Grant Accounting 201

1. Grant Accounting 201 I have the grant, now what!? Presented by Grants and Contracts Financial Services (GCFS)

2. Introduction We plan to cover: • Overview of funding • What’s the PI’s role? • What’s Grants and Contracts Financial Services role? • Expenditure Compliance • Reading PS Financial Reports • “Gotcha’s”! • Summary

3. Vocabulary • Department ID = Org. Code • Account # = Expenditure Code • PI = Principal Investigator • F&A (or indirect costs) • PeopleSoft (PS) System = Finance System or General Ledger • also PS Payroll & Student Admin. (will specify)

4. Overview of funding • The funds are under JMU’s Control • Must be good stewards of public funds • No ‘pool of money’. Most grants are paid on a reimbursement basis. • Everyone wants to add a regulation! • Specific grant instructions; JMU policies and procedures; state regulations; federal regulations; federal law.

5. What’s the PI’s Role? • Person of many hats • Researcher, Manager, Accountant. • Has DIRECT responsibility for Grant • Must complete responsibilities of grant • Must work within approved budget • Must insure “Matching” is met • Maintain Adequate Documentation • May delegate workload

6. What’s Grants and Contracts Financial Services Role? • Establish Financial Framework • PS Dept ID(s); Budgets • Maintain ‘auditable’ file • Post-award compliance officers for the University • Billing/Collection from Sponsors • Prepare Financial Reports • Timely close-out of grant

7. Procurement Rules • Same for Grants as other University funds • (Unless stated in Award) • May actually be more restrictive • Must relate to grant work • No Membership fees, subscriptions

8. Expenditures (General) • EVa must be used • PCards must be used/reconciled • Forms: • Accounting Voucher • Travel Authorization (over $500) • Travel Reimbursement Voucher • Agency Transfer Voucher (ATV)

9. Expenditures (Travel) • VA State (JMU) rules apply • (Unless specifically addressed in the award) • Personal Car Mileage: • $0.325/mile 300 miles or less round trip • $0.19 if over 300 mile round trip • Unless stated in Grant • Unless motor pool certifies that no car is available • No car repair bills, speeding tickets, parking tickets, etc.!

10. Expenditures (Travel) cont’d • Hotel Expense Limits • Still follow state guidelines • With permission, 150% of allowed maximum • Per Diem expenses • Meals, Phone, tips, laundry, etc. • Reduced by “supplied meals” • No receipt necessary

11. Expenditures (Travel) cont’d • Receipts required for: • Hotel (Original, with $0 balance) • Parking • Public transportation (cab, shuttle, bus) • Business Meals (Itemized) • Documentation for “group” expenses • List with individual signatures is good • Foreign flights (Coach Class) • Must be on US flag bearer! • Foreign Travel authorization required

12. Expenditures (Business Meals) • Must follow per diem per person • Must have at least one “non-JMU employee” • No Alcohol • Itemized receipt • Written justification (description of purpose).

13. Expenditures (Payroll) • Employee vs. Contractor • Has bearing on taxes withheld • What ‘control’ exists over person? • See 20 questions on Payroll Website • If in doubt, contact Payroll • Must follow immigration rules • Contact Gina Kudrav in International Prog. with questions

14. Expenditures (Payroll) cont’d • Forms • PAR Form/Student Employment Contract • Accounting Voucher (Contractor) • FICA taken with all PAR forms • Student Employment Contract • Use “Instructional Employment” Account Code on new PAR/Student Contract • FICA normally not withheld • Summer my change with each paycheck • Employer’s FICA adds to Lump Sum expenditures • Contact Payroll with tax questions

15. F&A (Facilities and Administration) • Part of the Grant budget • Does NOT reduce direct expense budget • 50% returned to Instruction • 40% Department; 10% Dean • Must be spent in support of Grants • Withheld from budget loaded to PeopleSoft. • Budget increased with each charge.

16. Demo of Available Reports

17. Why should the PI keep records? • PI’s responsibility! (Stewardship) • Like reconciling a checkbook • Insure accuracy of keyed data • Track Timing differences • Track ATV (automatic) charges • Postage, FM, Copy Center • Insure ‘matching’ is met • 5 year record retention

18. GOTCHA’s • Timing of transactions to PS • Grant Period expiration • Payroll ‘passes’ budget checks • Employer FICA is added to Lump Sum PAR form amount. • Not following the budget.

19. Summary • Generally, JMU rules apply • Buck stops with PI (and department) • GCFS provides assistance and reviews for compliance • When in doubt, refer to the award

20. Where to Get More Information • Other training sessions • IIS Training (PS Financials) • Accounts Payable Training • Payroll Training • Websites • GCFC (www.jmu.edu/acadaffairs/grants.shtml) • Finance (www.jmu.edu/financeoffice/) • JMU Financial Procedures Manual

21. Where to Get More Information (cont’d) • GCFS - MSC 5713 JMAC Building 6, Suite 30 • John Hulvey • 83725 hulveyjd@jmu.edu • Brenda Wilburn Seifried • 82314 wilburbc@jmu.edu • Donna Crumpton • 88099 crumptdl@jmu.edu • Kyra Shiflet • 87108 shiflekl@jmu.edu