Financial closeout is a shared responsibility involving the principal investigator (PI), departmental support staff, Accounting and Financial Reporting (AFR), and the Office of Post Award Management (OPM). It is AFR’s responsibility to submit financial reports that accurately reflect the use of sponsored funds as recorded in the institution’s financial system and in compliance with sponsor terms and conditions. Specifically, federal awards must be completed in accordance with Office of Management and Budget (OMB) uniform administrative requirements. The Sponsored Programs Accounting Procedure Opens in a new tab. outlines the process.

Uniform Guidance (2 C.F.R. Part 200.420 – 469) outlines specific considerations for selected items of cost. Costs listed below require special consideration when charging sponsored awards or service centers that will charge sponsored awards.

200.421 – Advertising and Public Relations
200.422 – Advisory Councils
200.423 – Alcoholic Beverages
200.424 – Alumni/ae Activities
200.425 – Audit Services
200.426 – Bad Debts
200.429 – Commencement and Convocation costs
200.431 – Fringe Benefits – Automobiles for personal use/Tuition benefits for family members other than employees
200.432 – Conferences
200.433 – Contingency provisions
200.434 – Contributions and Donations
200.435 – Defense and prosecution proceedings, claims, appeals, and patent infringements
200.438 – Entertainment Costs (Meals, social events, show or sporting event tickets, etc.)
200.439 – Equipment and Other Capital Expenditures
200.441 – Fines, Penalties, Damages and Other Settlements
200.442 – Fund Raising and Investment Management Costs
200.445 – Goods and Services for Personal Use (Housing allowance, living expenses, etc.)
200.446 – Idle Facilities and Idle Capacity Costs
200.449 – Interest Costs
200.450 – Lobbying Costs
200.454 – Memberships, Subscriptions and Professional Activity Costs
200.455 – Organization Costs (Incorporation fees, consultants, attorneys, etc.)
200.467 – Selling and Marketing Costs
200.469 – Student Activity Costs (Intramural activities, student publications, clubs, etc.)

The federal government requires institutions that receive more than $50 million in federal awards to disclose their cost accounting practices for the measurement, assignment, and allocation of costs in a disclosure statement Opens in a new tab. known as the DS-2. The disclosure statement allows the federal government to gain a better understanding of University fiscal practices to ensure appropriate levels of effectiveness and accountability. The UT Dallas Office of Budget and Finance produces the disclosure statement as prescribed by the federal government.

The disclosure statement currently in effect has been approved by the University’s cognizant federal agency, the Department of Health and Human Services.

DS-2 Components

DS-2 Interrelations

 

Summary

The following is a summary of key UT Dallas practices discussed within the disclosure statement. These practices ensure UT Dallas’ compliance with the uniform administrative requirement and cost principles described within the Uniform Guidance (2 C.F.R. Part 200).

  • All proposals submitted under the UT Dallas name must be reviewed by the Office of Sponsored Projects (OSP) and approved by a UT Dallas official with the authority to obligate the University in a contractual relationship.
  • Proposal budgets must be developed using cost categories and rates that are consistent with the University’s accounting standards.
  • Specific items of cost must be consistently budgeted in similar circumstances as either direct or indirect cost.
  • Salaries and benefits for administrative and clerical positions within academic units should be charged to the respective departmental cost centers and not sponsored program cost centers.
  • General office supplies, such as postage and communication service costs should be charged to the respective departmental cost centers and not to sponsored program cost centers.
  • Total direct costs to complete sponsored programs must be recorded in either the sponsored or cost sharing cost centers, which have been specifically established for the particular sponsored program.
  • Costs that are considered “unallowable” by the federal government must be identified and accounted for separately within the University’s financial records.
  • The University shall consistently use the same accounting period for purposes of estimation, accumulation, and reporting of costs. This period will be the University’s fiscal year which is September 1st through August 31st.
  • Service Center charges shall be based on rates, which have been developed, based on the actual cost of service and which have been reviewed and adjusted on an annual basis.