Budget Development Seminar
For Faculty and Staff
Slide content courtesy Pamela B. Whitlock, March 31, 2007
Revisions by Office of Sponsored Programs staff November, 2012
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Introduction
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ORS’s Role in Budget Development
– To assist in translating your ideas into
spending categories recognizable by both
UNCW and the sponsor
– To protect the university and yourself as PI
– To provide advice to best maneuver through
institutional policies and procedures
– AVOID POST-AWARD PROBLEMS
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Agenda
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Good budgets, good planning, good faculty
preparation
Hints from NSF/NIH
Personnel, subcontracts, supplies v. equipment
F&A Recovery
Budget narrative – Justify, Justify!
Working together
Happy endings (results of good budgeting)
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Budget
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What is a budget?
– Financial expression of the proposed scope of
work
– A guiding document for conducting work
when awarded
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Criteria of a good budget
Translates resource needs to dollars
z Conforms to agency (sponsor) guidelines
z Provides realistic estimates
z Supports the project or program
z Explains itself
z Plans ahead
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What are the advantages of
good planning?
You have already received “approval” for
equipment, travel, etc
z Reduces frustration and time in setting up
a new account
z Minimize budget revisions and time it
takes for agency approval if needed
z PI aware of special approvals and
deadlines that may be required
z Preserves the integrity of the project
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Faculty Preparation
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Devise a workplan/business plan – refer to your
scope of work
Know what the sponsor will fund
– Summer salary, release time, equipment
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Know the sponsor’s general range for funding
Find out the cost-sharing or matching funds
requirements, if any
Are there limits on allowable costs?
Know your sponsor’s preferences
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Hints from NSF/NIH Program
Review
Look at previously funded projects
z Provide a strong connection between
project design and $$
z Note significant changes across years
z Include a timeline
z Make sure your numbers match throughout
the proposal
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Developing Your Budget for a
NIH/NSF Grant
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http://grants.nih.gov/grants/developing_bu
dget.htm
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https://www.fastlane.nsf.gov/jsp/homepage
/proposals.jsp
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Things to remember
READ and RE-READ sponor guidelines
z Abide by sponsor requirements
z Be explicit on cost sharing – make your
case - (do not volunteer)
z NSF participant costs cannot be moved to
a different expense line
z Other sponsors won’t permit F&A to be
moved
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Personnel
Accurate and fair salaries
z Different types of employees - benefits
and obligations
z Termination, annual leave payout
z Hiring process and recruitment
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http://www.uncw.edu/hr/index.html
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Subcontracts
Does the subcontractor know about this
proposal?
z Need both institutions to sign off (letter of
commitment)
z Certifications
z Sponsor approval – is the subcontract in
the proposal?
z Are you buying services or do you have a
partner?
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Supplies v. equipment
Need to know the sponsor’s definition
z Need to know UNCW definition
z Sole source issues
z Lease/buy analysis – vessel leasing
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http://www.uncw.edu/ba/finance/Purchasin
g/index.html
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Cost Sharing
z Voluntary
z Cash
z In-kind
z Reporting
– establishment of cost
share fund
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http://www.uncw.edu/ors/documents/ORS_Poli
cy_09010_Cost_Sharing_and_Matching_5-3012.pdf
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F&A Recovery
Rates
z Base
z Sponsor policy
z What it is – recovery of REAL costs
z What it isn’t – ORS profit
z And your department gets some back!
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http://uncw.edu/ors/documents/FARateAgre
ement-FY115-5-11.pdf
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Budget Narrative and
Justification
Tie budget into workplan
z Explain WHY
z Include details
z Have a reasonable basis for projected costs
z Make sure it is RIGHT and math is correct
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Working together
Faculty and department staff
z ORS/OSP
z Purchasing
z Accounting
z Human Resources
z Subcontractors
z Collaborators
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Happy ending
Project implementation is seamless
z OSP will smile at you!
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Summary
Developing good budgets
z Advantages of and criteria for good
planning
z Who is involved? “It takes a village.”
z How ORS/OSP can help.
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Where to Get More Information
Future workshops sessions
z Email us: powellp (Panda), foxp (Patty),
mausm (Marc), mckoyk (Kimberly), finnj
(John), nicholsc (Cheryl)
z Call to discuss – we will come to you!
z Come by and visit ORS/OSP!
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http://uncw.edu/ors/index.html
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Questions from you
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