Academic Grants in award negotiation as needed
  • Establishing an account number for the project
  • Assisting principal investigators with interpretation of FRS reports and preparation of paperwork (Also see Post Award Administration below.)
  • Providing management and guidance to principal investigators and departments regarding management of grant and contract funds
  • Coordinating subcontract arrangements with input from PI
  • Coordinating responses to audit reports
  • Providing all financial accounting and fiscal reporting and invoicing services
  • Monitoring each project and its subcontracts
  • Notifying PI of performance period and reporting requirements
  • Reviewing and approving requests for overdrafts and modifications or amendments (e.g. changes in PI, scope of work, period of performance, budget revisions, carryover of funds, and other contractual terms and conditions)
  • Reviewing expenditures for compliance with sponsor and College requirements
  • Supervising third party billings and collections
  • Monitoring cost sharing records
  • Maintaining workload records for effort reporting
  • Preparing and submitting expenditure reports to the sponsor
  • Maintaining the official institutional records for grants and contracts and providing such information for reporting proposes as requested by College officials, sponsors, and auditors
  • Serving as representative to sponsoring agencies on coordination and supervision of sponsored activities
  • Ensuring conformance with the terms, conditions, and specifications contained in the award document
  • Coordinating close-out activities, including copyright and patent disclosures

Principal Investigator (PI)

The PI develops program plans consistent with the mission of the submitting school/division and has primary responsibility for the following tasks:

  • Selecting an appropriate sponsor for the proposed project
  • Obtaining and filling out a copy of the Proposal Routing Form. If faculty from more than one division or school are involved in the project, then the signatures of their Academic Deans must also be obtained on the Proposal Approval Form
  • Developing the proposal narrative and project budget
  • Identifying the source(s) of any required matching funds and securing approval for that match from the department chair/unit director, dean/vice president, and/or other external funding sources
  • Securing all necessary institutional approvals prior to submission of the proposal to the funding agency
  • Following the Proposal Development Timetable
  • Advising the Office of Academic Grants of contacts with external agencies prior to the receipt of an award
  • Participating in negotiation of the grant award or contract with the Office of Academic Grants and/or Office of Post Award
  • Maintaining satisfactory progress in the technical conduct of the project
  • Complying with institutional policies and procedures including those related to human resource management; procurement; travel; research safety; conflict of interest; misconduct in research and scholarship; the use of human subjects in research; and intellectual property, etc.
  • Managing project funds, including expending funds within the project period and within designated budget categories
  • Requesting budget modifications and no-cost extensions through the Office of Post Award
  • Completing and submitting technical reports according to established time schedules
  • Providing documentation of grant/contract expenditures and matching contributions, including certification of time and effort

Dean of Principal Investigator (PI)

The Dean of the PI's and Co-PI's school/division has primary responsibility for the following tasks:

  • Encouraging faculty and staff to seek external funding projects that fall within the faculty member's professional interests and the school's mission
  • Assessing departmental personnel needs in light of grant and contract activity and approving faculty and staff effort proposed for the project
  • Assisting the principal investigator in identifying source(s) of matching funds (cash and in-kind), if required by the sponsor
  • Reviewing proposal for consistency with school/division mission and availability of human and support services, including time, space, and finances
  • Assuring that all department/unit and college/school/division obligations, as delineated in the proposal, will be met
  • Approving the principal investigator's request to the sponsoring agency via signature on the Pre-Award Proposal Routing Sheet
  • Consulting with the principal investigator as necessary to ensure that work on the sponsored project is progressing satisfactorily
  • For sponsored projects involving human subjects, the use of animals in research, or the use of biohazards, providing sufficient oversight to ensure compliance with governmental regulations and institutional and professional standards
  • Assisting the principal investigator as necessary in solving technical problems with the conduct of the sponsored project
  • Overseeing the timely completion and submission of technical reports to the sponsor
  • Assisting the principal investigator as necessary in managing project funds
  • Monitoring as necessary to ensure that funds are expended within the project period and that budget categories are not excessively overspent
  • In the event of audit exceptions, disallowances, or over-expenditures, providing funds from departmental sources (or securing them from some other source) to correct negative sponsored project account balances

Academic Vice-President/Dean of Faculty

  • Encouraging faculty initiatives related to sponsored project activities that fit the mission of the academic area
  • Promoting faculty development activities related to seeking, obtaining, and managing external funding initiatives that fit the College's mission
  • Providing support for sponsored projects awarded to the academic area
  • Approving faculty time commitments

Signators

The PI's signature on the internal routing form and/or cover page of the sponsor certifies that: 1) to the best of the PI's knowledge the statements in the proposal are truthful, complete, and accurate; 2) the text represents the work of the PI or those under the PI's supervision; 3) acceptance of responsibility for the work to be undertaken and his/her collaborators own work; and 4) acceptance of the responsibility to complete progress and annual reports on time.

The institutional signature on the cover page of a proposal certifies that 1) to the best of the signator's knowledge, the statements in the proposal are truthful, complete, and accurate; 2) the institution will comply with award terms and conditions; 3) any subcontractors under the award will adhere to federal policies and required federal certifications will be included in all award documents to subrecipents; 4) the institution has a written conflict of interest policy and ability to manage or disclose to the federal agency conflicts that arise prior to the expenditure of funding; 5) the institution is not delinquent on federal debt; 6) the institution does not have principals who currently are debarred, suspended, ineligible or excluded from transactions with any federal department or agency; 7) the institution complies with drug free workplace requirements; 8) the institution will not use federal funds for lobbying purposes; 9) the signator is aware that any false, fictitious, or fraudulent statements or claims may subject him/her to criminal, civil, or administrative penalties.

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Procedures for Proposal Processing and Submission

As the proposal is being drafted, the principal investigator is encouraged to consult with his/her dean/department chair and colleagues as necessary, as well as with the Academic Grants Office to ensure that the project is technically and financially sound. It is particularly important to discuss the need for course release time and sponsor matching or cost-sharing requirements with the dean at this stage. All early correspondence including any letters of initial solicitation efforts are to be routed for internal review. (See Proposal Routing Process.)

All proposals are reviewed in the Academic Grants Office before submission to an external agency to determine if 1) the proposal has been approved; 2) incorporates Marist College and sponsor budget requirements; and 3) is complete.

Proposal Routing Process

The Proposal Routing Form is a required, internal, college form used to route proposals for on-campus signatures and also serves as the data entry form for the Sponsored Projects database maintained by the Academic Grants Office. Records maintained by the Academic Grants Office are the official records of the College and are subject to review by auditors and other officials of funding agencies. Information contained on the routing form is also used to generate reports detailing sponsored activity at the College. Timely submission of this form facilitates these information gathering activities. Not all information requested on the Routing Form may be applicable to every proposal. Questions concerning this form should be referred to the Academic Grants Office.

The Proposal Routing Form should be filled out as early in the proposal development stage as possible. Faculty and staff who have completed the request have priority in accessing the services of the Academic Grants Office and other campus offices that assist with the processing of proposals for external funding. After all signatures are obtained on the routing form, the proposal is forwarded to the President or his designee for final authorization.

What the Required Signatures on the Routing Sheet Mean

The signature of the Coordinator of Academic Grants assures that the proposal meets agency guidelines, is in line with Marist College policies where they exist, and conforms to OMB budget cost principles.

The signature of the faculty member or PI certifies that he/she is eligible to receive funding according to sponsor restrictions. It also certifies that the information on the form is accurate, including the matching obligation, and assures the College that the project will be carried out in accordance with sponsor and College requirements.

The signature of the Academic Dean assures the College that the school/division endorses the activities proposed and guarantees any departmental matching in the request. The Dean's endorsement demonstrates the relationship of the proposed activities to the department's overall mission and future goals and implies that the project has departmental support.

The signature of the Academic Vice President indicates that the proposal is appropriate to the overall mission of the proposing unit.

The signature of the Assistant Vice President or Director of Academic Grants certifies that the proposal is complete; that budget was developed in accordance with College policy; that a preliminary budget review was conducted to determine that budget line items are reasonable, allowable, and consistent; that all other approvals have been obtained; and that all sponsor's requirements concerning the application have been met.

The Chief Financial Officer's signature indicates that the budget has undergone review; that the indirect cost recovery is acceptable; that institutional fiscal standards have been met; and that other financial considerations, including matching requests, have been met.

Additional signatures may be required. For example, if the proposed activities cross-institutional reporting lines, all individuals impacted by the proposal may be required to sign off. Also, if the proposal commits the College resources, the signature of the Executive Vice President is also required.

Proposal Submission and Required Review Time

The completed proposal should be forwarded to the Academic Grants Office at least 10 days prior to the proposal mailing or submission deadline to allow those with signatory responsibility sufficient time to review the proposal. Proposals that are submitted late risk delayed processing of the application. It is the responsibility of the PI to assure that all institutional signatures are secured so that the proposal will be received by the sponsor according to their submission deadline.

Proposals Received in the Academic Grants Office 10 Days Before Deadline: As a service to faculty, the Academic Grants Office will send proposals to the sponsor provided the proposal is received at least ten working days prior to the date the proposal is due. This timeframe will enable the office staff to assist faculty with finalizing budgets, review of certifications, routing the proposal for signatures, copying, and submitting the proposal.

Proposals Received in the Academic Grants Office in Less than 10 Days Before Deadline: The Principal Investigator is responsible for routing, copying, and sending the reviewed proposal out to the identified sponsor. The PI should note the number of copies required by the sponsor and the deadline for submission of proposals. These guidelines should be followed exactly. Deadline dates are strictly enforced by the sponsor. Sponsors require that the proposal either be (1) postmarked by the deadline date or (2) received by the sponsor by the deadline date. Sponsors rarely make any exceptions. If the proposal does not meet the deadline requirements, it will, most often, be returned to the PI.

Proposal Development Timetable

This timetable serves as a general guide in anticipating the time needed to create a proposal. Scheduling of proposal tasks will be different for each proposal developed. Estimate anywhere from 60 to 100 full-time hours for competitive proposal writing.

90-30 Days Before a Proposal is due in the hands of a sponsor

  • Review program announcement, guidelines and instructions with Academic Grants (AG)
  • Prepare concept paper describing the project/research
  • Prepare plan of work with timeline
  • Prepare outline and/or first draft of research/program plan
  • Contact human subjects, animal welfare, and biosafety administrators, as needed
  • Coordinate with participating organizations/institutions
  • Discuss release time, facility and/or needs, cost sharing, and matching funds with chair, academic dean, or area administrators
  • Meet with AG Coordinator for consultation and coordination of proposal, as needed
  • Prepare preliminary budget with AG
  • Fill out and obtain signatures on preliminary routing form

30-25 Days Before a Proposal is due in the hands of a sponsor

  • Subcontract arrangements finalized (documented in writing)
  • Discuss cost estimating process with AG staff
  • Submit complete draft to AG Office for consultation on editing if needed

25-20 Days Before a Proposal is due in the hands of a sponsor

  • Share draft of proposal with colleagues/dean
  • Collect resumes, letters of support, agreements, etc

20-15 Days Before a Proposal is due in the hands of a sponsor

  • Submit final draft of budget and justification, narrative, and sponsor forms to AG Office
  • Proofread and prepare final copy of proposal

10 Working Days Before a Proposal is due in the hands of a sponsor

  • Forward complete proposal package (including final budget and all attachments) to AG for final review, routing, photocopying and mailing of proposal to sponsor.

Multiple Submissions of an Identical Proposal

Identical proposals may be submitted to more than one government sponsor at a time provided each sponsor is advised that this has occurred and none of the sponsors restrict such submissions. Each sponsor should be given the name of the other recipients of the proposal and the amount of funds requested. In instances where all sponsors are given the same total project budget, it should be specified as to how much of the total budget is being requested of each individual sponsor and for what purpose those funds will be used.

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Award Negotiation

Proposals are often not accepted and funded exactly as proposed by the principal investigator. Negotiations may take place at various stages of the proposal/award process. Particularly in the case of industry and corporate sponsors, there is often informal contact prior to submission of a proposal between the principal investigator and the sponsor's technical representative. In the case of proposals submitted to federal agencies, contact with a program officer before the proposal is submitted is usually encouraged. Once the proposal deadline arrives, however, any further discussion or negotiation will be initiated by the sponsor.

Faculty and staff members need to be aware that they cannot legally bind the institution, and although tentative agreements may be reached with program officers of a sponsoring agency, these agreements are not legal until appropriate institutional approvals are in place. Depending upon the negotiation involved, approval from the College's legal counsel, financial officers, or the College Board of Trustees may need to be sought. Significant changes mad