Duke is responsible for ensuring that all of its subrecipients are managing their subawards in accordance with the terms and conditions of the prime award. In general, we flow down to the subrecipients the terms in our awards; we give, what we get. Under certain circumstances, we may add more restrictive clauses if we have reason to believe that the subrecipient may have difficulty performing specific tasks. For instance, a small non-governmental organization with little or no federal grants management experience may be asked to provide detailed receipts with each invoice. This oversight resides primarily at the unit level thought the central offices have roles to play as well.
At a minimum, the following activities should take place on a regular basis.
- Verify a subcontract is executed prior to approving a subrecipient invoice for payment.
- Verify the invoice looks reasonable. Invoice Template
- Verify the PI wants to pay the subcontractor/consultant.
- Run the Display Project Actual Cost Line Items Report in SAP. If you have questions about the CJI3, contact your OSP liaison.
- Understand the burn rate implications.
- Use the Financial Services Projection Tool - http://finance.duke.edu/systems/training/steps.php#bpsbudproj
- Verify the invoice meets terms and conditions. Sample Invoices
- Rebudgeting Request Form from the sub. (link to form)
- Request justifications for any cost item requiring prior approval.
- International Subagreements Only: Exchange Rate Fluctuations
- Review the currency exchange rate at least monthly.
- Request increased funding if the exchange rate cannot be covered with existing funds and if the scope will have to be drastically reduced.
Managing Under-performing Subs
- Do not pay the invoice if the PI suspects work is not being completed
- Run reports on subcodes in SAP
- PI contacts collaborator to discuss concerns
- Final resort: De-obligate funds