In many federal grant budgets, the sum of salaries, wages and fringe benefits constitutes the biggest “chunk of change.” Auditors refer to these costs as “material.” So, it shouldn’t be surprising that support for such charges often constitutes the No. 1 documentation vulnerability for recipients and subrecipients. The diverse list of organizations that have gotten into trouble on the subject is long and distinguished.
When the Office of Management and Budget launched its federal grant reform initiative a couple of years ago, it sought to address this troublesome policy area. Largely responding to comments that previous rules were overly prescriptive, OMB crafted a uniform policy with a new name: “standards for documentation of personnel expenses.” But, when you scratch the surface, it’s still all about “time and effort reporting.”
In place of policies that were more prescriptive, the federal government now expects recipients and subrecipients to maintain “a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.” Judgments about whether your system does that will inevitably be made during upcoming audits. Therefore, a review and possible redesign of that system should be a high priority for your organization.
This webinar will help you accomplish the important task of ensuring that your time and effort practices pass muster. You will learn:
- What familiar elements of time and effort reporting have been retained?
- How should organizations build on those to create the necessary “system of internal controls”?
- What standards of distribution apply when an employee works on more than one activity?
- How can grant budget estimates be used for interim accounting purposes?
- What kinds of procedures must be in place for reconciliations?
- Under what circumstances must documentation of actual tasks performed be required?
- What unique features must be employed by institutions of higher education?
- What special rules apply to substitute systems that can be used by governmental units?
- What documentation must be maintained for Fair Labor Standards Act compliance?
- Are there good examples to use when fashioning compliant documents?
Make sure that the design and operation of your time and effort reporting system is compliant. Join Bob Lloyd, principal of Federal Fund Management Advisor™, for an informative and practical session that will translate the new policy language and provide practical advice on how to respond to it.
WHO SHOULD ATTEND?
- Grant and contract managers
- Sponsored projects administrators
- Grant project managers
- Program staff
- Principal investigators
- Finance directors
- Accounting staff
- Human resources managers
- Internal auditors
- External auditors
Attendees will receive presentation slides as well as access to background materials.
The costs of webinars sponsored by Federal Fund Management Advisor™ are allowable charges to your federal grants and subgrants. The cost principles issued by OMB under its uniform guidance (and applicable to all types of awardees) state, “The cost of training and education for employee development is allowable” (2 CFR 200.472).
Attend this Live Webinar and Earn up to 1.5 CPE Credits
Federal Fund Management Advisor™ is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.learningmarket.org.