All expenditures that post to sponsored projects should be allowable, allocable, reasonable, and consistently treated as described in Uniform Guidance 2 CFR Part 200 and Cost Accounting Standards (CAS). To ensure audit-readiness and compliance with applicable policies, ORSPA’s Fiscal Compliance Team will provide monthly tips and reminders to help units strengthen their internal Post-Award processes.
For this month, we will focus on the following:
Business Purpose for Grant Expenditures
Units are reminded that Financial Services requires clear documentation of the public purpose served by every ASU expenditure as a way to fulfill ASU’s fiduciary requirements outlined in FIN 119: Public Purpose Served.
To help units develop audit-ready business purposes for their transactions, we want to share the KE Financial Services Public Purpose Guide. This guide was developed by KE Financial Services for internal use but was approved for use by ASU’s Financial Services (on 01/06/20) and ORSPA’s Fiscal Oversight (12/19/2019). Units are highly encouraged to adopt this guide for both sponsored and non-sponsored transactions.
Participant Support vs Research Subject Pay
Before issuing payments for Participant Support and Research Subject Pay, units are advised to confirm the payee’s role on the project with the PI. As a reminder, Participant Support and Research Subject Pay are two separate expenditure categories and should be applied based on the person’s role on the project. For reference, the definition for Participant Support and Research Subject Pay are included below:
Participant Support: Participant support costs means direct costs for items such as stipends or subsistence allowances, travel allowances, and registration fees paid to or on behalf of participants or trainees (but not employees) in connection with conferences, or training project.
Research Subject Pay: Incentive payments to encourage individuals to participate in research study and provide private data/information through intervention or interaction. This includes participation in surveys and interviews.
Expenditure Coding in Workday
Workday has hundreds of available Spend Categories to choose from, sometimes making it challenging for the business contact to select the right one. To help units better identify the correct Spend Category, units are encouraged to use the Ledger Account to Revenue and Spend Category Crosswalk report in Workday. With this report you can easily view the Ledger Account and revenue/spend category relationship. For example, you can view all the Spend Categories associated with Ledger Account 7202: Materials and Supplies:
Additionally, units are reminded that you can see the full description of a Spend Category by hovering over the Spend Category and clicking on the ellipsis located on the right side: