Grant Accounting Finance And Treasury

Provide regular updates to the grantor, and be sure to document all decisions related to the use of grant funds. Establishing sound internal controls is essential for ensuring the financial security, accuracy, and completeness of your records related to grants. This includes having a separate bank account for grant funds, segregating duties among different team members, and having adequate documentation of all grant-related transactions.

Chances are we’ve had experience with your question in another
grant or with another agency. If assistance is required with reviewing financial reports, reconciling costs to planned budgets, system or report accessibility, or tracing an error in posting, please contact the Grant Accounting Office for assistance. Error corrections initiated beyond 60 days or after the project end date are continually an area of audit scrutiny, also requests that appear to use a remaining balance near or beyond the project end date may be questioned. Losses or disallowed costs on other sponsored projects are not allowable cost transfers, please see cost transfer policy.

What Types of Reports are Required for Grant Reporting?

Grant Accounting is committed to providing high-quality, efficient services to support the University in its mission of excellence in education. Grant Accounting is responsible for the development and dissemination of policies and procedures to ensure compliance with the rules and regulations of the University and funding agencies. The Office for Contract & Grant Accounting ensures good stewardship of sponsored funds and provides support to faculty and staff on post-award financial administration for externally sponsored projects. The program director or his or her designee initiates the expenditure of the grant funds. Requisitions for equipment and supplies and requests for honoraria/consultant services will be processed online using the Purchasing System.

• This includes having a separate bank account for grant funds, segregating duties among different team members, and having adequate documentation of all grant-related transactions.
• The objective of IAS 20 is to prescribe the accounting for, and disclosure of, government grants and other forms of government assistance.
• Losses or disallowed costs on other sponsored projects are not allowable cost transfers, please see cost transfer policy.
• Error corrections initiated beyond 60 days or after the project end date are continually an area of audit scrutiny, also requests that appear to use a remaining balance near or beyond the project end date may be questioned.
• GAO is responsible for fund collection, depositing and accounts receivable, as well as performing follow-up with any non-paying sponsors.
• We also review and are responsible for adherence to applicable Medical School and funding agency policies, billings, Financial Status Reports (FSR’s), and reconciliation and closing of accounts.
• An approved purchase requisitions entered online encumbers the necessary funds immediately.
• By partnering with us, your organization can be assured that its grant accounting and financial management are in safe hands.
• These audits can also help identify opportunities, such as potential areas of cost savings.

Each grant has its own Program File and the folders are filed alphabetically in the active program drawers. The program files contain all pertinent documents including the proposal, letter of award or agreement, correspondence, fiscal and program reports, etc. The Principal Investigator is responsible for
completion of all technical/programmatic/progress reporting; the Grant
Accountant is responsible for all financial reporting.

Uniform Guidance

Interdepartmental charges for food, printing and duplicating, telephone, the use of University vehicles, postage and storeroom supplies are posted to the University Accounting and Budget System by the Budget Office. Copies of grant invoices are forwarded to the Accounting Office for verification prior to being posted. Grant Program Directors should review, sign, and forward the invoices to the Accounting Office noting any discrepancies to be resolved. Grant requisitions can be processed by the Program Director online in the BFS through the Purchasing and Procurement Menu. Grant Program Directors may also contact the Accounting Office to establish access for their staff to handle this function.

• Grants should not be used in any way that could be perceived as fraudulent or unethical.
• The Purchasing Office staff will prepare a Purchase Order if the request for services is less than $1,500, and a Service Purchase Contract if the request is for more than $1,500.
• If a pool budgeting process is used, customarily the entire grant award is posted to one main budget pool line and the expenditures will draw from or reduce the pool line.
• The University prohibits any form of retaliation taken against anyone for reporting discrimination, harassment, or retaliation for otherwise engaging in protected activity.
• Having a full grant pipeline increases your nonprofit’s chances of success and improves your visibility and credibility.
• With these changes, grantees tied activity funding/commitment and draws to a specific grant in IDIS.
• It encourages collaboration between your nonprofit and the funder, and gives the funder some control over how the funds are utilized and sets the ground for future funding.

The Accounting Office is generally involved in the entire cycle of the grant program starting with the proposal process. Customarily, the Director of Accounting assigns an individual from the Accounting Office staff to the grant program to assist the program director in the day-to-day fiscal operations. In addition, the Accounting Director is also responsible for the overall direction of all grant accounting. Grant Accounting is responsible for all financial processes related to restricted fund activities. These include establishing chartfield strings and budgets for new grants, setting up budgets, reviewing and approving all encumbrance documents for appropriate funding. We also review and are responsible for adherence to applicable Medical School and funding agency policies, billings, Financial Status Reports (FSR’s), and reconciliation and closing of accounts.

Best Practices when Accounting for Grants

Take our 2-minute survey to find out if outsourced accounting and bookkeeping is a good fit for your organization. Please note a no-cost extension
should never https://www.bookstime.com/articles/what-is-grant-accounting be made simply to spend down unobligated funds. It may be hard to believe but getting too much money can sometimes destabilize a nonprofit organization.

Grant invoices are subject to review by the Accounting Office not only for fund monitoring purposes but also to ensure that the purchase is within the grant guidelines and proper accounting codes are used and shown on the invoices. The Accounting Office should be consulted early in the budget development process. The resources below provide instructional information on accounting, monitoring, and reporting on these grants. General and program specific resources are available to assist grantees in implementing grant based accounting requirements. When the final payment is
received and the grant account is at a zero balance, the Project ID will be
closed.

An efficient tracking and reporting system is a must-have in order to ensure accuracy and compliance when accounting for grants. Think routine summary reports, budget vs. actual reports, and variance analysis—all of these can help your team identify any discrepancies or issues related to grant accounting. GAO is responsible for coordination, negotiation and resolution of any financial review or audit related to University sponsored projects.

There are also various web applications available to assist with the financial management of accounts. Additionally, GAO is responsible to answer transactional questions or assist faculty and staff in determining the fiscal status of their awards. For more information, please visit the Accounting Related Tools section of our website. By partnering with us, your organization can be assured that its grant accounting and financial management are in safe hands.

After the program office has entered a purchase requisition and the Accounting staff has approved it, the Purchasing Office will convert the requisition into a bid or a Purchase Order depending on the dollar cut off. For Purchase Orders exceeding $1,500, bids must first be obtained from at least three vendors, unless the item is available only through a sole source. When the Purchase Order satisfies all the requirements, it is printed and mailed to the appropriate vendor.

Once the project is complete and
no additional expenses are expected, the Grant Accountant will submit the final
financial report, and the PI will submit the final technical report. These
reports are typically due within 90 days of the grant end date; however, please
refer to the terms and conditions of your award for specific reporting
requirements. Our office is here to assist you, while
helping to
protect you and the university from financial burden and audit
risk for the duration of your grant performance
period. We keep current with federal, state, UW System, and campus
policies your grant funds may be subject to.