Unbudgeted Equipment Approval

The purchase of capital equipment (equipment with a unit cost of $5000 or more) often requires the prior approval by the sponsor if:

  • the purchase of capital equipment was not included in the award budget, or
  • the PI or PD wishes to purchase a piece of capital equipment different from that included in the award budget

The ORS New Award Notification indicates whether prior approval for capital equipment is required or not.

Follow the standard approval procedures as described in the GAP 200.160, Rebudgeting Funds on Grants and Contracts to:

  • add equipment which was not included in the approved budget, or
  • change the budget line item for equipment because its cost differs from the original estimate.

If the PI proposes to purchase equipment which differs from that described in the approved budget, but which does not require a modification of the budget, the Request for Rebudgeting of Grant Funds must still be completed. Zero (0) should be inserted in the column requesting the amount of change in the line item and the approved form should be attached to the purchase order for the equipment. This procedure enables the University to correctly identify equipment when preparing property reports for the sponsor.

SPECIAL NOTE

Purchasing equipment in the final year of a sponsored project, whether it's in the approved budget or not, takes special consideration and should be carefully justified and approved by the department, ORS, OSP, and the sponsor if necessary.

POSTAWARD ROLES and RESPONSIBILITIES

If sponsor approval is required...

DEPT

  • Writes letter requesting permission to purchase equipment
  • Completes rebudgeting form
  • Sends letter and form to ORS

ORS

  • Assistant Director reviews the letter and confirms the terms and conditions
  • Co-signs letter and returns to DEPT

DEPT

  • Forwards request to sponsor

ORS

  • Receives sponsor's approval
  • Notifies the DEPT
  • Sends approval and rebudgeting form to OSP

If sponsor approval is not required...

DEPT

  • Completes rebudgeting form
  • Sends to ORS

ORS

  • Assistant Director approves the form and confirms the terms and conditions

FOR ALL

DEPT

  • Completes purchase requisition, screening form, usage agreement and sends to OSP

OSP

  • Reviews and gives final approval
  • Revises SAP to reflect the rebudgeted figures
  • Sends purchase requisition to Procurement

DOCUMENTATION: OFFICES OF RECORD

ORS

  • Keeps record of approval in award file

OSP

  • Keeps record of approval, screening and usage forms in award file

DEPT

  • Keeps backup documentation of purchase

PROCUREMENT

  • Keeps documentation of purchase