Contracts & Grants

The funds required for Extramural agreements (those normally produced by the Sponsored Programs Office) are created through the Award process and reviewed by Contracts and Grants Accounting.  All awards should be made to The Regents of the University of California - not to schools, colleges, programs or departments.

Sponsored Contracts & Grants are written agreements with external sponsors for research, training, public service or nonstandardized services.  They are authorized by:

Special State Appropriations (i.e. lottery funds, Oiled Wildlife, Equine testing, fund 18XXX) are grouped in this category and are appropriated in the following ways:

  • Included in the base allocation to campus

  • UCOP

  • UCOP Sponsored Program division of awards

Funds in Contracts & Grants vary widely but usually begin in fund numbers "18XXX", "2XXXX", "3XXXX" and "8XXXX".  These funds are in the Sub Fund Group Types and Sub Fund Groups listed below.

Restrictions

Contract & Grant Expense should be in line with the authorized purpose as stated in the award/agreement.  See the contract, grant or agreement for specific restrictions.

  • State Lottery funds must be used to educate students and not for acquisition of real property, construction of facilities, financing of research, or any other non-instructional purpose.

Please refer to the Guide on Research Compliance and the Uniform Guidance, Subpart E- Cost Principles for a comprehensive list of allowable and unallowable costs.

Below is a list of common expenses and their restrictions on either state, federal or local contracts and grants:

Additional Compensation/Lectures and Similar Services

Per APM UCD-666, state funds may not be used to pay additional compensation for lectures or similar services.  Additionally:

  • An academic appointee may be paid for actual expenses incurred in presenting lectures or similar services on UC campuses other than the home campus.

  • The honorarium paid for presenting lectures or similar services may be subject to negotiation, but may not exceed $1,000 per event, which may include several related activities which take place during an employee's visit.

  • A request for payment to an employee from the home campus consistent with APM 666-8-b or -c shall be reviewed by the department chair and dean, then forwarded to the Vice Provost--Academic Affairs for approval.

  • Payment to an employee from another campus shall be made on a Temporary Intercampus Appointment/Intercampus One-Time Payment form (see PPM Section 380-75).

Payment from gifts, endowments, contracts and grants with specifically budgeted provisions for such honoraria, Chancellor's discretionary funds, or similar sources is allowed.

Alcohol

No alcoholic beverage may be charged to state or federal funds per BUS-79.

Employee Morale Functions (Retirements, Employee Recognition, Department Picnics)

Employee morale functions (e.g., employee retirement or separation reception, employee recognition reception, department picnics, holiday events) may not be charged to State General Funds.

Note: no university funds may be used for employee birthdays, weddings, anniversaries or for farewell gatherings for employees with less than 5 years of service.

For more information please see PPM 330-80 and BFB BUS-79.

Entertainment

Entertainment expenses requiring approval on an exception basis may not be charged to State Funds; these include:

  • Expenses at rates in excess of policy guidelines;

  • Entertainment of guest's or host's spouse or equivalent;

  • Tickets to entertainment or sporting events;

  • Employee morale functions (e.g., employee retirement or separation reception, employee recognition reception, department picnics, holiday events).

Federal or local government contract and grant funds may be used for entertainment expenses only as specifically authorized in the contract or grant budget or by agency policy, and only to the extent and for the purpose so authorized. When there is a conflict between agency and University policy, the more restrictive of the two shall apply per BUS-79.

  • No alcoholic beverage or tobacco product purchases may be charged to federal funds per BUS-79.

Note: no university funds may be used for employee birthdays, weddings, anniversaries or for farewell gatherings for employees with less than 5 years of service.

Gifts or Non-Cash Awards to Employees

Federal or State Funds may not be used for:

  • Sympathy gifts and cash contributions, and

  • Raffle prizes, door prizes, and incentive gifts to complete surveys and questionnaires.

The terms set forth in an extramural award shall govern, when such terms are more restrictive than University policy. If Federal funds will be charged, directly or indirectly, campus procedures and controls must be in place to ensure that the requirements of 2 CFR Part 200-Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards are met.  See BFB-G-41.

Per BFB-G-41, examples of unallowable awards and gifts include the following:

  • Gifts of cash, except donations to a charity as an expression of sympathy,

  • Negotiable gift certificates and cards,

  • Gift certificates and cards for services,

  • Recreation memberships,

  • Season tickets to sporting or cultural events, and

  • Gifts provided to employees in connection with birthdays, weddings, anniversaries, holidays, farewells, graduations and other occasions of a personal nature.

Gifts Presented to Non-Employees

Federal, local government, and private contract and grant funds may not be used to purchase gifts, unless such expenses are specifically authorized in the contract or grant and only to the extent and for the purpose(s) so authorized per BFB-G-42.

BFB-G-42 does not permit:

  • A gift to a University employee [see BFB G-41]. However, an employee may receive a token gift for volunteer service (e.g., as a research subject);

  • A gift to a near relative of a University employee;

  • A gift to any elected official, candidate for public office, organization, or committee, when the gift is a contribution to a political campaign or referendum; or

  • A gift to any person with whom a presenter has an outside business relationship (i.e., where any conflict of interest exists).

Honoraria

The following restrictions apply to honoraria:

  • Federal funds generally may not be used to make honorarium payments per UCOP Accounting Manual D-371-35 and UCD PPM 380-76.

  • State funds may not be used for payment of honoraria per UCOP Accounting Manual D-371-35.

  • The honorarium paid for presenting lectures or similar services may be subject to negotiation, but may not exceed $1,000 per event, which may include several related activities which take place during an employee's visit per APM UCD-666.

For information on what qualifies for an honorarium please see UCD PPM 380-76.

Memberships
  • Federal and State funds may not be used for membership in organizations that discriminate per BFB-G-43.

  • Federal funds controlled by the University may not be used for payment of fees or dues to organizations that maintain legally impermissible, arbitrary, or unreasonable discriminatory membership policies or practices per BFB-G-43.

  • Memberships in airline and airport clubs are prohibited.

Raffle Prizes, Door Prizes, and Incentive Gifts

Per BFB G-41: Employee Non-Cash Awards and Other Gifts, raffle prizes, door prizes, and incentive gifts to complete surveys and questionnaires may not be charged to State or Federal Funds.

The terms set forth in an extramural award shall govern, when such terms are more restrictive than University policy. If Federal funds will be charged, directly or indirectly, campus procedures and controls must be in place to ensure that the requirements of 2 CFR Part 200-Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards are met.

Sympathy Gifts and Cash Contributions

Per BFB G-41: Employee Non-Cash Awards and Other Gifts, Federal or State Funds may not be used for sympathy gifts or cash contributions.

Travel

The terms set forth in an extramural funding agreement govern only when such terms are more restrictive than University travel regulations

  • Contract and grant funds may only be used to reimburse spouse or domestic partner travel if the special provisions of the contract or grant are satisfied per BFB-G-28.

Tobacco

Tobacco may not be charged to state or federal funds per BUS-79.

Sub Fund Group Types

B - Federal Appropriations

Sub-Fund Group

Description

FEDAP2

FEDERAL APPROP ARRA

FEDAPP

FEDERAL APPROPRIATIONS

FGSPAP

FEDERAL APPROP EXTRAMURAL

FCAID

FED CONT AGENCY INTL DEVELOPMENT

C - Federal Contracts

Sub-Fund Group

Description

FCAID

FED CONT AGENCY INTL DEVELOPMENT

FCARMY

FED CONT US ARMY

FCDHHS

FED CONT HEALTH HUMAN SERVICES

FCDHUD

FED CONT HOUSE & URBAN DEVELOPMENT

FCDOC

FED CONT DEPT COMMERCE

FCDOD

FED CONT DEPT DEFENSE

FCDOE

FED CONTRACTS - DOE

FCDOEL

FED CONT DEPT ENER LAB

FCDOJ

FED CONT DEPT JUSTICE

FCDOL

FED CONT DEPT LABOR

FCDOT

FED CONT DEPT TRANSPORTATION

FCEPA

FED CONT ENV PROTECT AGENCY

FCNASA

FED CONT NATL AERO SPACE ADMINISTRATION

FCNAVY

FED CONT US NAVY

FCNIH

FED CONT NAT'L INST OF HEALTH

FCNIHA

FED CONT NATL INST OF HEALTH ARRA

FCNSF

FED CONT NATL SCI FOUNDATION

FCOED

FED CONT OFFC EDUCATION

FCOEO

FED CONT OFC ECON OPPORTUNITY

FCOHCL

FED CONT OVERHEAD CLRG

FCOTHA

FED CONT OTHER ARRA

FCOTHR

FED CONT OTHER

FCUSAF

FED CONT US AIR FORCE

FCUSDA

FED CONT US DEPT AGRICULTURE

FCUSDI

FED CONT US DEPT INTERIOR

D - State Appropriations (non-C&G)

Sub-Fund Group

Description

STAIDS

SPECIAL STATE-AIDS RESEARCH

STAPPR

SPECIAL STATE - APPROPRIATIONS

STARTS

SPECIAL STATE - MATH, SCIENCE & ARTS OUT

STBCRP

SPECIAL STATE-BREAST CANCER RESEARCH

STDEFM

SPECIAL STATE-DEFERRED MAINT

STEQER

SPECIAL STATE-CTR EARTHQUAKE ENGR RES

STEQUP

SPECIAL STATE-NEW EQUIPMENT INSTRUC SUPP

STFINA

SPECIAL STATE-FINANCIAL AID

STGLPC

SPECIAL STATE-GLOBAL PEACE

STGOVE

SPECIAL ST - GOVERNOR'S ,RPD, GTS, GPLI

STINCM

SPECIAL STATE-INSTRUCT COMPUTING (LOTTRY

STINSP

SPECIAL STATE-ONE TIME INSTRUC SUPPORT

STLEAS

SPECIAL STATE-LEASE PAYMENTS

STLOTT

SPECIAL STATE-LOTTERY FUND FINAN CONTROL

STMESA

SPECIAL STATE-MATH, ENG, SCIENCE ACHIEVE

STMRCD

SPECIAL STATE-SAN JOAQUIN/MERCED CAMPUS

STMTBE

SPECIAL STATE-MTBE GASOLINE OXYGENATES

STOBEQ

SPECIAL STATE-OBSOLETE EQUIP (LOTTERY)

STRESV

SPECIAL STATE-RESERVED FOR SUPPLEMENTS

STSPAP

SPECIAL STATE APPROP-RESTRICTED

STSSAP

SPECIAL STATE-SPECIFIC

STTRAN

SPECIAL STATE-TRANSPORTATION STUDIES

STTRDR

SPECIAL STATE-TOBACCO-RELATED DISEASE RS

STWLCN

SPECIAL STATE-WILDLIFE CARE NETWORK

F - Federal Grants
Sub-Fund Group Description
FAAID FED GRANT AGENCY INTL DEVELOPMENT
FAARMY FED GRANT US ARMY
FADHHS DEPT HEALTH HUMAN SERVICES
FADOC FED GRANT DEPT COMMERCE
FADOD FED GRANT DEPT DEFENSE
FADOE FED GRANT DEPT OF ENERGY
FADOEL FED GRANT DEPT ENER LAB
FADOEO FED GRANT DEPT ENER OTHER
FADOJ FED GRANT DEPT JUSTICE
FADOT FED GRANT DEPT TRANSPORTATION
FAEPA FED GRANT ENV PROTECTION AGENCY
FANASA FED GRANT NATL AERO SPACE ADMINISTRATION
FANAVY FED GRANT NATL AERO SPACE ADMINISTRATION
FANEAH FED GRANT ENDOW ARTS HUMANITIES
FANIH FED GRANT NAT'L INST OF HEALTH
FANSF FED GRANTS NATL
FAOED FED GRANT OFFC EDUCATION
FAOTHA FED GRANT OTHER ARRA
FAOTHR FED GRANT OTHER
FAUSAF FED GRANT  US AIR FORCE
FAUSDA FED GRANT US DEPT AGRICULTURE
FAUSDI FED GRANT DEPT INTERIOR
FGAID FED GRANT AGENCY INTL DEVELOPMENT
FGARMY FED GRANT US ARMY
FGDHHS DEPT HEALTH HUMAN SERVICES
FGDOC FED GRANT DEPT COMMERCE
FGDOD FED GRANT DEPT DEFENSE
FGDOE FED GRANT DEPT OF ENERGY
FGDOEA FED GRANT DEPT OF ENERGY ARRA
FGDOEO FED GRANT DEPT ENER OTHER
FGDOJ FED GRANT DEPT JUSTICE
FGDOT FED GRANT DEPT TRANSPORTATION
FGEPA FED GRANT ENV PROTECTION AGENCY
FGNASA FED GRANT NATL AERO SPACE ADMINISTRATION
FGNAVY FED GRANT US NAVY
FGNEAH FED GRANT ENDOW ARTS HUMANITIES
FGNIH FED GRANT NAT'L INST OF HEALTH
FGNIH1 FED GRANT NAT'L INST OF HEALTH
FGNIHA FED GRANT NATL INST OF HEALTH ARRA
FGNSF FED GRANTS NATL SCI FDN
FGNSFA FED GRANT NATL SCIENCE FND ARRA
FGOED FED GRANT OFFC EDUCATION
FGOHCL FED GRANT OVERHEAD CLRG
FGOTHA FED GRANT OTHER ARRA
FGOTHR FED GRANT OTHER
FGUSAF FED GRANT  US AIR FORCE
FGUSDA FED GRANT US DEPT AGRICULTURE
FGUSDI FED GRANT DEPT INTERIOR
OEWSP FEDERAL GRANT OFFICE OF ED WORK STUDY
H - State Appropriations - C&G
Sub-Fund Group Description
CASPAP SPECIFIC STATE APP EXTRAMURAL
STSPST SPECIAL STATE-SPECIAL STATE APPROPRIATIO
J - Private Contracts

Sub-Fund Group

Description

PCOHCL

PRIV C&G OVERHEAD CLRG

PRCONT

PRIVATE CONTRACTS

PRDRUG

CLINICAL TRIALS

PRMRK2

PRIV MARKETING BOARDS 2

PRMRKT

PRIV MARKETING BOARDS

L - Local Government
Sub-Fund Group Description
LGOHCL LOCAL GOVT OVERHEAD CLRG
LOCGOV LOCAL GOVT CONTRACTS
UNEXSP LOCAL GOVT UNEX TRAINING AGREE
N - State Government
Sub-Fund Group Description
CAARBF STATE AIR RES BD FFT
CADFAF STATE FOOD & AG FFT
CADFGF STATE FISH & GAME FFT
CADHSF STATE  HEALTH SVCS FFT
CADSSF STATE DEPT SOC SCV FFT
CADTSF STATE TOXIC SUBST FFT
CAHWF STATE DEPT HEALTH WELFARE FFT
CAOSHF STA OFC HEAL PL DEV FFT
CAOTHF STATE OTHER FFT
CATRNF STATE TRANSPORT FFT
CAWRBF STATE WATER RES BD FFT
P - Private Grants
Sub-Fund Group Description
PRGRNT PRIV RESTRICTED GRANTS
PRGRT1 PRIV RESTRICTED GRANTS
PRGRT2 PRIV RESTRICTED GRANTS
S - State Government
Sub-Fund Group Description
CAARB STATE AIR RESOURCE BD
CADFA STATE FOOD & AGRICULTURE
CADFG STATE FISH & GAME
CADHS STATE CON HEALTH SERV
CADSS STATE DEPT SOCIAL SVC
CADTSC STATE DEPT TOXIC SUBSTANCES
CAHW STATE DEPT HEALTH & WELFARE
CAMRKT STATE MARKET BOARDS
CAOHCL STATE OVERHEAD CLEARING
CAOSHP STATE OFC SW HEAL PLANNING & DEVELOPMENT
CAOTHR STATE OTHER
CATRAN STATE TRANSPORTATION
CAWRB STATE WATER RES BOARD
CAWSP STATE DEPT OF EDUC WORK STUDY
V - Local Government FFT
Sub-Fund Group Description
LOCGVF LOCAL GOVT CONT FFT
UNEXSF LOCAL GOVT UNEX TRAINING AGREE FFT
W - Private Grants FFT
Sub-Fund Group Description
PRGRTF PRIVATE GRANTS FFT
X - Private Contracts FFT
Sub-Fund Group Description
PRCONF PRIVATE CONTRACTS FFT


Frequently Asked Questions

What is the process of establishing a new extramural fund and expense account?
What is the A-21 code on my expense account?

For more information on the A-21 code visit Understanding the A-21 code website.

Do I have to enter an award date on the Account document?

On the Account document in KFS, the Account Award End Date field should be completed only when creating an account assigned to an award.  In general, you should enter the end date that is indicated on the Award Lookup in KFS.  Please vist the Account Award End Date page for more information and exceptions.

Can you transfer expenses from a non-C&G fund to a C&G fund?

Yes, it is allowable to transfer expenses from a non-C&G fund to a C&G fund.  Please see the Cost Transfers and Cost Transfers Justification pages for the appropriate use of cost transfers, including the required documentation to support the transfer.

Note: if expenses are being transferred to a federal or federal flow-through account, it must be recorded in the general ledger within 120 days from the close of the month in which the original charge posted to the ledger. 

What reports are available for Principal Investigators?

The PI Ledger Review (325) report in FIS Decision Support provides Principal Investigators (PIs) and Co-Investigators with financial information in a format that allows efficient and timely review of expenditures and effort posted to sponsored projects.  For more information on this report visit the Contracts & Grants PI Ledger Review page.

Is there training available for fiscal officers/research administrators who are new to contracts & grants?

Yes, please visit the Contracts & Grants Accounting Training Resources website for training opportunities.

Special State Appropriations

Who do I call when I need to establish an expense account for a new Special State Appropriations award in UC Funds 18xxx?

With the exception of Lottery Funds, you should contact the Fund Manager assigned to Special State Appropriations Funds in the A&FS Contracts & Grants Accounting Office. If you have questions on Lottery Funds, contact General Accounting.

If I receive an award from an existing UCOP program funded with Special State Appropriations, do I need a new UC Fund?

No, established programs like the Tobacco Related Disease Research Program (TRDRP) or California Breast Cancer Research (CBCRP) already have an assigned UC Fund and a new fund is not needed. 

Who creates the UC Fund number for new UC Davis programs funded via Special State Appropriations?

The Fund Manager assigned to the Special State Appropriations activity in the Contracts & Grants Accounting Office will establish a new UC Fund.  The Fund Manager will notify you via email when the fund has been established so you can initiate your new expense account(s) in the fund.

How will the budget for my Special State funded award from an existing UCOP – managed program post to my account?

Your budget will post to your award account via the Interlocation Transfer of Funds (ITF) mechanism. Once the ITF posts, CGA Fund Manager will simply distribute the budget from SUB8 to the categories shown in the Award Notice.

For an award issued from an existing Special State funded program, what is the process to notify the requester of my KFS account?

You must complete the Transfer of Funds (TOF) form provided by the UCOP Research Grants Program Office (RGPO).  You must complete the TOF with the UCD Chart, the KFS account number and the UC Account Number you are using in your new KFS account.  Once the form is completed you will need to upload the completed form to the ProposalCentral website.

For a new Special State funded program, how will the budget post to my new account?

New Special State funded programs are typically allocated to your account once the Budget Office receives the authorization letter from UCOP. 

How long will my department be able to spend appropriated funding for a program that is funded via Special State Appropriations?

Normally, just 35 months from the start of the UC fiscal year in which the first budget transaction posts, but you must confirm each case with the A&FS C&G Fund Manager handling the Special State Fund.  All expenses must be posted by the close of the May ledger of the reverting year as final requests for reimbursement of expenses posted need to be in the state's hands by the middle of June of that year.

How do I handle an overdraft in my Special State Appropriation account as I approach the end of a fiscal year?

It is required that you review your accounts in the Analytical Ledger Review system on a monthly basis.  In that review you are expected to clear overdrafts on a timely basis.  If you do not clear an overdraft, the Fund Manager in the A&FS C&G Accounting Office will temporarily move it to the designated dean's office account and your dean's office will be notified of the error.

Which office is responsible for preparing the Annual and Final Fiscal Reports for awards issued by the TRDRP and CBCRP?

The A&FS Contracts & Grants Office.  The Fund Manager assigned to these awards will prepare the reports and the A&FS CGA Manager will sign them.

The TRDRP or CBCRP award I have just received reflects an indirect cost component. Will my indirect costs post on subject direct costs each day as is the case with extramurally funded awards?

No, since KFS will not currently accept indirect cost rates and codes in accounts funded with Special State Appropriations, the indirect costs will not be included in the nightly A&FS feeds that post indirect costs. Instead, the CGA Fund Manager will post the indirect costs on the prior month's subject directs, just after the prior month's ledger has closed.  You will need to take this lag time into account when forecasting expenses.

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