Procedure CR2070 - Program Income
Office of the Corporate Controller
Policy Steward facilitating procedure: Associate Vice President for Finance and Corporate Controller
Table of Contents:
- AUDIT COORDINATION - FINANICAL AND PROCEDURAL
- RECORD RETENTION, DISPOSITION AND DESTRUCTION
- CONTACT INFORMATION
- CROSS REFERENCES
Program income or grant-related income on grants, contracts or cooperative agreements or other sponsored activity is to be accounted for in accordance with the Uniform Guidance 2 CFR 200.80 and 2 CFR 200.307 and the applicable regulations or grant policies of the funding agency, as well as any special terms and conditions identified in the applicable individual award document, (caution, Federal programs/regulations have specified requirements on how program income earned during the contract/grant period can be used.) For additional information, refer to the specific grant or contract terms and condition and the guidance available in Policy RA66 – Program Income
Any income related to projects financed in whole or in part with sponsored funds and that is generated during the project period must be separately accounted for and identified with the account number(s) of the sponsored project involved.
The method of accounting for any such program income is to establish an independent (new) account number through Research Accounting. The original project name or account number should be referenced in the new fund “name” field to link the two funds visually. Both accounts should reference the same agreement number and should be linked by either project or contract fund number, whichever is appropriate (contact Research Accounting for assistance).
To record income to the newly established account number, use the income Object Classification Code 0033, in conjunction with the appropriately established fund number, on all Report of Cash Receipts (ROCR) used to record the revenue to the University records.
If the original project is renewed and a new fund number is assigned, the Income Fund number set up for the original project does not need to be changed.
Permitted expenditures from program income must be charged to the same (new) income account number established to track program income. The object classification codes used must match those appearing on the site, Object Classification Codes on GURU and the expenditures must be permitted by the agency, grant or contract terms and conditions.
The Financial Officer is responsible for ensuring that procedures pertaining to the accountability and safeguarding of all cash receipts, cash funds, and other assets are established and followed in accordance with approved University policies and procedures. Regular audits relating to advances, cash, travel, equipment accountability, and other expenditures provide a means to protect University assets. The Financial Officer is responsible for working with Internal Audit when audits are being performed in the administrative area, as well as performing an annual audit that is submitted to the Assistant Controller.
Record retention must be managed in accordance with Policy AD35 - University Archives and Records Management, and records schedules approved by the Records Management Advisory Committee, Office of General Counsel, and Office of the President. These retention requirements are the University's retention criteria, either derived or based upon federal, state, and local statute or regulations, industry standards, and business needs. Retention beyond recommended time periods require justifiable reasons and warrant review by the Records Management Officer or designee. All documents must be maintained in such a manner so as to provide ease of access for review, and to provide a suitable audit trail for all transactions.
- Documents subject to a Legal Hold (see AD35, Legal Hold). A legal hold will remain in effect until it is released in writing by the Office of General Counsel.
- Documents under audit or review, either internally or externally. The retention period extends until released by the Corporate Controller's Office. The Financial Officer will be notified regarding any accounts which are under audit; the Financial Officer will be responsible for contacting the department.
Additional questions may be directed to the University Archivist or the Records Management Officer.
For questions, additional details, or to request changes to this procedure, please contact the Associate Controller.
- Policy AD22 - Health Insurance Portability and Accountability Act
- Policy AD35 - University Archives and Records Management
- Policy RA66 Program Income
- Blue/White Shredding Program
- Object Classification Codes
- Uniform Guidance 2 CFR 200.80 - Program Income
- Uniform Guidance 2 CFR 200.307 - Program Income
Date Approved: 7/6/15
Most recent changes:
- Revision 2 – dated 12/12/16
- Revision 1 – dated 6/16/11
- Original – dated 9/10/93