Subcontracts

1. Subcontracts Why Does it take so long to Process? Kim Hayes, Senior Grant and Contract Officer Sue Stein, Subcontract Coordinator

2. Top 10 Reasons It Takes So Long to Process a Subcontract

3. Submitting Proposals

4. Processing and Accepting Awards

5. 8. Negotiations

6. 7. Following- up on Funding Issues

7. Responding to E-mails

8. Requesting No-cost Extensions

9. Responding to Sponsor’s Questions

10. 3.Following up on Compliance Issues

11. Going on Vacation

12. Gathering Data

14. Sponsor Approvals • If you know a subrecipient will be part of the project, include it in the original proposal.

15. Sponsor Approvals (Cont.) • If added after Agreement is Awarded, may need Sponsor Approval: • May need to go through bid process Or • May need to do a sole-source justification

16. Types of Agreements • The Prime Agreement and the Subrecipient determine the type of Agreement • Types of Agreements • FDP • Non-FDP • Cost Reimbursable • Fixed Price • Contract

17. Agreements – Items to Consider • Compliances • Flowdown of terms and conditions • Usually incorporated as Exhibit C or referenced as a link

18. Request to Issue a Subcontract • Must be completed by the Department when funding is ready to be released. • Timing determined by PI • Complete information is necessary to help expedite the process

19. Request to Issue a Subcontract (cont.) • Subrecipient information • Name, Address, E-mail, Telephone and Fax information • PI Information • Name, Address, E-mail, Telephone and Fax information • Billing, Invoicing Information • Name, Address, E-mail, Telephone and Fax information

20. Request to Issue a Subcontract (cont.) • Answer all Questions regarding Cost Sharing, Budgeting, and Selection Process • Reporting Requirements

21. Scope of Work • Needs to be included with the “Request to Issue a Subcontract” • Should truly reflect what the expectations of the Subrecipient are.

22. Budgets • Needs to be included with the “Request to Issue a Subcontract” • Department should review before releasing: • That Budget is in keeping with the Scope of Work • That Budget Adds up

23. Budgets (cont.) • Department should review before releasing(cont.) • That a justification is included and it matches the Budget • That Budget matches amount requested in “Request to Issue”

24. Subrecipient Institutional Profiles • What is it? • Document required of all entities to whom we issue Subcontracts. • Can be the most time consuming part of preparing document.

25. Subrecipient Institutional Profiles (cont.) • Why do we need it? • Provides Information on: • Federal Audit Agency • F&A for Subrecipient • Financial and Policy Information • A-133 Information

26. A-133 Reports • What are they? • Any entity with Federal award expenditures in excess of $500,000. Cornell University is subject to the Office of Management and Budget Circular A-133, Audits of States, Local Government, and Non-profit Organizations. • Circular A-133 requires Cornell University to monitor our subrecipients of Federal awards and determine whether they have met the audit requirements of the Circular and whether they are in compliance with Federal laws and regulations.

27. A-133 Reports (cont.) • A-133 Report is due 9 months after the Institution’s Year End. • Example, FY ending 6/30, A-133 Report due by March 31 of following year.

28. Benefit Rate Agreements • Need Up to Date Information of rates • Needs to match what was in the Budget.

29. Facilities and Administrative Costs Agreements • AKA Indirect Costs or Overhead • Needs to reflect what the Subrecipient charged in the Budget

30. Subcontract is prepared and sent to Subrecipient for review and approval. • And you would think that would be it!

31. NOT !!!!

32. Negotiations • Discussions with Subrecipient so that Agreement language is acceptable to both parties. • Can be most time-consuming part of process for issuing a Subcontract.

33. Whom to Contact • Your GCO is first line of contact