Research Incentive (RI) Distribution - B07
Purpose
µÛÍõ»áËù distributes 100% of all recovered indirect costs to the participating and supporting units, including the college/school, department, investigator, center/institute, and Vice President for Research & Creative Activity (VPRCA) investment fund. Investigators with funded projects that include indirect costs in the budget are eligible to receive Research Incentive (RI) distribution. RI funds are distributed to an account managed directly by the named account holder and are subject to the policies and procedures that govern expenditures in the University financial management system.
The use of RI funds is restricted to the enhancement of activities related to the funded project and/or to assist in the development of new projects. Funds may be used for, but are not limited to, the costs of writing new proposals, travel associated with the development of proposals for external funding, pilot studies for new projects, equipment, student support, and professional development. RI funds allotted to an investigator may not be used for that individual’s salary except in special circumstances approved by the VPRCA. Funds unspent at the end of the fiscal year are appropriated and made available in the subsequent fiscal year to eligible recipients.
Scope
This procedure applies to all sponsored projects subject to OU Policy 19.045 Administering External Grants and Contracts set up as separate accounts in the OHIO Financial Management System (FMS).
Procedure
Use the department method when a proposal is submitted through a department(s) or school(s).
Use the center/institute method when a proposal is submitted through an µÛÍõ»áËù Board of Trustees-approved Center or Institute with a focus primarily on research.
The PI/PD is responsible for indicating on the Electronic Transmittal Form (ETF) the percentage of responsibility for each contributor (must total 100%). The ETF is routed for approval to all unit department chairs and deans. When the project is awarded, ORSP will process the award using the RI distribution from the proposal and route to Grants Accounting for account setup. Grants Accounting will set up the account in Oracle and notify ORSP through LEO. ORSP will process the award notification in LEO, which will generate an email to the appropriate parties, including General Accounting who will set up the RI distribution.
Standard Distribution
Sample distribution based on $10,000 indirect cost recovery
| Entity | Department Method | Distribution | Center/Institute Method | Distribution |
|---|---|---|---|---|
| College | 57% | $5,700 | 31% | $3,100 |
| Department | 7% | $700 | 7% | $700 |
| Investigator(s) | 18% | $1,800 | 14% | $1,400 |
| VPR Investment Fund | 18% | $1,800 | 18% | $1,800 |
| Center/Institute | 0% | 0 | 30% | $3,000 |
| Total | 100% | $10,000 | 100% | $10,000 |
Multiple Colleges/Investigators
Allocation based on individual percent of responsibility on proposal transmittal
| Responsible Individuals | Percent | College | Department |
|---|---|---|---|
| Principal Investigator | 50% | Arts & Sciences | Biology |
| Co-Principal Investigator | 10% | Arts & Sciences | Chemistry |
| Investigator 1 | 10% | Engineering | Mechanical |
| Investigator 2 | 10% | Medicine | Biomedical |
| Investigator 3 | 20% | Engineering | Industrial |
| Total | 100% |
Sample distribution based on $10,000 indirect cost recovery
| Arts & Sciences 60% $6,000 | Department Method | Distribution | Center/Institute Method | Distribution |
|---|---|---|---|---|
| College | 57% | $3,420 | 31% | $1,860 |
| Department - Biology | 6% | $360 | 6% | $360 |
| Department - Chemistry | 1% | $60 | 1% | $60 |
| Principal Investigator | 15% | $900 | 12% | $720 |
| Co-Principal Investigator | 3% | $180 | 2% | $120 |
| VPR Investment Fund | 18% | $1,080 | 18% | $1,080 |
| Center/Institute | 0% | 0 | 30% | $1,800 |
| Total | 100% | $6,000 | 100% | $6,000 |
| Engineering 30% | Department Method | Distribution | Center/Institute Method | Distribution |
|---|---|---|---|---|
| College | 57% | $1,710 | 31% | $930 |
| Department - Mechanical | 2% | $60 | 2% | $60 |
| Department - Industrial | 5% | $150 | 5% | $150 |
| Investigator 1 | 6% | $180 | 5% | $150 |
| Investigator 3 | 12% | $360 | 9% | $270 |
| VPR Investment Fund | 18% | $540 | 18% | $540 |
| Center/Institute | 0% | 0 | 30% | $900 |
| Total | 100% | $3,000 | 100% | $3,000 |
| Medicine 10% $1,000 | Department Method | Distribution | Center/Institute Method | Distribution |
|---|---|---|---|---|
| College | 57% | $570 | 31% | $310 |
| Department - Biomedical | 7% | $70 | 7% | $70 |
| Investigator 2 | 18% | $180 | 14% | $140 |
| VPR Investment Fund | 18% | $180 | 18% | $180 |
| Center/Institute | 0% | 0 | 30% | $300 |
| Total | 100% | $1,000 | 100% | $1,000 |
For additional information regarding the distribution of recovered indirect costs, please contact ORSP@ohio.edu or call 740-597-ORSP (6777).
Questions
Questions regarding this procedure can be sent to orsp@ohio.edu.
Forms/Templates
There are no forms or templates for this procedure.
Roles and Responsibilities
Owner: PI/PD
Contributors: CFAO, ORSP, Grants Accounting, General Accounting
Approvers: ADR, Department Chair, Dean, VPRCA
Reference
Post-award financial management of RI: F&A / IDC Distribution Process – Quick Reference Guide.