Service Center: Difference between revisions

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== Policy ==
== Policy ==
Service centers can result in charges, directly or indirectly, to sponsored programs at UNMC. As a recipient of federal grants and contracts, UNMC must comply with cost principles and cost accounting standards promulgated by the federal government.
Service centers can result in charges, directly or indirectly, to sponsored programs at UNMC. As a recipient of federal grants and contracts, UNMC must comply with cost principles and cost accounting standards promulgated by the federal government.
[http://www.whitehouse.gov/omb/circulars_a021_2004/ OMB Circular A-21]: The Cost Principles for Educational Institutions are set forth in the Office of Management and Budget Circular A-21. Section J.47 of OMB Circular A-21 deals specifically with service centers and is explicit in the following two concepts:  
OMB Circular A-21: The Cost Principles for Educational Institutions are set forth in the Office of Management and Budget Circular A-21. Section J.47 of OMB Circular A-21 deals specifically with service centers and is explicit in the following two concepts:  
*recipients of federal funds are not to recover more than cost.
*recipients of federal funds are not to recover more than cost.
*recipients are not to discriminate in the price of services charged to governmental and non-governmental users.
*recipients are not to discriminate in the price of services charged to governmental and non-governmental users.
The principles provide for recognition of the full allocated costs of federal grants and contracts with no provision for profit or other increment above actual incurred, documented costs.<br />
The principles provide for recognition of the full allocated costs of federal grants and contracts with no provision for profit or other increment above actual incurred, documented costs.<br />
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Service centers also must follow three additional regulations stated in the [http://www.whitehouse.gov/omb/circulars/a133_compliance_supplement_2011 A-133 Compliance Supplement] (document page 3-B-39 & 3-B-40):   
Service centers also must follow three additional regulations stated in the A-133 Compliance Supplement (document page 3-B-39 & 3-B-40):   
*capital reserves (cash balance at fiscal year end) are not to be in excess of 60 days of annual expenses.
*capital reserves (cash balance at fiscal year end) are not to be in excess of 60 days of annual expenses.
*billing rates must exclude unallowable costs (see Policy 6103).
*billing rates must exclude unallowable costs (see Policy 6103).
*billing rates are to be developed based on actual costs and adjusted annually.
*billing rates are to be developed based on actual costs and adjusted annually.
== Responsibilities ==
== Responsibilities ==
The [http://info.unmc.edu/dept/fincompliance/ Department of Financial Compliance and Cost Analysis] (FCC) is responsible for reviewing service centers when there are more than $10,000 in federal charges within a fiscal year by a particular service center. FCC also must approve the use of depreciation in rate calculations for '''all''' service center that includes depreciation expense in their billing rate.
The [http://info.unmc.edu/dept/fincompliance/ Department of Financial Compliance and Cost Analysis] (FCC) is responsible for reviewing service centers when there are more than $10,000 in federal charges within a fiscal year by a particular service center. FCC also must approve the use of depreciation in rate calculations for '''all''' service center that includes depreciation expense in their billing rate.

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