Policy Library

Advance Accounts

Revision Date: February 12, 2018
Responsible Office: URA
PDF Version

 

This policy establishes authority and responsibilities for the creation and management of advance
accounts.

Applicability

This policy applies to all individuals, schools, departments, centers, institutes, and programs
("Departments") that manage sponsored awards. Non-federal clinical trials (account range 636000-
637999) are excluded from this policy.

Policy Statement

  1. Advance accounts are accounts set up prior to the University’s receipt and acceptance of a sponsored award to allow the Department the ability to incur allowable costs to an appropriate account, reducing the need for cost transfers upon award acceptance.
  2. University Research Administration (URA) will create “bilateral advance” accounts for all bilateral awards received at the University. These accounts will be created upon receipt of a bilateral award to allow the Department to allocate expenses during award negotiation. These accounts will be noted with an account status of “N” in the financial system.
  3. A Department may submit a request to University Research Administration (URA) to authorize an advance account prior to the University’s receipt of an award provided the following conditions are met:
    1. The proposal has received institutional endorsement and has been submitted to the sponsor.
    2. There is a reasonable indication that an award is forthcoming
      1. These accounts will be noted with an account status of “A” in the financial system.
  4. URA will activate advance accounts upon award acceptance and distribution.
  5. Costs charged to the advance accounts must be allowable per the accepted award agreement and must occur within the project period unless the sponsor allows for pre-award spending.
    1. The sponsor will not be invoiced while the account is in an advance status.
    2. The project team may not complete any work involving human subjects, animal subjects, or requiring IBC approval while the account is in advance status.
  6. The Department is financially responsible for the expenses charged to the account in the event that the sponsor does not issue an award or if the University is unable to accept the award.

Key Definitions

Word/Phrase Definition
Bilateral Advance Advance accounts set up by URA upon receipt of a bilateral award
agreement.
Account Status - A The account status of “A” is used to designate advance accounts. These are
requested by the unit.
Account Status - N The account status of “N” is used to designate bilateral advance accounts.
Activate The process of converting an advance account to an active account.

 Roles and Responsibilities

Governed Party

Roles and Responsibilities
Departments The school, unit, department, institute, or center is responsible for requesting
advance accounts and appropriately managing them.
URA Post-Award
Research
Administrators		 The URA Post-Award Research Administrators are responsible for monitoring
advance accounts to ensure expenditures are allowable per University and
sponsor policies.

Related Information

Key Contacts

Name

Email
URA Post-Award Research Administrators awards@lists.uchicago.edu