UTA Legal Docs

RA-PR-06 Cost Transfers to Grant Project ID’s Procedure

I. Title 

Cost Transfers to Grant Project ID’s Procedure 

II. Objective 

All costs applicable to a sponsored activity should be correctly recorded in a timely fashion to the appropriate project ID. Delays or errors in expenditure processing and subsequent cost transfers can affect invoicing and payments received from sponsors that could potentially lead to disallowed costs or damage the relationship with sponsors of university research.

III. Scope 

This procedure is applicable to grant sponsored projects.

IV. Procedure 

  1. Transfers of cost to, from or between sponsored projects can be made to correct bookkeeping or clerical errors in original charges. Such transfers must be requested as soon as possible and be supported by documentation that contains an explanation of the error (with transaction number references) and follow the terms and conditions governing the award.
  2. Transfers to other sponsored projects to meet deficiencies by overruns or other fund considerations are not acceptable as justification.
  3. Roles and Responsibilities 
    1. Principal Investigator (PI)
      1. Ensure compliance with this procedure.
      2. Identify expenses requiring Cost Transfer.
      3. Retain hard copies of all related documentation in accordance with applicable record retention regulations.
      4. Ensure all personnel engaged in the financial administration of grant accounts are familiar with this procedure.
    2. Office of Grant and Contract Services (OGCS)
      1. Review and approve cost transfers.
      2. Assist in interpretation and implementation of this procedure, including prior review of explanations for transfers crossing the ninety-day lateness threshold.
      3. For repeated Cost Transfers, OGCS may train the PI and department personnel in the potential impacts such transfers have on sponsored funding and where appropriate inform the PI’s supervisor or other administrative personnel.
    3. Grant Accounting
      1. Make the necessary adjustments or entries into the UT Share accounting system.
  4. Cost Transfers 
    Requests for Cost Transfers involving Project ID’s should be emailed to the OGCS Post Award Grant and Contract Specialist or to postaward@uta.edu for approval. This correspondence should detail the cost transfer request, provide a detailed justification for the transfer, and identify the projects involved. Justification must be more descriptive than “correction of error.” If approved, OGCS will forward the approval to the Office of Grant Accounting for the transfer of the expense in the UT Share accounting system. All cost transfers more than ninety days after their identification will require higher scrutiny, more extensive justification, and approval from the Assistant Vice President of Research & Innovation or the Director of Grant and Contract Services.
  5. Payroll Corrections 
    Payroll corrections identified through the payroll confirmation process normally require a subsequent payroll adjustment or correction and are completed by a change to the individual’s appointment via an e-Form through the normal appointment process in the accounting system.

V. Definitions 

Cost Transfer: A transfer of costs to, from or between Project IDs for a charge previously recorded elsewhere.

Examples: 

  • Transfer pre-award costs from a departmental Cost Center;
  • Correct a clerical error; 
  • Reallocate effort expenses to reflect actual effort and subsequently confirmed through the payroll confirmation process; and 
  • Reallocate shared services that were previously charged elsewhere, etc. 

VI. Relevant Federal and State Statutes 

2 C.F.R. § 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards 

VII. Relevant UT System Policies, Procedures and Forms 

  • Guide to Allowable Costs
  • UTA Policy RA-PO-06 Distribution of Indirect Cost Recovery Policy
  • UTA Procedure RA-PR-05 Allowable Cost Procedure

VIII. Who Should Know 

Employees involved in grant sponsored projects.

IX. UTA Office(s) Responsible for Procedure 

  • Responsible Officer: Vice President for Research & Innovation 
  • Sponsoring Department: Office of Grant & Contract Services 

X. Dates Approved or Amended 

February 7, 2023 

XI. Contact Information 

All questions regarding this procedure should be directed to: ogcs@uta.edu Send notifications of errors or changes to: policysite@uta.edu