OLPM

UNH.VIII Research Policies
(Note: OLPM sections on this page may be cited following the format of, for example, "UNH.VIII.O.1.1". These policies may be amended at any time, do not constitute an employment contract, and are provided here only for ease of reference and without any warranty of accuracy. See OLPM Main Menu for details.)

O. Not-fully-executed (NFE) Spending Accounts on Externally Sponsored Programs

1.   Definitions

1.1   Not-fully-executed (NFE) spending account: a budgeted account established in the University System of New Hampshire (USNH) financial accounting system for the purpose of permitting expenses in anticipation of receiving externally-sponsored funds for a University of New Hampshire (UNH) program or project.

1.2   Fully-executed spending account: a budgeted account for which UNH has received an award document signed by an authorized representative of the external sponsor of the award. The award document specifies the approved, authorized funding amount and the time period during which the funds may be expended.

2.   Policy

2.1   UNH recognizes that timely receipts of fully-executed awards from external sponsors may not always occur. However, in order to complete the objectives of a project or program, it may be necessary to order equipment in advance, to begin a seasonally-dependent project, to support students working on a project, or to continue work begun in a previous budget period of an awarded project, for example. To facilitate the research or other sponsored program in such a case, the UNH's Sponsored Program Administration (SPA) may establish a unique NFE spending account on the authority of the program or project director's UNH Responsibility Center (RC) unit head (normally a dean, institute director, vice president, or officially-named designee).

2.2   In making the decision to approve an NFE spending account for a specific program or project for a specific budget amount for a specific time period, the RC unit head must have received reasonable assurance that the externally-funded award will be made to UNH and must evaluate the level of financial risk to his/her unit budget. Any expenses charged to the NFE spending account that are not reimbursed ultimately by the externally-funded award must be reimbursed from the RC unit operating budget or some other non-federal or other non-restricted UNH funding source under the RC unit head's purview.

2.3   The program or project director, department chair, center director, and/or other UNH employee may be a guarantor(s) or co-guarantor(s) of NFE funds by signing the appropriate document and specifying the amount and source of non-federal or other non-restricted UNH funds under his/her purview as a UNH employee that will be available should the award not materialize in whole or in part.

2.4   The RC unit head will make the final determination about whether to approve or deny the request to establish an NFE. S/he must consult with the SPA to help determine the financial risk to the college/school/other relevant unit.

2.5   When an RC unit head approves an NFE for $500,000 or more, s/he must notify the Vice President for Research, the Vice President for Finance and Administration, and the Provost and Executive Vice President for Academic Affairs.

2.6   Due to the financial risk involved in approving an NFE, all requests to either increase the NFE budget amount or extend the NFE time period, or both, must be treated as though the requests are new, with all appropriate scrutiny and assurances applied to the approval process.

2.7   All parties, including the project or program director, the RC unit head, and the SPA, will endeavor to minimize the expenses against NFE spending accounts and minimize the time between establishing an NFE spending account and receipt of the fully executed award. All expenses to NFE spending accounts must conform to applicable policies and regulations of the proposed sponsor as though the expenses were made to a fully-executed account. When the fully-executed award is received, the SPA will promptly change the award status so that UNH may maximize its cash flow for sponsored programs.

 


This page last updated March 16, 2012. For information on the adoption and effective dates of policies please see explanation on the OLPM Main Menu.



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