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Post-Award Administration

Initiating and Managing Subawards

Initiation and Negotiation of Subawards

When OR receives an award which contained a proposed subaward, the Contract and Grant Officer will send the Principal Investigator a Subaward Verification Form. This form provides information to the officer that will be necessary to draft and negotiate the subaward agreement and the Principal Investigator's signature on the Subaward Verification Form provides audit documentation and the approval for OR to initiate a subaward.

Once the information and approval is received in OR, the Contract and Grant Officer assigned to your unit will draft the subaward to include terms and conditions as required by the prime sponsor. The subaward recipient may request clarification or negotiation of any terms, which are negotiated by OR. In turn, OR consults with the Principal Investigator regarding the negotiation of the scope of work and budget. Once a subaward has been executed by both parties, OR notifies the Principal Investigator, department administrator and Accounting Office via e-mail. The complete subaward document is made available through PAMIS.

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Post-Award Administration of Subawards

Technical Monitoring - As the prime award recipient, UCR assumes the ultimate responsibility for the conduct and completion of the project. Subaward progress reports should be reviewed thoroughly by UCR's Principal Investigator and discussed with the subaward recipient as needed. The subaward recipient will be required to furnish reports as identified in the subaward. It is important to notify OR if technical progress reports fall behind schedule or are not provided.

Financial Monitoring - In accordance with the subaward , invoices should be provided to UCR on a regular basis. The Principal Investigator, in conjunction with his/her department administrator, should review the request for payments to ensure the payment is consistent with the effort performed. The Principal Investigator should provide approval prior to payment of the subaward invoice. Amounts above the dollar amount included in the subaward will not be paid, even with the approval of the Principal Investigator, until an amendment to the subaward is negotiated and executed by the OR.

Typical questions that should be asked as part of an effective subaward recipient monitoring effort include the following:

  1. Is the subaward recipient's progress commensurate with the costs claimed (invoiced)?
  2. Have there been project delays? If so, why?
  3. Are the subaward recipient's results leading the program in an unexpected direction? If so, how do these results impact the originally proposed work? Does it change the scope of work? Should the prime sponsor be notified?
  4. Has the subaward recipient been timely in the submission of progress reports and/or invoices? If not, why?
  5. Has UCR's results lead to changes in the scope of work or has the prime sponsor changed the scope of work? If so, does the subaward recipient's scope need to change?
  6. Do the costs claimed (invoiced) exceed the amount of the subaward?
  7. Are invoice dates within the subaward period of performance?
  8. Has the subaward recipient fulfilled its cost sharing commitments?
  9. Do invoices contain any unallowable costs?
  10. Are the claimed costs allocable to the program and reasonable (i.e., pass the prudent person test)?

Principal Investigators and/or department administrators should report any of the following to the OR as soon as possible:

  1. Subaward recipients who fail to perform the scope of work.
  2. Requests from subaward recipients to change any terms of the subaward, including (but not limited to) scope of work, budget, period of performance, progress report due dates, invoicing requirements and changes in the subaward recipients principal investigator.
  3. Subaward recipients who fail fulfill reporting obligations or provide deliverables.
  4. Subaward recipients who breach the terms of a subaward.

Subaward Amendments

Should it be necessary to change any portion of a subaward, the Principal Investigator should contact the Contract and Grant Officer assigned to their department. Common reasons for amending a subaward include providing additional funding, extending the period of performance, or modifying the reporting schedule. It is important to note that some changes, such as scope of work changes, change in the subaward recipient's principal investigator or transferring the subaward from one recipient to another, may require the prior approval of the prime sponsor.

Closing Requirements

The subaward recipient is required to submit a final technical report and final invoice at completion of the agreement. Additional reports may be necessary, as required by the prime sponsor agreement. These may include a final inventory of property or an invention report. Principal Investigators should not approve final payment until all reports have been received.

Principal Investigators, assisted by department administrators, are responsible for conducting timely and appropriate financial and programmatic reviews of the technical information and invoices submitted by subaward recipients. The OR can assist with securing information and invoices from subaward recipients who have failed to meet their obligations under their respective subawards. However, timely notification to the OR is essential to help ensure a successful and collegial resolution to such issues.