Cost Accounting Standards (CAS) exceptions are costs that are ordinarily unallowable as direct costs on a federal award because they are covered by Facilities and Administrative (F&A) costs. They include expenses in such general ledger (G/L) accounts as:

1. Clerical, secretarial and administrative salaries (600066)
2. Office supplies and materials (6460xx)
3. Copier supplies and materials (646800)
4. Office subscriptions, periodicals, books (646100)
5. Postage (693600)
6. Local phone/cellphone/pagers/internet (6982xx, 698300)
7. Non-capital general purpose equipment, including computers and software (677xxx)
8. Associations dues, memberships and certification fees (690600)

Such costs may be allowable particularly if they are included in the proposed budget and approved by the sponsor. Otherwise the department should work with ORS to determine whether or not prior approval of the sponsor is required or if Duke can approve the costs internally. In either case the department should initiate a ReC Form and route it for approvals.

This is a preaward procedure at the time of a new or competing award if these types of costs were included in the proposal budget.

This is a postaward procedure during the course of the project if these types of costs were unanticipated but are found to be necessary to complete the work.

CAS GL Groups (link is external) (To view, sign in to the Financial Services website.)

PREAWARD ROLES AND RESPONSIBILITIES

DEPT

• Grant Manager routes ReC to PI
• PI approves it and routes it to ORS

ORS

• Once ORS approves the ReC, the budget change request is loaded into SAP.

POSTAWARD ROLES AND RESPONSIBILITIES

DEPT

• PI decides that previously unbudgeted, unallowable items are necessary for the performance of the project.
• The Grant Manager will contact the sponsor for permission to rebudget.
• Prior to making the purchase, the PI coordinates with the Grant Manager to complete the ReC form.

ORS

• Reviews for adequate justification
• Notifies DEPT if sponsor approval is required

If sponsor approval is required...

DEPT

• Prepares letter of request for sponsor

ORS

• AD reviews and co-signs letter of request

If sponsor approval is NOT required...

ORS

• Reviews justification and approves if acceptable