Under Expanded Authorities in certain federal grant or cooperative agreement awards, many federal agencies have transferred to the University authority to approve adjusting the length of an award period of performance. Such authority may include a PI’s request for pre-award spending. This request is used to create a project grant number for the purpose of incurring pre-award costs up to a maximum of 90 calendar days prior to the start date of the award. Expenditures that precede the award are solely at the financial risk of the PI and Department.
The risks, liabilities, and restrictions associated with pre-award spending must be carefully considered prior to requesting authorization to spend funds in advance of receiving the award. Approval for pre-award spending is contingent upon the following requirements:
Pre-award spending must be allowed by the funding agency.
- There must be a strong indication in writing from the sponsor's grant administrator that an award is forthcoming.
- The appropriate Dean or Chair must agree in writing to assume the financial risk if the sponsor fails to issue the award.
- The PI or Department must provide ORPA with a back-up non-sponsored Project Grant Number where expenses will be transferred if the sponsor fails to issue the award.