Office of Research Search

Pre-Award Administration

Budget Negotiations with the Sponsor

Preliminary budget negotiations are often conducted between the Principal Investigator and the technical contact for the sponsor in order to determine an appropriate level of funding for the program proposed by the Investigator. Such preliminary discussions are encouraged. The Principal Investigator should contact the OSP, however, for established rates for fringe benefits, facilities, and administrative costs, or other budgetary matters that may impact upon the total support required for the project.

The Principal Investigator should not attempt to negotiate rates for facilities and administrative costs that are different from the federally-approved rates for the University, nor should it be implied that a reduction in the approved rates would be acceptable to the University. Facilities and administrative costs represent substantial, real expenditures incurred by the institution to support each research program, and if these costs are not fully paid by each sponsor, the University must subsidize them from other institutional resources. In the event that a sponsor indicates to the Principal Investigator that it does not wish to pay these costs in full, the OSP should be contacted in order that this office may contact the sponsor for further negotiation regarding this issue.

If formal budget negotiations are required, the OSP will conduct the negotiations, including the confirmation of approved salary, benefits, facilities, and administrative cost rates. The OSP will seek the Principal Investigator's input and concurrence for any modifications proposed by the sponsor.

Business Negotiations

The OSP reviews the terms and conditions of every award received. Terms and Conditions are negotiated in accordance with UT Dallas policies and The Intellectual Property Policy of The University of Texas System.

Federal Awards:

Terms and Conditions are usually pre-determined; however, negotiations may be required.

Non-Federal Awards:

Normally, most non-Federal projects require negotiations, especially those agreements with industrial sponsors. Such topics as inventions, publication rights, liability, and ownership of research results are usually the subject of negotiation. The negotiations are coordinated between the OSP personnel, the sponsor, the Principal Investigator, and, as appropriate, the UT System Office of General Counsel. The OSP leads the negotiations with the sponsor.

Updated: August 19, 2014