SIUC SPONSORED PROJECT GUIDE


   Section 9: Other Account Expenditures

This section of the Sponsored Project Guide covers common other-than-salary (OTS) expenditures: those for travel, equipment, commodities, and contractual services. (Student worker wages, also an OTS expense, are covered in section 8 of this guide). For other types of OTS expenditures, check with Grant & Contract Accounting (536-2351). For a sort of "jiffy guide" to grant spending, see "Grant Survival."

The Administrative Information System (AIS) financial system is now being used for grant accounts. Grants are assigned both an AIS budget purpose number and an old FAS account number. The budget purpose number is what you put on forms like Purchase Requisitions. You also need it, along with another number issued by Accounting Services called the fund number, to track your expenditures and check account balances on the AIS web site. For the time being, FAS numbers are still needed to assign P-card transactions to the proper grant account. Eventually the P-card system will be converted to AIS, and FAS numbers will be phased out.

Most electronic forms used for financial transactions are fillable PDFs obtainable from the forms section of the AIS web site or SIUC's central eForms repository. Completed forms cannot be submitted online, however. They must be printed out, signed by the grant's fiscal officer, and sent to Grant & Contract Accounting, mailcode 6812. G&CA checks your account for available funds and forwards the forms to Purchasing or Accounts Payable for processing.

9.1  Travel

Travel expenses to be charged to a grant must be consistent with any restrictions in the award. The following is an overview. For more details, see the "Know Before You Go" Travel Manual or Travel Regulations. SIUC has a comprehensive Travel Portal with travel information and links to preferred vendors gathered in one place.
 
Travel Expenses for SIUC Employees
(students are not considered employees; see below)
 
Expense How Paid or Reimbursed Budget Line
Conference registration fees Paid by P-card ($3,500 limit) or by Accounts Payable Invoice Distribution Form. If less than $50, can be reimbursed by an Accounts Payable Travel Expense Voucher. contractual services
Commercial airfare or train tickets Paid by P-card (preferred method) or by Accounts Payable Invoice Distribution Form. travel
University planes and charter flights Paid by internal transfer of funds. To make arrangements, contact Flight Services (453-1144). contractual services
Lodging Paid by P-card or reimbursed by Accounts Payable Travel Expense Voucher. See Reimbursement Schedule for lodging allowances. travel
Meals Reimbursed by Accounts Payable Travel Expense Voucher (see below for details). Reimbursement is by per-diem (overnight travel or trips of 18+ hours) or by meal allowance (shorter trips). See Reimbursement Schedule for information on meal allowance rates and the SIUC Travel Portal for a per-diem calculator. travel
Mileage for travel by personal vehicle (e.g., local travel to research sites; for other destinations, must be the most economical means of travel) Reimbursed by Accounts Payble Travel Expense Voucher. Mileage between home and campus is not reimbursable. You must own the vehicle yourself and it must be insured. See Reimbursement Schedule for mileage reimbursement rates. travel
University fleet vehicles and gas Paid by internal transfer of funds. See below for info on fleet vehicles. operation of automotive equipment
Rental vehicles and gas Paid by P-card or reimbursed by Accounts Payable Travel Expense Voucher. See below for info on rental vehicles. travel
Taxis, subway fare, parking, etc. Reimbursed by Accounts Payable Travel Expense Voucher. travel

 
Travel Expenses for Students and Non-SIUC Travelers
 
Travel expenses for students and non-SIUC travelers are reimbursed by an Accounts Payable Invoice Distribution Form. See below for more info.


Paying Travel Expenses in Advance:

Principal investigators on grants can minimize out-of-pocket travel expenses by using a P-card and the Orbitz for Business web site to book and pay for conference registration, airfare, Amtrak tickets, car rentals, and lodging for University employees, students, and non-University employees traveling on grant business. To get authorized to use the Orbitz site, call Accounts Payable (453-2253). Ask for the government or state rate when making hotel reservations.

Travel Advances for Out-of-Pocket Expenses:

If you or students traveling on grant business need a travel advance to help cover out-of-pocket expenses such as meals and taxi fares, contact the Bursar's Office (453-2221).

Out-of-Pocket Travel Reimbursement for SIUC Employees:

Some travel expenses that can't be paid in advance (e.g., parking, gas to refuel rental car, shuttles, etc.) can be paid-as-you-go by P-card. However, meals and gas for personal vehicles cannot be. To have these expenses reimbursed after your trip, you must fill out an Accounts Payable Travel Expense Voucher (see instructions), get it signed by the grant fiscal officer (or by your supervisor if you are the fiscal officer), and submit it to Grant & Contract Accounting (mailcode 6812) as soon as possible. To comply with IRS rules, if an expense voucher is not submitted to Accounts Payable within 60 days of the completion of travel, the reimbursement is considered taxable income and included on the employee's W-2 as supplemental wages.

Attach receipts for all expenses over $10, other than meals (which are reimbursed at standardized rates; see Reimbursement Schedule). State auditors require that receipts be the originals. Keep photocopies. If you only have a copy, you must also submit a Expense Certification Form.

Also attach receipts for all expenses paid by P-card, or copies of the billing for any expenses prepaid by an Accounts Payable Invoice Distribution Form, such as conference registration fees (include a copy of the completed registration materials). You must indicate these expenses on the voucher, but deduct the amount in the "Amount Not Allowed" section.

SIUC's "Know Before You Go" Travel Manual covers lots of details about allowable travel expenses and vouchers. Still have questions? Contact Accounts Payable (453-2253).

Out-of-Pocket Travel Reimbursement for Students and Non-SIUC Travelers:

You can prepay many of the travel expenses for students and non-SIUC travelers (e.g., research participants, consultants, invited speakers) using a P-card. Otherwise, they are reimbursed by the grant for their travel expenses via an Accounts Payable Invoice Distribution Form. You will need to submit their original receipts (keep photocopies!) along with the form. Send the paperwork to Grant & Contract Accounting (mailcode 6812).

Foreign Travel:

The University prefers to use the foreign travel per-diem allowances (set by the State Department) for reimbursement, rather than reimbursing for actual lodging and subsistence expenses. However, since the State Dept. allowances are maximums, the fact is that you often can book lodging that is much more affordable for your grant, depending on the nation/city and your familiarity with it. Read section 17 of the "Know Before You Go" Travel Manual to learn what's required in the way of receipts. If you can't get a lodging rate within the State Dept. allowances, call Accounts Payable (453-2253) for their OK. If you will need to rent a vehicle for grant business in a foreign country, check with Insurance Service (536-2101).

University Fleet Vehicles:

University cars and other fleet vehicles can be reserved from Travel Service using a Vehicle Request Form. Each vehicle has a set of major oil-company credit cards that you can use to pay for fuel. Travel Service (453-3357) has information on vehicle rates and fleet use policies. Charges are paid from the Operation of Automotive Equipment line.

Rental Vehicles:

Vehicles for University travel may not be rented within 100 miles of Carbondale. Instead, you must reserve a fleet vehicle from Travel Service (see above).

Otherwise, you may rent an vehicle if you are away from campus and no other suitable means of transportation are available. Your best option may be to reserve and pay for your rental with a P-card via Orbitz for Business, a travel service used by the University. SIUC has a contract with National Rental Car to provide discounted rates.

Rental vehicles and gas may be paid for with a P-card, or you may pay with a personal credit card and claim reimbursement on the Accounts Payable Travel Expense Voucher. Receipts for the rental and the gas must be submitted with your voucher. Don't accept insurance on a rental vehicle in the United States. The University has insurance, so this charge is not reimbursable. See Travel Regulations for more details.

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9.2  How Equipment, Commodities, and Contractual Services Are Defined

Before any purchase, make sure (1) that you have sufficient funds in the appropriate budget line, and (2) that the expenses are allowable on your grant or contract.

Equipment is defined as nonconsumable (inventoriable) property—computers, laboratory equipment, etc. To be classified as equipment on federal grants and contracts, items must be valued at $5,000 or more; less expensive items are classified as commodities. The dollar threshold on nonfederal grants and contracts is lower and varies. For instance, it is $500 on many state grants. If the guidelines for a nonfederal grant don't stipulate a dollar limit, the Grant & Contract Accounting section of Accounting Services uses a $100 threshold when setting up budget lines for the account (same as the threshold on state budget accounts).

Equipment funds are used for new items only. To obtain used equipment, call Surplus Property (453-2732). Equipment is tagged and inventoried by the Fixed Asset Accounting division of Accounting Services.

Commodities are goods of a consumable nature that show a material change or significant depreciation with first usage. Examples of commodities include:

  • standard office supplies
  • laboratory supplies
  • field research supplies
  • most books (but not annual directories; see below)
  • printing of materials

Note that software and repair parts are classed as contractual services, not commodities.

Contractual Services are any services performed by an individual using his or her talents and abilities, or by a company using the talents and abilities of its employees, for the good of the University. Included in this category are:

Check with Purchasing (453-5751) if you are uncertain about the classification of a particular expenditure.

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9.3  Campus Suppliers

To buy goods or (more usually) services from campus units, you need to submit a service request form, usually supplied by the unit itself or downloadable from its web site. When the work is completed, either the charges are paid automatically by an internal transfer of funds, or the service unit sends an invoice to the grant fiscal officer. You pay the invoice charges with a Transfer Voucher.

Research support facilities offer technical services to researchers across campus, ranging from equipment fabrication to DNA sequencing, large-poster printing to electron microscopy. See the link for web sites and contact information.

Other campus units also supply goods or services needed for grant activities:

Short-Term Office Service (S.O.S.): Administered by Plant and Service Operations, this service assists departments or programs that need office employees for short-term employment (generally four weeks or less, but can be up to 900 hours). S.O.S. is an alternative to extra-help civil service appointments when the grant has contractual services funds but no salary funds. S.O.S. staff are available on an as-needed basis. Rates vary, depending on the skills required. Charges are paid by an automatic transfer of funds; there is a 5% surcharge to cover the expenses of providing the service. For current rates, or to start the hiring process, call Dawn Wilson (453-8170). She will complete a Short-Term Office Request and send it to the immediate supervisor and grant fiscal officer for signature. Supervisors may interview S.O.S. candidates if they desire.

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9.4  Off-Campus Suppliers / Prime Vendors

Off-campus purchases require use of a P-card, Accounts Payable Invoice Distribution Form, or Purchase Requisition, depending on the type and amount of the expenditure.

SIUC has contracts with prime vendors that provide discounted pricing for—among other things—computers, lab supplies and equipment, office supplies, and shipping/express delivery. Use these vendors whenever possible. Note that bid requirements, which normally kick in at the $32,600 threshold for equipment and commodities, are waived when you use a prime vendor. If the goods you need don't fit any of the categories below, call Purchasing (453-5751) to see if they are available from a prime vendor.

OfficeMax: Order office supplies online, at a discount, from OfficeMax Solutions. Don't have a P-card? Get one first; you'll need it to pay. Then contact Purchasing (453-5751) to request a short authorization form that you fill out and fax to OfficeMax. The company will e-mail you a password giving you online access.

Dell Computers:

Dell computers and Apple computers may be purchased with a P-card if the system costs less than $3,500. SIUC has a prime vendor contract with 710 Bookstore to provide Dell computers. Go to the Dell site from Purchasing's prime vendor page to configure the system you want. Print out an e-quote. If the system costs less than $3,500, submit the e-quote with a Computer P-card Request to Purchasing, mailcode 6813. (Go to the P-card page and select from the forms menu to find the Computer Request.) If the system costs $3,500 or more, submit the e-quote with a Purchase Requisition to Grant & Contract Accounting, mailcode 6812. The procedure is the same for Macintosh computers. Go to the Apple web site and choose the education site for the best prices.

Other computer purchases, regardless of cost, require a Purchase Requisition. In addition, purchases of computers other than Dells, Maintoshes, and Unix-based computers require a written justification to accompany the Purchase Requisition.

Fisher Scientific Co.: Fisher furnishes laboratory equipment, casework, supplies, and chemicals. No bidding requirements are involved. See the Fisher catalog at their web site. You'll have to log in to see current SIUC discounted prices. Order online with a P-card if the transaction is less than $3,500 ($1,500 if equipment); otherwise, order by submitting a Purchase Requisition to Grant & Contract Accounting (mailcode 6812). Requisitions of $50,000 or over require special approvals. Questions? Contact Purchasing (453-5751).

UPS: UPS offers discounted pricing and departmental pickup for shipping and express delivery of letters and packages to domestic and international locations. Payment is only by P-card. Questions? Contact Purchasing (453-5751).

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9.5  P-Cards - for most commodities < $3,500 and most equipment < $1,500

Purchases of most commodities, some equipment, and some services can be made with a procurement card, or P-card—a University credit card obtained from Purchasing (the issuer is MasterCard). To obtain a P-card, contact Purchasing (453-5751).

All P-card recipients must go through training. If you are using the card for several grant accounts, you must assign purchases to the proper grant account. Purchasing's P-card web page posts information and forms, including the P-Card Policies and Procedures Manual. P-card records must be retained by the cardholder for seven years in a form that is easily accessible for auditing.

P-cards have a monthly charge limit of $15,000. Prime vendors should be used for purchases whenever possible.

Transaction limits are:

  • $3,500 for commodities
  • $3,500 for furniture
  • $3,500 for Dell and Apple computers (other types of computers may not be paid for by P-card)
  • $3,500 for computer software (must not involve a signed license agreement)
  • $3,500 for conference registration fees
  • $1,500 for equipment other than Dell and Apple computers
  • $1,500 for repair parts (repair work requires a Purchase Requisition)

These limits include all shipping and handling charges. Goods and services that cost more or that are on the P-card prohibited list require an Accounts Payable Invoice Distribution Form or a Purchase Requisition instead.

Since SIUC is a state institution, tax may not be charged on purchases. You'll have to notify vendors of this. If an online ordering site automatically adds tax, you must contact the vendor via telephone instead to place your order. On occasion you may have to fax a vendor a copy of SIUC's Tax Exemption Letter.

Additional requirements in certain cases:

If you are buying a Dell or Apple computer, you must submit a Computer P-Card Request to Purchasing along with the e-quote generated from the Dell or Apple sites. (Go to the P-card page and select from the forms menu to find the Computer Request.) Other types of computers cannot be purchased by P-card; contact Purchasing (453-5751).

If you are buying furniture, you must submit a Furniture P-Card Request to Purchasing before you make your P-card purchase. If the furniture costs more than $500, you also must submit a Furniture Affidavit. There are certain approved vendors for furniture purchases; contact Purchasing (453-5751).

If you are buying equipment, send an Equipment Transaction Form and a copy of the invoice to Fixed Asset Accounting (MC 6812) so that the equipment will be tagged and added to inventory.

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9.6  Invoice Distributions - for most services < $1,500 and some < $5,000

Most payments for one-time services costing $1,500 or less can be made via an Accounts Payable Invoice Distribution form ("direct voucher method"). This includes honoraria for speakers and fees for consultants who are independent contractors. (Note: For insurance reasons, paying suppliers to do on-campus equipment repairs, installation, training, etc., always requires a Purchase Requisition.)

For a few types of services that require no signed contract, the Invoice Distribution limit goes up to $5,000. Purchasing maintains a complete list of such services. They include:

  • admission, application, participation, and entry fees
  • conference registration fees, including setup/booth rental charges (can pay with P-card if less than $3,500)
  • copyright fees
  • educational awards provided through National Science Foundation grants
  • entertainment costs (must comply with University policies/regulations relating to entertainment)
  • journal subscriptions
  • page charges and reprints
  • payments to non-SIU employees for voluntary participation in a research project (mark the form "No Services Rendered")
  • off-campus repairs/servicing of equipment not requiring a signed agreement
  • rental fees for public facilities when a signed agreement is not required
  • student fellowships for education (mark the form "No Services Rendered")
  • travel expense reimbursement to students and to non-SIUC travelers (e.g., research participants, consultants, invited speakers)

Send a completed, signed Accounts Payable Invoice Distribution to Grant & Contract Accounting (mailcode 6812), along with the supplier's invoice. See Direct Voucher Method for Payment for instructions.

If the form is for payments to research participants, add the notation "No Services Rendered" in the "Description/Notes" section.

If payment is required in advance (for things like conference fees and subscriptions), you won't have an invoice number. Add the notation "Pro Forma" in the "Description/Notes" section.

If you are purchasing services from an individual, rather than from an incorporated business, you must submit an Independent Contractor Analysis Form and a W-9 Form with the Accounts Payable Invoice Distribution. These forms must be filled out and signed by the individual providing the service, and then signed by the grant fiscal officer. If you have questions, call Tracy Bennett at Human Resources (453-6695). If the individual is named in the grant, also submit a copy of the fully executed grant. This will greatly expedite approval.

Services above the $1,500 or $5,000 limit require processing of a Purchase Requisition (see next section).

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9.7  Purchase Requisitions - for all other goods and services

The following purchases require a Purchase Requisition:

Individuals do not have the legal authority to enter into contracts with suppliers for SIUC business. You must work through the Purchasing Office by submitting a Purchase Requisition. The Purchasing Office web site has a list of types of purchases, with links to the buyer who handles each type. Call or e-mail the buyer if you have questions. Allow 2 weeks of lead time for routine purchases by requisition, 3-4 weeks if bids will be required.

  1. Fill out a Purchase Requisition with the grant account number and title, department, description of the items or service to be purchased, quantity, cost or price quote, recommended supplier, completion date (if services), and fiscal officer's signature. It's a good idea to attach a copy of the literature that describes the product or service.

  2. Send the requisition and any accompanying paperwork to Grant & Contract Accounting (mailcode 6812), which will check the account for available funds and forward the paperwork to Purchasing.

  3. Purchasing will verify the price and solicit bids if necessary. You must justify your choice if you don't select the lowest bidder.

  4. Purchasing will prepare a purchase order and fax it to the vendor/supplier.

  5. Goods normally are shipped to Central Receiving, which in turn delivers to the department. If you receive the shipment directly from the vendor, notify Expediting (453-6722) of receipt.

  6. Forward the vendor's invoice to Accounts Payable.

9.7.2  Sole Source Contracts

Purchasing may change suppliers on requisitions if they believe they can obtain something less expensively through another source. If the terms of your grant or the technical specifications of your project require a specific vendor for a purchase, alert Purchasing that you need a sole source contract because suppliers cannot be substituted.

If the cost will be above the bid threshold of $32,600 ($20,000 for professional/artistic services), you also must submit a Sole Source Justification Form with the requisition. Allow several weeks of lead time in this case: all sole source contracts above the bid threshold must be published in advance in the Illinois Procurement Bulletin.

9.7.3  Purchases of $32,600 or More: Bid Process

Requests to purchase an item or service costing $32,600 or more ($20,000 or more in the case of professional/artistic services) must be competitively bid by advertising over a 15-day period in the Illinois Higher Education Procurement Bulletin in order to select a supplier. (Exceptions: You're using a prime vendor, or you receive approval from Purchasing for a sole source contract.) The Purchasing Department does the advertising based on your specifications. Allow 3-4 weeks of lead time in submitting your Purchase Requisition. More information is available from Purchasing.

9.7.4  Purchases of $50,000 or More: Special Approvals

Purchases of $50,000 or more require approval from the SIU President; allow extra lead time. Purchases of $100,000 or more also require approval of the SIU Board of Trustees; allow 3 months of lead time.

For all purchases of $50,000 or more, the requisition must be accompanied by either a Sole Source Justification Form (if suppliers cannot be substituted) OR a brief letter of justification stating what you're buying, what it will be used for, budget purpose number and title, and funding agency. See Board Letter Requirements for more information.

9.7.4  Planned (Blanket) Purchase Orders

If you need to buy various items or services costing $1,500 or more from one vendor over an extended period, obtaining a planned purchase order can cut down on your paperwork because you only need to submit one requisition. Planned purchase orders also can be issued for repeated purchases of items under $1,500 that are on the P-card prohibited list.

The procedure is the same as for normal purchase requisitions, except that you must specify the types of items or services to be purchased, estimated total expenditure, and time frame for purchases. When Purchasing establishes the planned purchase order, it will send you a copy showing the total dollar amount for orders, time period, and purchase order number. You contact the vendor directly for orders and send the invoices to Accounts Payable for payment.

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9.8  Some Goods and Services Requiring Prior Authorization

Note: This is not an all-inclusive listing. For more information, see categories on the Purchasing Office's How-To Pages.

Classified advertising: Placing a classified ad for any University position requires preparation of a Purchase Requisition with attached ad copy. Send materials to the University Affirmative Action/Equal Opportunity Office (453-1186, mailcode 4306). The approval process has recently been streamlined; ads no longer need to go to University Communications for signature.

Compressed gases: The Center for Environmental Health and Safety (453-7180) handles purchasing and delivery of compressed gases. Check with the center or with your department for details.

External consultants: The services of external consultants who are independent contractors (e.g., who operate or are employed by a consulting firm) are retained via a Purchase Requisition. The requisition must detail the consulting services to be rendered on specified dates and the amount of the compensation. External consultants who don't meet the tax-law criteria for an independent contractor must be hired as restricted-term or extra-help employees and paid from a salary line; see External Consultants in section 8 of this guide. To make this determination, Purchasing requires that you submit an Independent Contractor Analysis Form and a W-9 Form with the requisition. Questions? Contact Tracy Bennett in Human Resources (453-6695). Allow at least 2 weeks of lead time for Purchasing to process the paperwork. Travel expenses of external consultants can be reimbursed to them using an Accounts Payable Invoice Distribution Form.

Laboratory animals: All requisitions for laboratory animals are generated by the Laboratory Animal Program (536-2346). Call them for an Animal Request Form, which you'll need to fill out and submit to them. Research using animals requires prior clearance; submit an Animal Use Protocol form to the Institutional Animal Use and Care Committee (453-4533) for review. Various protocols are available on the IACUC web site. Per-diem charges for animal care are billed as a contractual service.

Printing done off-campus; engraved/imprinted items: Purchase Requisitions to purchase off-campus printing must be approved by Printing Service (453-2268) and University Communications (453-2276) before submission to Grant & Contract Accounting (mailcode 6812). Approval by University Communications is also required for engraved/imprinted items such as plaques, T-shirts, mugs, etc.

Radioactive materials: Requisitions for radioactive materials require prior authorization by the Center for Environmental Health and Safety (453-7180). CEHS has a sample requisition online.

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9.9  HELP! Tips for Expediting Things

Some red tape is unavoidable in spending grant money because SIUC must follow Board of Trustees and State of Illinois policies and regulations. For example, bid specifications are required to be published for a certain amount of time; there's no getting around it. Grant accounts, like state accounts, are subject to these requirements because they are institutional funds. However, a lot depends on you. There are steps you can take to speed things up—especially if getting your project underway depends on a major purchase, such as an expensive piece of equipment.

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Questions/comments about the Sponsored Project Guide? Contact Marilyn Davis
Office of Research Development and Administration
Southern Illinois University Carbondale

last updated 7/14/08

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