Sponsored Accounts

Projecting and Resolving Over-Expenditures on Sponsored Accounts and Interest on Deficit Sponsored Accounts

Over-expenditures Policy

Principal Investigators are responsible for managing expenditures on their grants and for working with administrators to project sponsored accounts and ensure that over-expenditures do not occur. If deficits are projected the PI must discuss them with the head administrator of his or her department. If a research portfolio has a projected deficit that cannot be resolved within sixty days the PI must submit a written plan for deficit reduction.

If a remediation plan will not remove a deficit, FAS Finance, the Divisional Dean, and FAS Research Administration Services must be alerted immediately. Overspent funds are an audit risk because they suggest a problem with our accounting practices. Transferring costs to other accounts causes a great deal of extra work for administrators and researchers alike, especially when personnel charges are not corrected in a timely manner.

Finally, over-expenditures have serious financial implications for the FAS because non-sponsored funds must usually cover sponsored project deficits.