GENERAL
Purpose
The following SHARP is established to ensure compliance with all federal and sponsor requirements regarding the accurate designation and reporting of fabricated equipment. The Process also ensures the accurate identification and reporting of all costs associated with equipment purchased or fabricated with federal/sponsor funds for purposes of preparing and auditing the university's F&A rate proposals and agreements.
Companion documents applicable to this process are "Fabricated Equipment Questionnaire and Worksheet," "Fabricated Equipment - OSR Guidelines," "Fabrication Project Completion Form," and the OSR desk procedure entitled "Fabricated Equipment." The OSR desk procedure entitled "Fabricated Equipment" contains a detailed description of processes followed by OSR and the Cost Analysis Department as they pertain to equipment fabrication.
Administration
The Office of Sponsored Research is responsible for maintenance and review of this SHARP, with input and comment sought from the university's Director of Cost Analysis . This shared Process is coordinated between OSR, Cost Analysis and the PI.
PROCESS
OSR and Cost Analysis share administrative oversight of this process for the central business functions, with ultimate responsibility for confirming validity of the proposed content and of ensuring proper tagging and recording of the completed piece of equipment residing with the Cost Analysis Department.
A general description of the processes shared by OSR and Cost Analysis are:
- OSR Preaward ensures budget is prepared correctly and budget justification mentions the need for equipment fabrication
- OSR Postaward instructs PI to complete required form and submit for review when PI initiates equipment fabrication
- OSR Postaward reviews the completed form to ensure synchronicity between the proposal and award
- OSR Postaward forwards the required form to the Director of Cost Analysis who reviews to ensure validity of intended equipment fabrication
- OSR Postaward establishes ledger 4 account for residence and accumulation of all costs associated with equipment fabrication and notifies PI of the correct ledger 4 account number and the correct subcode
- OSR Postaward reviews all purchase reqs using previously reviewed and approved required form
- OSR Postaward notifies Director of Cost Analysis when equipment fabrication is complete after receiving the form entitled "Fabrication Project Completion Form" from the PI
- The Cost Analysis Department is responsible for tagging the resulting piece of equipment and initiating all accounting entries to move the costs into the appropriate Stevens' property account as well as ensure the equipment is entered into the Stevens' Inventory
PI
- Proposal - include the cost of all equipment fabrication in the proposal budget and explain the need in the budget justification. Ensure that cost categories are allowable and that F&A is applied, or omitted, according to the following:
- Materials and supplies necessary for the fabrication - NO F&A applied
- Shipping and transportation costs - NO F&A applied
- Software - if, and only if, the software is an integral component of a fabrication, i.e., it is absolutely necessary for the fabricated equipment or instrument to work - operational software - NO F&A applied
- Internal and external shop fees - NO F&A applied
- Salaries and fringe for project personnel (included in the budget) - F&A applied
- Labor included in internal/external shop rates - NO F&A applied
- Travel/other costs of outside party associated with the fabrication - NO F&A applied
- Award/required Stevens' form - Postaward will include the following statement in the SRA:
"The project description and budget justification indicate the potential for fabrication of equipment. Prior to ordering any items specific to the fabrication effort, you must complete the Stevens' form entitled "Fabricated Equipment Questionnaire and Worksheet" and submit to the appropriate OSR Specialist" When ready to begin the fabrication process, the PI will prepare the required form and submit to Postaward - If the need for equipment fabrication was included in the original proposal, the proposal budget and the budget justification, SECTION A, C, and D should be completed
- If the need to fabricate equipment was not originally anticipated during the proposal and budget justification stage, SECTION B must also be completed
- Approvals - Stevens' form entitled "Fabricated Equipment Questionnaire and Worksheet" will be reviewed by OSR and by the Director of Cost Analysis. An approved copy will be returned to the PI and all parts of the approved form must be attached to each purchase requisition that is processed as items are ordered for the fabrication
- Purchase requisitions
- Ledger 4 fabrication account number (not the parent account) should be shown on all purchase reqs
- Subcode 4950 should be shown on each purchase reqs
- All procurement reqs must include the clear designation of the phrase "FABRICATED EQUIPMENT"
- Fabrication completion
- upon completion, PI completes form entitled "Fabrication Project Completion Report Form" and notifies OSR
- OSR communicates with Director of Cost Analysis who ensures inspection of the equipment and assigning an inventory control number
| NOTE TO ALL: All forms should be completed in their electronic form and forwarded to the appropriate recipient as an email attachment. The cover emails will serve as electronic verification of a signature. Downloading, printing, signing, copying and routing of ?hard copies? should be avoided in order to maximize the turnaround time and minimize the possibility of paperwork going astray. |
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