Time & Effort Reporting

1. Time & Effort Reporting Grant Brown Bag Information Session November 14, 2012

2. Time & Effort Topics • Definition of Time & Effort reporting • Grants that require Time & Effort reports • The proper forms • Certifying time • The importance of accuracy • How to verify time using Banner • Common questions

3. Time & Effort Definition • Per Circular OMB A-21, Clause J(10)(c)(2): “…the distribution of salaries and wages by the institution will be supported by activity reports…” Time & Effort Reports = Activity Reports • Further, the A-21 states: “Reports will reasonably reflect the activities for which employees are compensated by the institution.”

4. Which Grants Require Time & Effort? • Federal grant and Federal Pass-through grants require Time & Effort Reports (T&E) • Although your grant may be funded through the State, if the State receives its funds from the Feds, then T&E Reports are required • OMB Circular A-110 says that the Feds require that expenses be substantiated with documented support. Section C.21(b)(2) defines support as being: • “Records that identify adequately the source and application of funds for federally-sponsored activities”

5. The Proper Forms • Three primary versions of T&E Forms • Biweekly employee • Monthly (Lecturer) employee • Student employee • If your grant requires matching documentation, separate forms must be completed – these say “MATCHING” across the top • Information needed on the form: • Employee name, Banner ID #, & title on the grant (i.e. Coordinator) • Grant name and Fund # (typically starts with 22 or 25) • Date range of hours worked • Number of hours worked • Employee signature • Supervisor signature

6. Certifying Time - What Types Count? • By completing a T&E report, the employee is CERTIFYING that they completed work solely on that grant for the time specified • The employee’s supervisor is CERTIFYING that the employee worked solely on that grant for the time specified • Types of Time that are Reportable: • Time worked • Sick • Vacation • Paid Leave / Sabbatical • Note that any type of paid leave is included as long as it is taken in accordance with institution-wide policies CANNOT SIGN OFF ON T&E UNTIL IT HAS OCCURRED!

7. The Importance of Accuracy • The number and frequency of audits are increasing • A recent EACUBO Grant Management session cited T&E Reporting as a top A-133 finding • Salaries are to be charged based on ACTUAL time, not budgeted time • Several high profile universities have been fined • Northwestern University paid $5.5 million for effort reporting issues on grants & contracts • “If it’s not documented…it didn’t happen!“ • If the dates/grant name/fund number, etc. do not line up, these items could be cited under audit

8. Verifying Time & Effort • It’s the Grant Director’s responsibility to verify & submit T&E reports on all salaries & related fringes charged to a Federally funded grant/contract on a regular & timely basis • T&E reports must be completed for every person paid through the grant, whether via salary, honorarium, etc. • Make sure Banner looks accurate – mistakes can happen! • Ensure that everyone paid through your grant belongs there • Make sure all the employees are being listed • You don’t want to pay for someone else’s employee • You don’t want to be surprised at year end with additional expenses

9. Verifying T&E via Banner • Log into Banner and go to the NHIDIST screen • The To/From dates specify the dates the salaries ARE PAID • Go to the HR website under Schedules & Calendars for reference • Enter the grant’s fund number, click Next Block, then Execute Query • If you do not specify a date in NHIDIST, all pay for the entire grant term will be displayed • You can export this data into excel if desired – go to Help, Extract no data key (hold down ctrl key – this make take a minute or two) Next Block Execute Query

10. Common Questions Q: How often do I need to do T&E reports? A: T&E reports should be completed once the payroll period is over and the timeframe is fresh in the employee & supervisor’s minds. • When signed, the current date should be denoted. Federal auditors have questioned and/or disallowed T&E reports with “suspicious” sign-off dates – such as those that are too far from the date of work. Q: Why can’t we do our leave reports electronically? A: T&E reports must be certified by both the employee and their supervisor. CCRI’s leave reporting for biweekly employees only lists when you DID NOT work. Time worked is only inferred & may not hold up under audit. • In time, we hope to integrate the Effort Reporting (HR module) in Banner which will allow electronic reporting. Until training time and funding is available, this will remain on the Controller’s Office “wish list”. Q: What if my employee leaves CCRI without completing their T&E? A: If an employee on a Federal grant gives their notice, complete their T&E report on their last scheduled day of work. If this is not possible, prepare the T&E report with only the supervisor’s signature.

11. Summary

12. Resources • OMB Circular A-21 – Principles for Determining Costs Applicable to Grants, Contracts, and Other Agreements with Educational Institutions • OMB Circular A-110 – Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Education, Hospitals and Other Non-Profit Organizations • EACUBO Annual Meeting 2012 – How to Lead, Support and Enhance Title IV & Grant Management Compliance by: Michelle Spriggs, Patricia Gallagher &Susan Jenks Beard • CCRI’s Human Resources Pay Schedules http://www.ccri.edu/hr/calendars/ For additional information or links to information, contact Tracy Morkunas at x2244, or tamorkunas@ccri.edu