At A Glance:

1
At A Glance
Budgetingfor Sponsored
Programs

• Laurilee Kramer
• Office of Grant and Research Development
• Washington State University
• Pullman, Washington

Deb Birgen Office of Sponsored Programs University
of Washington Seattle, Washington
2
Budget Preparation for Proposals

• Laurilee Kramer
• Grant Contract Coordinator
• Office of Grant Research Development
• Washington State University

3
What to consider when drafting a Proposal Budget

• FIRST Always consider the Program Announcement
  (PA) and the budget guidelines for allowable
  costs.
• THEN Consider the costs to complete your Scope
  of Work (SOW)
• How and where will I complete this project?
• Who am I going to need?
• What am I going to need?
• What should my budget include?

4
What are the Components of a Proposal Budget?

• Personnel Salaries, Wages and Benefits.
• Goods/Services Supplies and materials needed for
  the project.
• Travel Field Trips/Professional meetings.
• Equipment Specifically for the Project
• Consulting External Professional Services
• Subcontracts Collaborating with another
  institution/agency.
• Participant Support Program Attendees (if
  allowable)
• Facilities Admin The rate () of the cost of
  the institution to do
• Cost Rate business.
• Other Cost Share (if required)
• Budget Narrative Budget Justification to support
  the proposal budget.

5
What makes up the Personnel section of the
Proposal Budget?

• Personnel needed to complete the Scope of Work
• Principal Investigator(s) Professional
  Associates, Research Assistants Time Slip
  employees
• With regard to administrative employees, most
  federal agencies disallow proposal budgeting for
  administrative staff as this is a part of the
  Facilities and Administrative rate that is
  charged by the institutions.
• The program announcement will identify what is
  allowable for personnel.

6
What Makes Up the Goods and Services of a
Proposal Budget?

• Goods and Services refer to the material you need
  in order to complete the project.
• Goods and Services are not intended to provide
  for general office supplies as these are a part
  of the Facilities and Administrative costs
  charged to the grant proposal through the FA
  rate.
• Special research circumstances may require
  general office supplies in research projects. In
  these cases the budget justification needs to
  clearly explain the need.

7
Travel Costs What do I need to consider in
travel costs for the Proposal Budget?

• Consider the Scope of Work (SOW)
• Field Work,
• Collaborative/Professional Meetings,
• Annual Agency Meetings (Agency Required)
• Prepare the travel budget to include mileage,
  rental car, airfare, hotel and perdiem (meals)
  for the location of the meetings and or field
  experience.
• You will need to contact your grant/department
  administrator for travel rates.

8
How do I prepare a Proposal Budget to include
Equipment?

• Capitalized Equipment Equipment value of 5K or
  more. Excluded from FA.
• The equipment needs to be 1 unit in its entirety
  or equipment that has components dependent on
  each other in order for the operation of that
  piece of equipment.
• Non-Capitalized EquipmentEquipment value less
  then 5K Lab, video and computer equipment.
  Included in the FA rate.
• Again you want to be sure to refer to the
  Program Announcement (PA) for the proposal
  requirements regarding allowable equipment.
• Work with your department administrator or
  Purchasing Department to acquire bids for
  equipment. The proposal will typically require
  that you include bid sheets.

9
Consultant / Personal Service Contract inMy
Proposal Budget?

• Specific needs of the proposals SOW that can not
  be addressed by the personnel within your
  institution.
• If allowable within the Program Announcement
  (PA), you will work with your Purchasing
  Department to acquire bids from eligible
  consultants for the proposal budget.
• The consultant and the consultants bid will need
  to be explained in the budget justification.

10
What is Participant Support when Preparing a
Proposal Budget?

• Participant Support The cost of attendee(s)
  support for duration of the conference/workshop/pr
  ogram.
• Includes
• Travel Costs Meals Lodging
• Tuition/Registration/Conference Fees
• Attendee Stipend
• Participant support is excluded from Facilities
  and Administrative (FA) costs.
• The Program Announcement (PA) will clearly define
  what participant support is and what is allowed.

11
What is required when preparing a Proposal Budget
with a Subcontract?

• Subcontractors
• Scope of Work (SOW)
• Budget (Institution Approved)
• Letter of Intent (LOI)
• Facilities and Administrative Rate Agreement
  (FA)
• The subcontracting budget will then be
  incorporated in to the prime budget as one line
  item total. Some agencies may require that the
  subcontract budget be broken down and provided on
  federal forms following the prime institutions
  budget so you will want to check with the Program
  Announcement (PA) for the proposal requirements.

12
What is the Facilities and Administrative Cost
Rate (FA) and when are they applied?

• The Facilities and Administrative Cost Rate (FA)
  
• The approved cost rate (percentage) of doing
  business at the university/institution.
• For WSU, the Department of Health and Human
  Services audits and reviews the university rate
  and then approves of the rates set for both
  research and non research as well as on campus
  and off campus rates.
• When preparing the proposal budget you will want
  to apply the appropriate FA rate for your
  university to the Total Direct Costs less
  exclusions.
• Exclusions
• Tuition Waivers (graduate research assistants)
• Equipment (5K or more)
• Participant Support
• Rental costs (off-site facilities)
• Subcontract (after the first 25K for each
  subcontractor)

13
What do I consider if the Agency Requires Cost
Sharing?

• Cost Sharing Agency requires that the
  institution provide resources to show support for
  the proposed project. This is specifically in the
  Program Announcement.
• If the Program Announcement (PA) requires Cost
  Sharing you should consider
• Un-Recovered FA the difference between the
  institutions FA rate and the agencys allowable
  rate.
• Personnel Effort not budgeted for in the proposal
  (i.e., salary, benefits, and FA), (Faculty,
  Staff, Student)
• Wages contributed towards the project (wages,
  benefits and FA)

14
Cost Share (continued)

1. Equipment-purchased during the project period.
2. Goods, Services, Travel purchased toward the
   project (including FA)
3. Third-Party Non Federal Funds (Third Party
   Sponsor approval may be required.)
4. Volunteer Services
5. Scholarships/Tuition Waivers (College Dean and
   Graduate School Approval)
6. Donated Equipment, Land and Buildings. (Not often
   used.)

15
What additionally do I need to consider when
completing the Proposal Budget?

• Consult the PA and your Grants/Sponsored Programs
  Office for the correct FA rate.
• Consult the PA regarding the instructions and
  completion of the budget narrative. This will
  include content and page limitation (if
  applicable).
• PLAN EARLY So that you do not get pushed for
  time.
• Consult the Program Announcement (PA)
• READ IT, READ IT AGAIN
• HI-LITE IT
• ROUTE IT TO YOUR DEPARTMENT ADMNISTRATOR
• Some agencies are very clear and precise about
  how the proposals and proposal budgets should be
  prepared. You should not guess or deviate from
  the proposal instructions. If you have any
  questions, you should contact the agency and get
  clarification.

16
Questions/Contact Information

• If you have any questions, please feel free to
  contact me.
• Laurilee Kramer
• Washington State University
• Office of Grant and Research Development
• lkramer_at_wsu.edu
• [phone]
• Thank you.