Award Closeout Process

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Departmental Research Administrators Training
Track

• Award Closeout Process

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Closeout Guidance and Procedures

• Module 1 General Information and Requirements
• Module 2 OSP/OCGA Procedures
• Module 3 Closeout Forms
• Module 4 Closeout Checklists

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Questions to Answer

1. Who is responsible for closing out grants and
   contracts at UMBC?
2. Where do I find required final report forms?
3. When are final reports due?
4. Who can I ask to help me close a grant?
5. Does every agency require the same thing?

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Module 1 General Closeout Information

• Closeouts and Compliance
• Accurate and timely submission of closeout
  documents is an essential compliance focus for
  the federal government.
• Processing closeouts on time is becoming more
  important with American Recovery and Reinvestment
  Act (ARRA) funds.
• Project Transfer
• If a project is transferred to another
  institution or terminated early for the
  convenience of the Sponsor, closeout procedures
  remain the same or are specified by the Sponsor
  and should be processed by OSP.
• Project Termination
• Documentation required to terminate a project
  early should be handled by OSP.
• OSP and OCGA websites
• A helpful resource for closeout information and
  forms
• http//www.umbc.edu/research/OSP/policies20and20
  procedures/policies_procedures.html
• http//www.umbc.edu/FinancialServices/grantacct.ht
  ml

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Module 1 General Closeout Information

• Most sponsors require final reports to be
  submitted within 90 days of termination of the
  project.
• Meeting the 90 day deadline is very important
  when the award document clearly states that final
  invoices/billings received after the 90 day
  deadline will not be acceptable and will not be
  paid.
• Not every Sponsor requires the same reports, and
  Sponsors do not use uniform forms. OSP will find
  out what forms are required and are responsible
  to submit the right form for each specific
  agency.
• Most Sponsors require a final technical report,
  final property report, final patent report and
  final financial report.
• These deadlines can only be met when OSP, the PI,
  OCGA, and Department Administrators work
  together.

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Module 2 Closeout Procedures

1. OSP will receive notice from the Sponsor stating
   that it is time to close an award
2. OSP will send via email a project closeout
   notification to the PI and Department
   administrator. The email will state the project
   end date and date required for closeout. The
   email will also state which final reports are
   needed.
3. OSP will send a reminder email if final documents
   are not received 30 days before Sponsor deadline.
   
4. The PI is responsible for preparing the final
   technical report, and responding to OSPs email
   concerning any property or patents associated
   with the grant or contract.
5. The Department Administrator is responsible for
   preparing the final certification of expenses and
   sending a copy to the Office of Contract and
   Grant Accounting.

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Module 2 Closeout Procedures (Contd)

• When OSP receives the appropriate closeout
  documents from the PI and Department, OSP will
  process the final technical report, final patent
  report, and final property report. OSP will also
  keep on record the final certification of
  expenses.
• OSP waits to receive confirmation from the
  Sponsors closeout official that documents are
  complete before officially closing the grant.
• OSP keeps terminated files for at least three
  years or amount required by Sponsor.
• Office of Contract and Grant Accounting provides
  the Department closeout checklists and final
  expense certification form to be completed.
• Office of Contract and Grant Accounting is
  responsible for completing all final financial
  reports and submitting to the Sponsoring Agency.

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Module 2 Closeout Procedures (Contd)

• Since sub-awards often require the same reports,
  these procedures usually pertain to sub-awards as
  well.
• Inactivation of award components in Peoplesoft
  occurs once all necessary adjustments are made,
  final invoices are processed and payments are
  received. OCGA performs the following
• HR Account Codes are removed
• Project Activity is set to Inactive status
• Project is set to Inactive status
• Contract is set to Closed status
• Award is set to Closed status

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Module 2 Closeout Procedures

• The letter to the left is a common format for
  federal agencies.
• Letters like this inform OSP that a grant needs
  to be closed and what reports are needed.
• Occasionally these letters are sent to the PI
  if that happens that PI should forward to OSP.

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Module 2 OSP Closeout Procedures

• The PI and Business Manager will receive this
  letter after an awards project end date.
• The PI is responsible for filling out the letter
  ASAP and returning to the OSP member that sent
  it.
• If property or patents are associated with the
  project, OSP will work with OTD and Asset
  Management, along with the PI and Business
  Manager to file reports.

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Module 3 Closeout Forms

• After the PI returns the closeout letter, OSP
  will know if patents/inventions were associated
  with the project.
• OSP is responsible for filling out the invention
  report. OTD is also responsible to assist OSP if
  inventions are associated with the grant.
• The report template to the left is the most
  common final invention report but there are
  others as well.
• This form can also be used to report inventions
  on a sub-award.

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Module 3 Closeout Forms

• Final Property Report
• Unless the Sponsor has a specific final property
  report template, OSP uses the form to the left.
• It is the PIs responsibility to answer the
  closeout letter correctly to inform OSP if
  Government furnished property is under the grant
  or if grantee-acquired items are under the grant.
• Equipment means tangible nonexpendable personal
  property including exempt property charged
  directly to the award having a useful life of
  more than one year and an acquisition cost of
  5000 or more per unit. (A-110)
• Government furnished property is any property
  that the government loans to the grantee for the
  life of the grant, or property that the grantee
  purchases with government money, where the title
  does not automatically vest with the grantee. The
  Grantee will have to request ownership at the end
  of the grant.
• If property was purchased with a grant, Asset
  Management may assist OSP with reporting.

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Module 3 Closeout Forms

• Retaining Property at Closeout Time
• Under Expanded Authorities, property purchased
  on a grant usually remains with the University
  after the grant is completed.
• However, if the property belongs to the
  government, like with some government contracting
  companies, UMBC will need to write a disposition
  letter requesting title of the property to vest
  at the University.
• The item, cost of the item, and purchase date are
  needed for a letter of disposition.

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Module 3 Closeout Forms

• Reporting Property for a Sub-award
• If UMBC is a sub-awardee, the university is still
  held responsible for submitting final reports to
  the prime sponsor.
• The form to the left is the form that UMBC uses
  to report property used on the sub-award.
• Timely submission of this form to the prime
  sponsor is essential for compliance. Likewise,
  UMBC needs final reports from sub-awards given to
  maintain compliance.

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Module 3 Closeout Forms

• Final Financial Report
• The Business Manager/PI are responsible for
  preparing the final certification of expenses and
  submitting promptly to OCGA.
• OCGA has a schedule and or receives notices from
  the Sponsor indicating when the final Financial
  Status Report (FSR) is due.
• OCGA must submit the Final FSR within 90 days of
  the end date of the award for all Federal awards.
  Non federal awards may have different deadlines.
  OCGA attaches final FSR . in the Projects/
  Attachments tab in Peoplesoft.
• OSP requests a copy of the final FSR for filing
  purposes.

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Module 3 Closeout Forms

• Final Technical/Progress Report
• It is the PIs responsibility to prepare the
  final technical report promptly after a projects
  end date.
• There is not a uniform template for all final
  technical reports. Some agencies have template
  forms and some do not. It is the PIs
  responsibility to draft the final technical
  report according to agency regulations.
• Some PIs find that calling their program person
  for advice is helpful, and other times the
  Sponsor will be specific in what should be
  covered in the final technical report in the
  grant notice.
• It is the PIs responsibility to send OSP a copy
  of the final technical report to send out. If
  the PI submits their technical report
  electronically, like with NIH, OSP still needs a
  copy for filing purposes.

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Module 3 Closeout Forms

• The letter to the left is one we received from
  NIST stating that a grant was officially closed.
  
• All agencies are a little different, but it is
  common to get a letter similar to this once a
  Sponsor has received all final reports.
• If OSP receives a letter like the one given and
  some final reports are not on record, then the
  letter is sufficient enough to close the grant.

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Module 4 Closeout Checklists

• SPONSORED ACTIVITY CHECKLIST
• Review, verify and reconcile the award amount,
  actual expenditures, F A and encumbrances from
  the ledger to your internal records. Lists of
  selected items of cost contained in OMB
  Principles Circulars can be viewed at
  http//www.whitehouse.gov/omb/fedreg/
• Order all supplies and equipment and submit POs
  90 days before the end of the project/grant.
• Reconcile P-card clearing account and allocation
  is complete.
• Verify that personnel and time and efforts being
  charged to the grant are according to the budget
  and the rules and regulations of the awarding
  agency.
• Send closing letter to subrecipients on the
  project/grant informing them of their remaining
  balance, the time frame that they have to close
  their subcontract and submit the final invoice to
  us within 45 days after the close of the grant.
• Submit all information concerning extensions,
  continuations or carry forwards to the OCGA.
• JE entries must be completed and submitted before
  the end of the grant and a copy sent to all those
  concerned.
• Communicate with your project/grant accountant
  concerning any issues or concerns that you may
  have in relation to the grant closing.
• Communicate any changes to the project/grant that
  may have an effect on the closing (e.g. change in
  end date)
• Submit Cost Sharing data to the Office of
  Contract and Grant Accounting.

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Module 4 Closeout Checklists

• Grant Closing Checklist for Department
• Verify correct calculation of FA
• Verify completion of all Purchase
  Orders/Requisitions
• Verify receipt and payments of final invoice for
  all subcontracts
• Verify completion or de-obligation of all
  commitments/encumbrances
• Verify posting of all P-card allocation.
• Verify the posting and accuracy of all
  expenditures, include all JEs
• Verify the posting of all payroll transactions,
  including Retros
• Verify that there are no DBEs or Positions
  associated with the project
• Verify and submit certification and expenses to
  OCGA
• Verify certification of all Effort Reports
• Verify the fulfillment of cost sharing commitment
• Verify submittal of all final reporting according
  to the grant terms (i.e. final invention
  statement, final property report, final financial
  report, and final progress report)

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Module 4 Closeout Checklists

• The checklists have been developed to help us
  facilitate a closeout that is timely, accurate
  and according to the rules and regulations of the
  awarding agency, OMB A-21, and OMB A-110.
• Departments should review projects for
  inactivation within 60 days after the end date.
  This is necessary so that the final financial
  report is accurate and submitted to the agency
  according to the regulations. Departments will be
  responsible for expenditures that cannot be
  legitimately charged to the project/grant.
• Please keep in mind that government regulations
  strictly prohibit the indiscriminate spending of
  funds merely to fully utilize award dollars.
  Furthermore, OMB Circular A-21 states, any cost
  allocable to a particular research agreement may
  not be shifted to other research agreements in
  order to meet deficiencies caused by overruns or
  other fund considerations(C.4.b). However, if
  a legitimate explanation exists as to why the
  funds could not be expended before the expiration
  date, please contact Sponsored Programs
  immediately to discuss a no-cost extension.

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Questions????