EFFORT REPORTING:TOP 10 THINGS A P.I. SHOULD KNOW
UTAH STATE UNIVERSITY SPONSORED PROGRAMS ACCOUNTING(FROM NATIONAL COUNCIL OF UNIVERSITY RESEARCH ADMINISTRATORS (NCURA)
Time and Effort: Top 10 Things a P.I. Should Know
Effort Reporting is our way of providing assurance to sponsors that:
Salaries charged to sponsored projects are reasonable in relation to the work performed, and
Faculty and Staff have met their commitments to sponsored projects
“Success in the effort realm depends on careful attention to important issues throughout the sponsored project’s lifecycle and communication with the P.I.” (NCURA)
Time and Effort: Top 10 Things a P.I. Should Know
Effort Reporting Cycle:
Pre-Award Post-Award
Appointment Proposal Budget
Charging Salary
Certifying Effort
Employment terms established: # of months and
% FTE Salary base
Effort is proposed, which becomes a commitment to the Sponsor
Effort/Salary should be charged as work/activity is being performed
Effort is certified to after activity has occurred
Time and Effort: Top 10 Things a P.I. Should Know
Effort is work on a project, whether the sponsor pays the salary or not.
How do we identify the P.I. or key personnel’s salary if they are not paid on the project itself?
Match Index
Top ____
Time and Effort: Top 10 Things a P.I. Should Know
When a PI writes her/himself into a grant proposal, they are committing effort to the Sponsor.
Time and Effort: Top 10 Things a P.I. Should Know
If effort is reduced, whether it’s paid or not, on a Federal award by 25%, the PI must get Sponsor approval.If a PI chooses to charge less effort to the
award, but his/her level of commitment on the award does not change, then effort not being charged to the award should be charged to a match index.
Time and Effort: Top 10 Things a P.I. Should Know
Many activities cannot be charged to a federally sponsored project.
For Example, the time spent on any of the following activities are NOT allowed:o Writing a proposal (unless it’s for the
project’s continuation)o Serving on IRB, IACUC, or other research
committeeo Serving on a departmental or university
service committee
Time and Effort: Top 10 Things a P.I. Should Know
If a PI works on a sponsored project, he/she must certify their effort.
Even if the PI is just overseeing the project, he/she should still show some effort.
Time and Effort: Top 10 Things a P.I. Should Know
Certifying effort is NOT the same as certifying payroll.
Certification must reasonably reflect all the effort for all the activities that are covered by the PI’s University compensation.
Time and Effort: Top 10 Things a P.I. Should Know
100% of effort must be certified to
Example: Award 1 25%
Award 2 30%
Teaching 30%
Matching (for award 1) 5%
Other Activities 10%
Total Effort 100%
Time and Effort: Top 10 Things a P.I. Should Know
Time and Effort: Top 10 Things a P.I. Should Know
25%
30%
30%
5%10%
Award 1
Award 2
Teaching
Matching (for award 1)Other Activities
Effort reported must equal 100%
Time and Effort: Top 10 Things a P.I. Should Know
Effort is not based on a 40-hour work week. It’s not based on hours at all.
Effort must be certified by someone with suitable means of verifying that the work was performed.
Time and Effort: Top 10 Things a P.I. Should Know
Examples of possible suitable means of verification:
Lab Records
Teaching Schedules
Outside Activity Forms
Leave Slips
Documented Walk-throughs
Appointment Calendars
Role Statement
Grant Proposal Writing
Technical Reports
Correspondence
Time and Effort: Top 10 Things a P.I. Should Know
Time and Effort: Top 10 Things a P.I. Should Know
In identifying audit findings, auditors look for indications that certification was based on factors other than actual, justifiable effort.
A lot of reallocations
Late effort certifications
Certifications not signed by PI or person with suitable means of verifying work
No effort shown for administrative work, teaching, proposal writing, etc.
More Resources for Time and Effort:Quarterly Salary Distribution Reports
USU Sponsored Program Accounting Newslettershttp://
www.usu.edu/controller/spa/newsletter.cfm
USU Surviving a Financial Audithttp://www.usu.edu/controller/spa/training.cfm
Time and Effort: Top 10 Things a P.I. Should Know