UAMS ADMINISTRATIVE GUIDE
|AREA:||RESTRICTED FUNDS ACCOUNTING|
|SUBJECT:||EXPENDITURE AND COST TRANSFER CONTROL|
The purpose of this policy is to notify departments within the University of Arkansas for Medical Sciences (UAMS) of the established policy for identifying expenditure controls for grants and other restricted funds through Restricted Funds Accounting (Grants Accounting). This policy will also assist Principal Investigators (PIs) in ensuring that all activity is maintained according to the regulations provided by the sponsoring agency.
All expenditures and requests for cost transfers should be processed in a timely manner and in accordance with UAMS procurement policy and the restrictions from the funding source. Only authorized personnel may perform procurement functions for each grant. Authorized personnel are considered to be those employees that have been designated by the PI and department and given the appropriate rights by SAP security to perform the purchasing activities for each grant.
On a monthly basis, the Department Business Officer or PI should review the actual expenses against the budget. Expenses should be planned or when possible, budgets should be revised to ensure that no grants become overspent. Department Business Officers or PIs should also review staff funding allocations and grant expenditures to ensure that the grant is in compliance with all restrictions from the funding source. For a full breakdown of responsibilities, please refer to policy 8.3.08 in the UAMS Administrative Guide.
In order to more efficiently monitor expenditures and commitments, purchase orders should be cancelled as soon as it is determined that the item is not needed. Service Orders, blanket purchase orders, or blanket travel authorizations should be requested for the current budget period or the State fiscal year, whichever ends first.
In order to provide timely and accurate reports to the sponsoring agency, all expenditures to be charged to a budget period should be transferred in or posted to the correct account within 60 days after the budget period expires. If the sponsor requires financial reporting less than 90 days after the expiration date, all transfers must be posted within half of that allotted time.
All APC’s must be submitted using the current APC form and must include an explanation adequate to meet the requirements of the National Institutes of Health Grants Policy Statement (NIHGPS) Part II Section Cost Considerations-Cost Transfers.
Expenses other than Payroll
An Interdepartmental Transfer (IDT) is used to transfer expenses other than salary. All IDT’s, must be processed through the SAP Workflow process and must include an explanation adequate to meet the requirements of the National Institutes of Health Grants Policy Statement (NIHGPS) Part II Section Cost Considerations-Cost Transfers.