Post Award

Budget Revisions
In order to minimize the administrative burden associated with revised budget requests, most sponsors allow an award recipient flexibility to adapt their award spending patterns to match the changing circumstances of the sponsored project.
In general, a formal revised budget approval request to the sponsor will occur in the following circumstances:
• If there are budget revision restrictions imposed in the terms and conditions of the award agreement. These restrictions may range from a prior approval requirement for any budget revisions to a prior approval requirement for line-item or total budget revisions up to a certain threshold. (i.e.: re-budget flexibility up to 10% of proposed line items, with changes greater than that requiring sponsor approval)
• If the budget revisions are due to a significant change in the scope of work that will require a considerable amount of funds to be shifted between expense categories. This does not happen often, as most sponsors provide a recipient financial discretion to move funding between budget categories, realizing that a certain re-budgeting may be necessary to accomplish the goals of the project. However, any re-budgeting based on a change in the scope of work must be submitted and approved by the sponsor.
Other circumstances that may warrant a revision to the proposed budget, but not necessarily a formal revised budget submission to the sponsor:
• Budget revisions to reflect the financial realities of the project: salary increases, new employees on the project, adjusted fringe benefit rates, etc. In general, these types of budget revisions do not require sponsor approval.
Please contact the Post-Award Grant Accountant for guidance and/or clarification of budget revision restrictions.
Proposed revisions in program budgets must be submitted to the grant accountant for review with respect to the provisions of the applicable contract or grant, to agency directives and regulations, and to general cost principals such as Office of Management and Budget (OMB) Circular 2 CFR Part 200. In the event the proposed re-budgeting action is found to be within the delegated authority of UW-Platteville the request will be processed and an email notification sent to the Principal Investigator (PI) and copied to ORSP.  The proposed changes and all documentation will be incorporated in the permanent contract and grant record.  Expenditures for new budget items will not be allowed until the review and approval process has been completed.

 

Roles and Responsibilities for Budget Changes

Principal Investigator (PI)
• Understands the sponsor’s requirements concerning budget revisions and monitors spending on the project to comply with requirements.
• Develops the revised budget with a detailed explanation about the need for the revision and submits the request to the grant accountant for review.
Grant Accountant
• Reviews the award documents and identifies any sponsor requirements concerning budget revisions. Examples include:
o Expenses in a budget category may not exceed 10% of the submitted budget without sponsor approval.
o Recipient must obtain prior approval before hiring staff in addition to those positions included in the proposal budget.
• Reviews the awarded amount and compares it with the amount requested in the proposal. Confirms that the awarded amount is equal to the budgeted amount. If the award amount does not equal what was requested in the proposal, contacts the PI to confirm that the proposed scope of work can be accomplished given the decrease in funding and requests a revised budget to reflect the award amount.
• Reviews the revised budget and any related documentation and provides signature approval if a sponsor requires a UW-Platteville authorized signature to accompany the revised budget.
• Submits the revised budget to the sponsor for approval.
• Follows up with the sponsor and assists with any questions that may arise about the revised budget.
• Upon receiving sponsor approval of budget revision, the Grant Accountant submits a budget adjustment request to the budget office with supporting documentation.  The budget office reviews the changes and enters the revised budget in Shared Financial System (SFS).

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