Subrecipient monitoring

Contracts & Subawards
And the winner is… YOU
Now What?
The contract process begins between ORTT
and your Sponsor.
What is a Contract?
A Contract…
 …is a binding agreement
 …is legally enforceable
 …must be signed by a designated authorized
official (Dr. Andrew Sustich)
What is a subcontract (subaward)?
A Subcontract…
 …is between a party to the original contract
and a third party
 …is a binding agreement
 …is legally enforceable
 …must be signed by a designated authorized
official (Dr. Andrew Sustich)
Subrecipient monitoring
 A subrecipient is a third-party organization performing a
portion of an externally funded project.
 ASU both receives and issues subaward agreements.
 SPA assists with post-award financial monitoring of awards
to subrecipients
Subrecipient monitoring
 Prime recipient must demonstrate reasonable effort to
assure subrecipient compliance
 Federal award information and compliance requirements identified to
 Subrecipient activities are monitored,
 Subrecipient audit findings are resolved,
 Impact of any subrecipient noncompliance on the pass-through entity is
evaluated, and
 Subrecipient provides reasonable assurance that required audits and
appropriate corrective action on audit findings occurred
Subrecipient monitoring
 Subrecipients are subject to all terms, conditions, and
regulations of prime agreement.
 Copy of prime agreement attached to subaward agreement
 Federal regulations:
 Office of Management and Budget (OMB) Circular A-133,
Compliance Supplement, Part 6, Section M.
 Required on all federal subawards
 ASU applies to nonfederal subawards for consistency and
oversight purposes
Subrecipient monitoring
Example: In addition to OMB circulars A-21, A-110, and A-133, this agreement cites:
Subrecipient monitoring
 Prior to issuance:
 Risk assessment:
 Evaluate subrecipient’s environment, systems, and controls sufficiently to
identify the level and methods of monitoring required
 Identify risks from external sources, i.e., economic conditions, regulatory
 Identify and react to changes in subrecipients:
 financial problems that could lead to diversion of grant funds
 loss of essential personnel, licensure or accreditation to operate program
 organizational restructuring
Subrecipient monitoring
 Post-award control procedures:
 Provide Federal award and compliance information to subrecipient
 Regular PI inquiries to subrecipient concerning the program
 Review subrecipient reports and follow-up on concerns
 Monitor subrecipient budget expenditures
 Perform site visits to review records and observe operations
 Offer subrecipient technical assistance, where needed
 Recordkeeping system to assure adequate document retention by subrecipient
 Tracking system to assure timely submission of required reporting
Subrecipient monitoring
 Post-award financial monitoring procedures:
 ORTT provides SPA with executed subaward
 SPA:
 Excluded Parties List for debarred parties
 FSRS (Federal Subaward Reporting System) FFATA (Federal Funding
Accountability and Transparency Act) for subawards >$25K
 Internal record to maintain award information and budget
Subrecipient monitoring
 Post-award financial monitoring procedures:
 Subrecipient invoices should be submitted directly to SPA:
 Current and cumulative costs
 Signed statement certifying that costs are in compliance with A-21 and/or
sponsor requirements
 SPA reviews for allowability and availability of funds
 May request additional support for charges
Subrecipient monitoring
 Post-award financial monitoring procedures:
 If approved, SPA submits to PI for approval:
 PI to review for improper, unallowable, unusual, or excessive costs
 Subject to the same terms, conditions, and regulations as prime
 Does the invoice reflect the work being reported in conversations and technical
 Was each expense necessary for the performance of the grant?
 Request further information as needed
 Typically, vendor receipts. Subaward terms require that evidentiary support be
maintained by the subrecipient for the entire audit period, whether or not the prime
ever requests such support
Subrecipient monitoring
 Post-award financial monitoring procedures:
 If you have any concerns over a subaward invoice, please
contact SPA immediately to determine necessary actions
 If approved, PI submits for payment:
 Academic department requisitions payment in a timely fashion
 Under no circumstance should invoices be held without cause, as this violates ASU’s
responsibility to provide prompt payment for services rendered
 Requisition approved by PI, chair, dean, and SPA; payment issued
Subrecipient monitoring
 Post-award financial monitoring procedures:
 PI must monitor technical reports and expenditures and maintain
regular contact with subrecipient:
 Sufficient progress in the right direction
 Charges appearing on invoice are appropriate
 Notify the department and SPA of any deficiencies that may
necessitate revision of the subaward relationship
 Modifications to subawards must be issued by ORTT as the
contracting authority for sponsored projects
Subrecipient monitoring
 Post-award financial monitoring procedures:
 Annual A-133 compliance:
 SPA issued A-133 compliance confirmation to each subrecipient
 Corrective action or refund may be indicated by audit findings
 Subrecipients not subject to A-133 audits may be asked to submit audited
financial statements, certification of costs, or other documentation deemed
necessary for assessing compliance
Subrecipient monitoring
Prime Sponsor: DOI USFWS
Prime Recipient: ASU-J
Incrementally funded
ASU awarded $44,025
Subaward budget $22,883, or
52% of total award
Subrecipient monitoring
Subawards are budgeted in supplies under account 711004 Other Contracted Services.
Be cognizant of this special budget line to avoid overspending your supplies budget.
All that to say…
1. Subawards are subject to the same terms,
conditions and regulations as the prime
2. ASU must make a reasonable effort to
ensure sub-recipient compliance.
3. Call SPA with ANY concerns or questions.
Other Contracts
Helps facilitate research…
 Material Transfer Agreements (MTA)
 Non-Disclosure Agreement (NDA)
 What is it?
 A third-party grant submission manager
 ASU-J’s official grant repository and approval management system
 How does it work?
 PI’s (or ORTT) download an opportunity and create a proposal
 Cayuse automatically populates it with the correct federal forms, if available
 Once “built,” proposals are routed through the approval process and then submitted
 How can it help?
 Cayuse is: centralized, easy to access, uniform, and has excellent tech support
 Can easily upload attachments
 Makes storing and tracking submitted proposals MUCH easier
Cayuse Continued…
Access Cayuse through the ORTT Website:
OR directly:
Warning: Explorer and Mozilla Firefox are preferred web browsers. Cayuse does not work properly with Safari or other browsers.
Internal Funding Opportunities
 Faculty Research Awards Committee (FRAC)
 Compensated Leave (October)
 Faculty Reassignment (February)
 Faculty Development Endowment (October &
 Faculty Research Award (February)
Compensated Leave
 Compensated leave may be granted for research, writing, other
professional creative activities, graduate study leading to advanced
degrees, travel for study/research, retraining tenured faculty
members who teach in programs being phased out, or for further
study to upgrade specific program(s).
Faculty Reassigned Time
 40 Semesters provided by Office of Research
& Technology Transfer (ORTT)
 Spring Competition
 Submit proposals to ORTT
 Fall, Spring, or full year
Faculty Development Endowment
 Lane: international travel up to $1000
 Deutsch: domestic travel and other activities
up to $500
 Contingent upon health of stock market
 Applicant has not received an award from the
fund for 3 years
Faculty Research Award
$40,000 provided from E&G
Spring competition for following fiscal year
Seed money for larger grants
Used to expand scholarly activity
Only one proposal per PI
Encouraged to include students in proposal
Consult with faculty representative
Faculty Research Award Cont.
Special consideration for:
1) First time applicants
2) Non-tenured applicants
3) An applicant who has not received this award
for 10 years
 Homework
 Email your proposal draft to Carla or Rebekah
(Cheryl) by noon Friday.

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