Federal Requirements for Effort Reporting
Office of Management and Budget's (OMB) Circular A-21 Cost Principles for Educational Institutions This circular describes the federal government's cost principles for colleges and universities. It defines what costs are allowable and allocable to federal grants and other "assistance" agreements.
OMB Circular A-21 (Section J.8) sets forth criteria for acceptable methods of charging salaries and wages to federally sponsored projects. A-21 requires a payroll distribution system that directly charges salaries to appropriate projects.
In addition, Circular A-21 requires that institutions develop a mechanism to determine or confirm how individuals actually expend effort during a specified time period. These effort reports must be performed on a regular schedule and must be certified by individuals who have first-hand knowledge of 100 percent of the employee's compensated activities. In most cases, that would be the employee or the employee's direct supervisor. back to top
Guidelines for Inclusion of Clinical Practice Compensation in Institutional Base Salary Charged to NIH Grants and Contracts
This Notice provides guidance and policy to address requests for revision of established NIH requirements for the inclusion of Clinical Practice Compensation (CPC) in Institutional Base Salary (IBS) to provide enhanced clarity and flexibility in implementation while maintaining appropriate stewardship and accountability for the utilization of NIH funds.
Determining Full-time Professional Effort for Career Awards
Almost all NIH supported career development awards (Ks) require that recipients devote a specified minimum percentage of their full-time professional effort (in most cases 75%) to the goals of the career award. In addition, policy requires a full-time appointment at the applicant organization, with salary based on a full-time, 12-month staff appointment. This policy is regarding the determination of full-time professional effort to be applied to all K awards.
Policies and Practices: Compensation, Effort Commitments, and Certification
An invaluable source of information about federal requirements and how to interpret them, issued in March 2007 by the Council on Governmental Relations (COGR).