Award Management - Pre-Award Spending/Contingent Accounts
There are two types of pre-award spending that can be requested for sponsored projects.
Type 1: 90-Day Pre-Award Spending:
For federal grants and cooperative agreements issued under Expanded Authorities, the federal funding agencies have transferred to the University the authority to incur costs up to 90 calendar days prior to the official start date of the award.
Type 2: Contingent Account Request:
Under certain conditions, an Investigator or Department may request an account prior to the actual receipt of the award. This can be done according to sponsor guidelines and regulations through completion of a Request to Issue a Contingent Ledger 5 Form.
In most cases, pre-award account establishment cannot occur more than ninety (90) days prior to the actual award start date (without sponsor approval). The Department Chair or Division Chief must indicate approval of the request by signing the form and providing an alternate unrestricted account number, indicating willingness to assume fiscal responsibility for any charges if the award fails to materialize.
The Request to Issue a Contingent Ledger 5 Form must be completed by the Principal Investigator. Project title, project period, expected award amount, and the F&A (indirect) cost rate must be stated. In addition, on the back of the form, the Principal Investigator must state why pre-award costs are necessary.