10.2.6 Funding in Anticipation of Award Policy

1. Background

   Florida Atlantic University is required by regulation 2 CFR, Part 215 to consistently and uniformly administer sponsored projects.

2. Purpose

   Project accounts are established for all federal and non-federal sponsored projects. The purpose of this policy is to establish uniform procedures for both Federal and Non-Federal intended projects, to provide guidance in establishing project accounts and budget authority based upon evidence of intent to fund a project received from the sponsor.

3. General Statement

   The Office of Sponsored Programs is available to answer questions and provide assistance regarding the requirements of the Funding in Anticipation of Award Policy.

4. Policy

   At times, the Principal Investigator (PI) may need a sponsored project account and the associated budget authority established in Workday prior to FAU receiving the official award notification or executed contract from the sponsoring agency.

   To request a sponsored project account prior to award receipt or execution, the PI should complete and submit the Funding In Anticipation of Award form to the Award Administrator in the Office of Sponsored Programs.

   When completing the form, please be aware of the following:

   1. The form must be completed in its entirety.
   2. Evidence of the sponsor’s intent to award the project is required to be included with the form. Evidence may include an email from the sponsor’s official indicating their intent to fund the project.
   3. Anticipated amount of funding should be no more than 25% of the budget period award amount.
   4. Funding in anticipation accounts will be authorized for up to three (3) months.
   5. For account requests requiring more than 25% of the budget period award amount and/or additional time beyond three (3) months, a justification must be provided that includes the reason why funding is delayed, and approval must be obtained by the Associate Vice President for Research or designee.
   6. An account number, as collateral in case the new project is not funded, is required. The account used as collateral must be an E&G or research overhead account and not a sponsored account.
   7. Signatures from the PI, Department Chair and College Dean or designee are required.

   Approval

   Approval of the request for a project account is subject to review of the information provided.

   Establishment of a sponsored project account by the Research Accounting office is subject to the approval of the request referred to above. The account will be set up in Workday as if the project were funded, but can only be approved for a period not to exceed three months, unless approved for a longer period by the College Dean or his/her designee and the Associate Vice President for Research or designee in the Office of Sponsored Programs.

   Award Notification Received

   Upon receipt of the official award document or contract, the Office of Sponsored Programs will review the award document and submit a Continuation Post-Award Worksheet to Research Accounting for any remaining funds awarded for the budget period.

   Award Notification “NOT” Received

   If the project is not awarded or the contract is not executed, then any expenditures incurred will be transferred to the collateral account provided in the Funding in Anticipation of Award form.

   Start Date Differs from Originally Anticipated

   If the start date of the project differs from what was established in Workday and prevents expenditures from being charged to the sponsored account, these expenditures will be transferred to the collateral account.

5. Definitions

   Evidence of Intent

   A document from the sponsor outlining the intent to fund a proposal or an agreement between FAU and the sponsor before the agreement is finalized.
   2 CFR, Part 215

   Standards for obtaining consistency and uniformity among Federal agencies in the administration of grants to and agreements with institutions of higher education, hospitals, and other non-profit organizations.
   Project Account

   An account established in Workday to record the revenues, expenditures and encumbrances.

6. Accountability

   The Principal Investigator is responsible for completing and submitting the Funding In Anticipation of Award request form to initiate a sponsored project account. This request must include all the required information and signatures. The Principal Investigator, Department Chair and College Dean are responsible and accountable for compliance with the criteria required by this policy.

   The Office of Sponsored Programs is responsible for reviewing and approving all anticipation funding requests based upon the criteria set forth in the Funding in Anticipation of Award Policy.

The Funding in Anticipation of Award Policy will be reviewed and updated as necessary.