Changes to Funded Grants > Part Two

Quick Guide to Managing the Project Accounting Module in FMS
The responsibility for the financial management of a project falls squarely on the shoulders of the PI/PD. The use of the project accounting module in the ORACLE financial management system can assist you in this process. Training is required before access can be granted to the system. A quick reference guide to navigating the system can be found in the Financial Management section of this handbook.

Indirect Cost Recovery and Research Incentive
If your funded project includes a budget with indirect costs, you may be eligible for a portion of those funds recovered to support your ongoing research. These funds are deposited into a Research Incentive account, specific to the PI/PD and managed by the PI/PD. The use of research incentive funds is restricted to the enhancement of activities related to the funded project and/or to assist in the development of new projects. Funds may be used for but not limited to the costs of writing new proposals, travel associated with the development of proposals for external funding, pilot studies for new projects, equipment, student support and professional development Funds unspent at the end of a fiscal year may be appropriated and be made available the next fiscal year.

TIP: Research incentive funds are often used to support PI/PD student travel, graduate student stipends, equipment, and supplies.

Allocation of research incentive funds will be made on a monthly basis and will be based on figures from the University’s financial management system. There are two pre-determined distribution formulas based on your affiliation with either a center, institute or a department. Please consult the following link through the ORSP site that explains the distribution of recovered funds: http://www.ohio.edu/orsp/FA_FY2010_Distribution.html .

If you have a pre-approved alteration to the distributions linked above, that distribution formula will be applied in lieu of the standard formula. If you’ve received approval in the proposal stage for a reduction or complete cost share of indirect costs via an agreement with ORSP to forgo PI/PD, department and/or college portions, this agreement will be reflected in the distribution formula presented in the electronic award letter notification.

If you have a fixed fee contract where funds remain at the project period end, a portion of the funds may be eligible to be transferred to the investigator’s research incentive account provided that the sponsor asserts that the deliverable(s) are acceptable. All funds remaining are subject to full recovery of indirect costs at the applicable federally negotiated rate.

DON'T FORGET: If you’ve received approval in the proposal stage for a reduction or complete cost share of indirect costs via an agreement with ORSP to forgo PI/PD, department and/or college portions, this will be reflected in the distribution formula presented in the electronic award letter notification.

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