THE UNIVERSITY OF MEMPHIS OPERATING PROCEDURES


SUBJECT:  Sponsored Program Contract and Grant Applications

PROCEDURE NO.:  2B:05:01A                  DATE:  August 28, 1985

SUPERSEDES PROCEDURE NO.:  2B:05:01A       DATE:  May 1, 1977


                            PURPOSE

The purpose of this procedure is to outline the requirements and
procedures for internal review and approval of sponsored program
proposals and award documents.

                            GENERAL

Authority to sign proposals on behalf of the University is vested
only in the President, the Vice Provost for Academic Affairs, and
the Associate Vice Provost for Research.  The Associate Vice
Provost for Research will normally be the approving officer.

In the case of award documents, only the President, and in the
President's absence, those individuals specifically authorized in
writing by the President, have the authority to execute such
documents on behalf of the University.

1.  Prior to his approval of the submission of a proposal, the
    Associate Vice Provost for Research will require that the
    proposal and the University's Internal Coordination Form (see
    Attachment 1) be reviewed and approved in the following order
    by the:

    (1)  Principal Investigator/Project Director (PI/PD);
    (2)  Department Chairman/Unit Director;
    (3)  Dean of school or college (if applicable);
    (4)  Additional reviews and approvals as deemed appropriate; &
    (5)  Director of Sponsored Programs
 
    a.  The internal proposal budget to be reviewed (concurrently
        with the Internal Coordination Form) should include all
        costs to be incurred during the project period.  Any costs
        not to be funded by the sponsor should be identified as
        University cost-sharing.  Indirect costs must be included in
        all proposals at the current University rate (which may be
        obtained from the Office of Sponsored Programs).  Use of an
        indirect cost rate lower than the established rate must be
        justified by the PI/PD and approved by the Associate Vice 
        Provost for Research prior to its use in a proposed budget.

    b.  If the budget to be submitted to the sponsor does not,
        because of sponsor policy, permit the indication of full
        University cost-sharing, an internal budget shall be
        developed to accompany the proposal prior to the acquisi-
        tion of signatures on the Internal Coordination Form.  All
        such budgets shall be in the format shown in Attachment 2.**
      
    c.  In the case of contract or grant agreements which require
        University costsharing (whether in the form of personnel
        services or re-budgeting of funds), no proposal shall be
        made unless all cost-sharing funds and/or resources
        necessary for the project have been specifically identified
        and approved on the Internal Coordination Form by the
        Associate Vice Provost for Research.

    d.  Each proposal requesting sponsor support of $250,000 or
        more per budget period will, in addition and subsequent to
        the reviews indicated above but prior to the approval of
        the Associate Vice Provost for Research, be reviewed and
        approved with regard to its budget by the Grants and
        Contracts Accounting Office.

    e.  Upon receiving all necessary internal approvals for the
        submission of the proposal, the Director of Sponsored
        Programs will prepare a letter of transmittal which will be
        submitted over his signature and forward the proposal to
        the appropriate external agency(s).  A file copy of the
        proposal, with letter of transmittal, will be provided to
        the PI/PD.  An information copy of the letter of transmittal
        also will be sent to the appropriate college research
        director (if applicable).

2.  All award documents requiring signature on behalf of the
    University will be signed by the President or in his absence,
    his specifically authorized (in writing) representative.

    a.  In the case of a contract to be awarded by an agency of the
        State of Tennessee, a contract document signed by the
        President will be transmitted to the Chancellor for review
        and approval prior to the affixing of the final required
        signature on behalf of the State.  Should the contract
        require the approval and signature of the State Department
        of Finance and Administration, the approval by the TN
        Board of Regents shall be required prior to transmittal of
        the contract document to the Department of Finance and
        Administration.  Routing of this document is initiated by
        the Office of Sponsored Programs.

    b.  All awards from any agency of the State of Tennessee
        (regardless of value) shall be submitted to the Chancellor
        for approval.  In addition, other awards involving external
        funding in excess of $75,000 per award document, shall
        also be submitted to the Chancellor for approval.  Should
        the time requirements of the award be jeopardized by the
        requirement of receipt of a written approval from the
        Chancellor, a telephone approval may be requested by the
        Associate Vice Provost for Research on behalf of the
        President.  Should approval be obtained in this manner, it
        shall be confirmed in writing by the Chancellor as soon as
        practical thereafter.

    c.  All contract and grant agreements requiring the expenditure
        of University funds shall not extend beyond the end of the
        fiscal year in which they are consummated unless subject to
        the condition that the University shall have the right to
        terminate such agreement at the end of any fiscal year in
        the event that sufficient University funds are not
        appropriated by the General Assembly and/or budgeted by the
        University for program continuation.

    d.  No agreement of any nature shall be consummated by the
        University which contains a requirement:
    
        1)  That the University shall identify or hold harmless any
            other party except to the extent allowable by the State
            Board of Claims as provided by the Tennessee Code
            Annotated (TCA), including TCA Section 9-8-207;

        2)  That the University shall pay taxes of any nature from
            which it is otherwise exempt;

        3)  Concerning the payment by the University of costs
            resulting from default of the contract;

        4)  That the University be a party to litigation under the
            laws of any state other than Tennessee;

        5)  For payment by the University of attorney fees or which
            requires that the University defend another party in
            legal proceedings.

    e.  Any agreement relating to programmatic matters of system-
        wide interest, or any agreement which provides for the
        coordinated or cooperative offering of any program in which
        requirements are met or credit is given for activities
        offered by another institution, shall be approved by the
        President and the Chancellor.  Examples include academic
        programs or public service activities for private or State
        agencies in the fulfillment of that agency's responsi-
        bilities for State-wide services or governmental training.
        Other examples are agreements which require consortium or
        cooperative arrangements with other institutions, agencies
        or associations.  This section does not apply to locally
        arranged activities generally considered to be in the
        purview of the University in the fulfillment of its role in
        community services or in providing student learning
        experience through arrangements to provide student
        teaching experiences in the local public school systems.

    f.  All contract and/or grant agreements and subcontracts shall
        include all appropriate non-discrimination requirements
        provided by Federal or State laws and regulations.

3.  When the proposal results in a contract or grant agreement, a
    copy of the award document shall be sent to the Grants and
    Contracts Accounting Office by the Director of the Office of
    Sponsored Programs for routing of material incident to the
    setup of an internal project account.

4.  Should the sponsor's processing of a formal award document be
    delayed after the sponsor commits itself to making the award
    and should such a delay jeopardize the successful completion
    of a sponsored program by shortening the budget period,
    a University account may be established prior to the
    University receipt of the sponsor's formal award document.
    Prerequisite conditions for this type of account are as
    follows:

    (A)  the spending of funds from this account will be within the
         sponsor established budget period:

    (B)  the sponsor's commitment to making this award is indicated 
         by the sponsor to be unconditional;

    (C)  a memo is received from the chairman of the department in
         which this account is required, addressed to the Office of
         Sponsored Programs, stating that the limited funds
         requested (the amount and time period) will be guaranteed
         for replacement by unit funds (under a specific account
         number), should for any reason the sponsor's formal award
         document not be received by the University.

Due to the limited amount of funds available for this procedure,
receipt of prerequisite assurances may not automatically result
in the establishment of such an account but is at the discretion
of the Associate Vice Provost for Research.
 

Please contact the appropriate office for a copy of the INTERNAL CO-
ORDINATION FORM, and for a copy/copies of Attachment 2, Proposed Budget.