& @ NS 1:20: G 1/4/4849 IKANS.J NATIONAL SCIENCE FOUNDATION Washington, DC 20550 GRANT POLICY MANUAL TRANSMITTAL MEMORANDUM NO. 7 April 1, 1993 Subject: Policies and Procedures for Informal Resolution of Disputes Revised Grant General Conditions Purpose/Background. This memorandum transmits changes to the Grant Policy Manual (GPM) and provides a summary of the changes. This revision transmits the Grant General Conditions, GC-1 (1/93) and clarifies NSF disputes resolution procedures. SUMMARY AND EXPLANATION OF REVISED SECTIONS Section 690 has been revised to set forth NSF procedures regarding the informal resolution of disputes under NSF grants. These changes clarify NSF procedures for requests for review of grant administration disputes. Changes from the current GPM Section 690 include a requirement for grantees to submit a full statement of the grantee’s position relative to a request for review of the Grant Officer’s determination. The new provisions also eliminate the review by a minimum of a three-person panel of disputes other than termination orders and suspensions over 60 days. Changes to the Grant General Conditions include a revised maximum daily rate of compensation for consultants. Page Placement. Replace the current pages VI-11 and VI-12 with the Change Pages VI-11 through VI-12(a). Replace the current exhibit pages I-19 through [1-25 with the Change Pages of the same number. Any questions regarding the Grant Policy Manual, this Transmittal Memorandum or any other award policy issues may be addressed to the Policy Office, Division of Grants and Contracts by telephone at (202) 357-7880 or by e-mail to policy@nsf (BITNET) or [email protected] (Internet). William B. Cole Director, Division of Grants and Contracts Attachment: Change Pages e. for all grants involving human subjects or vertebrate counting records and make the necessary adjustments so that animals, an updated annual certification is required by the the disbursement amount does not exceed the grant amount. Foundation as an appendix to the report if protocols have been e. When the final disbursements have been recorded by changed substantively from those originally proposed and ap- NSF, the grant will be financially closed and no additional dis- proved. bursements should be shown by the grantee in subsequent 673.2 Timing of Progress Reports reports. Unless otherwise specified in the grant instrument, progress f. When ali final reporting requirements have been met, the reports shall be submitted in the following frequency: grant will be deleted from the FCTR. When this is done, the a. For standard grants awarded for two or more years, grant will be shown in the next “Schedule of Awards Purged progress reports are required annually, no later than 90 days and Subsequent Adjustments During the Quarter,” Part IV of after the anniversary of the effective date of the grant. If the the FCTR. grant is not renewed, no progress report is required at the end of the final year; only the final project report need be sub- 675 Final Project Report mitted. Within 90 days following expiration of the grant, one copy b. For continuing grants, the progress report is part of the of a Final Project Report (NSF Form 98A), shown in Exhibit annual request for continued support, described in GPM 253. VI-4, must be submitted to the cognizant NSF Program Of- ficer. This form contains a summary of the completed project 674 Final Disbursement Reporting that will be used to answer inquiries by non-scientists as to the NSF does not require grantees to submit individual Finan- nature and significance of the research. The form also includes cial Status Reports (SF 269) for purposes of final grant ac- space to indicate the status of submission of the final technical countability. NSF procedures have been designed to extract information items for NSF program use. (See GPM 676.) In the final financial data from the entries in the Federal Cash addition, Part IV of the form requests summary data on the Transactions Report (FCTR), SF 272A. This reporting is ac- project personnel. complished as follows: a. For any grant listed on the FCTR that expired prior to the 676 Final Technical Information items beginning of the quarter covered by the FCTR, the grantee will As soon as they are available after completion of the project, enter the final disbursement amount in the “Net Disbursement the following technical items must be submitted for NSF Reporting Quarter” column. programmanagement use: b. If there are valid unpaid obligations outstanding at the a. abstracts of theses; time final disbursements are due, the obligations must be b. publication citations and reprints of articles; charged against the NSF cash advance and reported in the “Net c. data on scientific collaborators; Disbursement Reporting Quarter” column as if they had ac- d. brief descriptions of primary data, samples, physical col- tually been paid. If subsequent payment differs by $300, plus lections, inventions, software, etc. created or gathered in the or minus, from the amount previously reported, the grantee course of the research and, if appropriate, how they are being must request the approval of the Acquisition and Management made available to the research community, (give the NSF In- Support Branch of the Division of Grants and Contracts. The vention Disclosure number for any invention); request should specify the reason for the adjustment. Adjust- e. technical description of the project and results; and ments will not be approved for amounts less than $300. f. other materials either required in the award instrument or c. If by law, reguletion, or accounting system limitations, considered to be useful to the Foundation. valid unpaid obligations cannot be charged against the NSF advance and reported as disbursed in accordance with b, 677 Compliance with Reporting Requirements above, closeout by the Foundation will be deferred provided The Division of Financial Management monitors report sub- that: missions to assure that the requirements for final disbursement 1. the grantee submits to the Division of Financial information in the FCTR are fulfilled. NSF Program Officers Management, Grantee and Cash Management Branch, a one- are responsible for assuring that the Final Project Reports on time statement of the reason(s) for not reporting unpaid obliga- prior, expired awards have been submitted by Principal Inves- tions as disbursed; tigators (PIs) before new awards are made to those PIs. 2. for each grant to be held active, the grantee inserts “unpaid cbligations” in the Recipient Remarks column of the 678 Grant Closeout FCTR; and Grant closeout is the process by which NSF determines that 3. the grantee signs the certification printed at the end of all applicable administrative actions and all required work of the FCTR. the grant have been completed. Grants will be closed upon d. The final disbursement amount may not exceed the receipt of ihe final disbursement information in the FCTR and amouonf tth e grant. If the grantee erronereopourtss s!ucyh a n Final Project Report, and after determination that any other ad- excess, NSF will ketehe pgra nt in the FCTR in the subsequent ministrative requirements in the grant instrument have been quarter to give the grantee an opportunity to review its ac- met. In the event a final audit has not been performed prior to Update 4/93 Vi-11 the closeout of the grant, the Foundation reserves the right to project audit(s) deemed necessary by NSF shal! build upon the recover appropriate amounts after fully considering the recom- results of such audit(s). mendations on disallowed costs resulting from the final audit. 690 INFORMAL RESOLUTION OF GRANT 680 RECORDS RETENTION AND AUDIT ADMINISTRATION DISPUTES 681 Background 691 Background GPM 682 implements the requirements of Attachment C to Consistent with the “Recommendation on Grant Disputes” OMB Circular A-110 and of Attachment C to OMB Circular by the Administrative Conference of the U.S., and with the in- A-102 concerning retention and custodial requirements for tent of the provisions of Alternative Dispute Resolution, the records concerning grants. Foundation provides the informal resolution processes described below concerning disputes or disagreements that 682 NSF Requirements may arise over Grants Officer post-award decisions under an a. Financial records, supporting documents, statistical NSF grant. records, and other records pertinent to a grant will be retained by the grantee for a period of three years from submission of 692 Scope of Post-Award Disputes Covered the Final Project Report described in GPM 675 except that: a. The disputes below are covered under the process 1. Records which rclated to audits, appeals, litigation, or described in GPM 693.1: the settlement of claims arising out of the performance of the 1) suspensions over 60 days, and project will be retained until such audits, appeals, litigation, or 2) termination orders (GPM 660). claims have been disposed of. b. The disputes below are covered under the process 2. Recotds relating to projects subject to the project in- described in GPM 693.2: come provisions of GPM 773 will be retained until three years 1) Reviews of suspensions of 60 days or less; from the end of the grantee’s fiscal year in which the grant let- 2) Cost disallowances pursuant to an audit report; ter requirements for reporting income expires. 3) Indirect cost rates or amounts for indirect costs in- b. Unless court action or audit proceedings have been in- cluded in NSF awards (GPM 535.2); itiated, the grantee may substitute microfilm copies of original 4) Denials of no-cost extensions (GPM 244 3); and records. 5) Amounts of funding provided in NSF awards or by c. The NSF Director and the Comptroller General of the amendments. United States, or any of their duly authorized representatives, c. Requests for reconsideration of a declined proposal or a shall have access to any pertinent books, documents, papers, proposal returned as inappropriate for NSF consideration are and records of the grantee organization (and of the performing covered in GPM 235. organization, if different) to make audits, examinations, ex- Cerpts, and transcripts. Further, in accordance with paragraph 693 Procedures 4i of Attachment O to OMB Circular A-110, any negotiated 693.1 Review of Suspensions over 60 Days and contract in excess of $10,000 made by the grantee shall in- Termination Orders clude a provision to the effect that the grantee, NSF, the Comp- a. The grantee should submit a certified letter to the Direc- troller General, or any of their duly authorized representatives, tor, Division of Grants and Contracts, National Science Foun- shall have access to pertinent records for similar purposes. dation, 1800 G Street, NW, 20550, noting the grantee’s d. In order to avoid duplicate record keeping, NSF may disagreement or dispute and identifying the NSF Grants make special arrangements with grantees to retain any records Officer's decision in question, giving reasons for the request which are needed for joint use. NSF may request transfer to its for review, and providing any other material pertinent to the custody of records not needed by the grantee when it deter- matter. mines that the records possess long-term retention valuc. b. The letter to the Director, Division of Grants and Con- When the records are transferred to or maintained by NSF, the tracts (DGC) must be postmarked no later than 30 days after three-year retention requirement is not applicable to the gran- the date of the letter notifying the grantee of the decision in tee. In the rare event that these provisions are exercised, NSF question. The time for filing a request for review is strictly en- will negotiate a mutually agreeable arrangement with the gran- forced and no extensions for the purpose of preparing it will be tee regarding reimbursement of costs. granted. e. It is the responsibility of grantees that are institutions of c. The request for review need not follow a prescribed for- higher education or other non-profit organizations to arrange mat; however, it must contain a full statement of the grantce’s for the conduct of audits as required by OMB Circular A-133, position with respect to the disputed matter and the facts and “Audits of Institutions of Higher Education and Other Non- reasons in support of the grantce’s position. Requests must be profit Institutions,” except those institutions that are audited as based in fact and will be reviewed if the grantee submits new part of single audits in accordance with OMB Circular A-128, information (which was unavailable at the time of the original “Audits of State and Local Governments.” Any Federal decision); if an error in fact or application of NSF policy is Vi-12 Update 4/93 noted in the original decision; or improper procedures were the date of the letter notifying the grantee of the decision in followed in the original decision. question. The time for filing a request for review is strictly en- d. The Director, Division of Grants and Contracts or his/her forced and no extensions for the purpose of preparing the re- designee will promptly acknowledge receipt of the request and quest will be granted. appoint an ad hoc review panel. The ad hoc review panel will c. The request for review need not follow a prescribed for- consist of a minimum of 3 persons. The panel will not consist mat; however, it must contain a full statement of the grantee’s of any member who was directly involved with the termination position with respect to the disputed matter and the facts and or suspension action or in recommending and/or monitoring reasons in support of the grantee’s position. Requests must be the scientific aspects of the project or responsible for negotiat- based in fact and will be reviewed if the grantee submits new ing and/os administering its business aspects. The review information (which was unavailable at the time of the original panel will be chaired by DGC, and typically may include a decision); if an error in fact or application of NSF policy, the DGC grants official, a program official, and an attorney from cost principles or other laws or regulations that relate to the al- NSF's Office of the General Counsel. lowability of costs is noted in the original decision; or im- e. The panel will review and consider all relevant informa- proper procedures were followed in the original decision. tion available to it and prepare a report of its conclusions and d. Upon receipt of the request, the Director of DGC or recommendations within 90 days and will forward the report to his/her designee will determine whether the issue is reviewable the NSF Director or his/her designee. in accordance with these provisions and will promptly notify f. The NSF Director or his/her designee will make the final the grantee whether the request has been accepted for review. and unappealable decision for the agency and will communi- e. The Director of DGC will review or designate one or cate the decision in writing to the grantee within 15 days of more individuals to review the matter. One reviewing official receipt of the panel’s recommendation unless otherwise will be at least one management level higher than the official specified by NSF. who made the decision which is being reviewed. In no case, will the review be undertaken by any individual involved with 693.2 Review of Suspensions of 60 days or less, the decision or involved in recommending and/or monitoring Cost Disallowances, Indirect Costs, No-cost Exten- the scientific aspects of the project or responsible for negotiat- sions and Award Amounts ing and/or administering its business aspects. a. The grantee should submit a certified letter to the Direc- f. The review will consider all relevant information avail- tor, Division of Grants and Contracts, National Science Foun- able. The basis for conclusion and recommendation will be dation, 1800 G Street, NW, 20550, noting the grantee’s documented and given to the Director of DGC or his/her desig- disagreement or dispute and identifying the NSF Grants nee for a final and unappealable written decision for the agen- Officer’s decision in question, giving reasons for the request cy. The Director of DGC or his/her designee will for review and providing any other material pertinent to the communicate the decision in writing to the grantee normally matter. within 30 days of receipt of the request unless otherwise b. The letter to the Director, Division of Grants and Con- specified by NSF. tracts (DGC) must be postmarked no later than 30 days after Vi-12 (a) Exhibit [1-5 NATIONAL SCIENCE FOUNDATION Washington, D.C. 20550 GRANT GENERAL CONDITIONS TABLE OF CONTENTS Article Subject Article Subject Grantee Responsibilities and Federal Requirements Publications Prior Approval Requirements Patent Rights Pre- Award Costs Cost Sharing and Cost Sharing Records No-Cost Extensions . Audit and Records Expenditures for Related Projects . Site Visits Consultant Services Suspension or Termination Equipment Termination Review Procedure Y=P r BSignPificPantr PrPojec t Changes Nondiscrimination a. Transfer of Project Effort National Security: Classifiable Results Onginating Under b. Objectives or Scope NSF Grants c. Principal Investigator Animal Welfare 9. Travel Research Involving Recombinant DNA Molecules 10. Rearrangements and Alterations Clean Air and Water 11. Allowable Costs Human Research Subjects PYSRSASSRB REBS 12. Payments Resolution of Conflicting Conditions 13. Continuing Grants 14. Progress Reports OTHER CONSIDERATIONS 15. Final Report Requirements 16. Information Collection 33. Liability 17. Copyrightable Material 34. Sharing of Findings, Data, and Other Research Products 18. Project Income 35. Activities Abroad Article 1. Grantee Responsibilities and Federal Requirements the grant. Documentation for each expenditure or action affecting this grant must reflect appropniate institutional reviews or approvals which a. The grantee has full responsibility for the conduct of the project or should be made in advance of the action. Institutional reviews are activity supported under this award and for adherence to the award intended to help assure that expenditures are allowable, necessary and conditions. Although the grantee is encouraged to seek-the advice and reasonable for the conduct of the project, and that the proposed acticn: opinion of the Foundation on special problems that may arise, such (1) is consistent with grant terms and conditions; advice does not diminish the grantee’s responsibility for making sound (2) is consistent with NSF and grantee policies; scientific and administrative judgments and should not imply that the (3) represents effective utilization of resources: and responsibility for operating decisions has shifted to the Foundation. The (4) does not comas?4‘e a change in scope. grantee is responsible for notifying NSF about (1) any allegation of Nothing in this art-ci: shal! be construed to require administrative scientific misconduct that it concludes has substance and requires an reviews or documentati 57 which ciuplicates those already required by investigation in accordance with NSF misconduct regt:!stions published existing institutional systems or by applicable Federal standards, c.g., at 45 CFR 689, and (2) any significant problems relating to the ad- OMB Circular A-110. ministrative or financial aspects of the grant. b. Administrative Requirements. The requiremenis of this award 2. “rior Approval Requirements are contained in these Grant General Conditions uuless otherwise specified in the grant instrument. Certain applicable Federal administra- Unless otherwise specified in the grant, provisions of the applicable tive standards are incorporated by reference. The applicable require- Federal cost principles and other Federal administrative requirements ments are contained in: for pnor agency approval apply only to the activities and expenditures (1) OMB Circular A-110, for grantees that are institutions of specified below. higher education, hospitals, and non-profit organizations; a. Written pnor approval from the NSF Grants Officer: (2) 45 CFR 602 (the Common Rule implementing OMB Circular (1) Significant Project Changes (see Article 8); A-102), for units of State and local government; and a) Transfer of the project effort (3) Attachments F (excluding subparagraphs 2.d and 2.h), N, and (b) Change in objectives or scope O to OMB Circular A-110 for commercial organizations, including (c) Absence or change of PI small businesses. (2) Establishing relatedness of projects under the direction of c. By acceptance of this grant, the grantee agrees to comply with the collaborating Principal Investigators (see Article 5), or applicable Federal requirements for grants and cooperative agreements (3) Kearrangements/Alicrations $10,000 or over (see Article 10). and to the prudent management of all expenditures and actions affecting | GC-1 (1/93) b. Written prior approval from the cognizant NSF Program Officer 6. Consultant Services is necessary to reallocate funds budgeted for participant or trainee Payments to individuals for consultant services under this grant shall support costs (see Grant Policy Manual Section 518). not exceed the daily equivalent of the then current maximum rate paid to a GS-18 Federal employee (exclusive of indirect cost, travel, per 3. Pre-Award Costs diem, clerical services, vacation, fringe benefits, and supplies). As of a. Grantees may approve pre-award costs incurred within the ninety- January 10, 1993, this rate is $443 per day. day period immediately preceding the effective date of the grant. Re- quests for preaward costs for periods exceeding 90 days must be 7. Equipmeat submitted in writing to the cognizant Grants Officer. Preaward expen- a. Unless otherwise specified in the grant, title to equipment pur- ditures prior to funding of an increment within a continuing grant are chased or fabricated with NSF grant funds by all grantees except small not subject to this limitation or approval requirement, but are subject to businesses and commercial organizations (as defined in Grant Policy paragraph c, below. Manual Section 330] shall vest in the grantee institution, with the b. Preaward costs must be necessary for the effective and economical understanding that such equipment (or a suitable replacement obtained conduct of the project and the costs musi be otherwise allowable in as a trade-in) will remain in use for the specific project for which it was accordance with Article 11. obtained. c. Pre-award expenditures are made at the grantee’s risk. Grantee b. Unless otherwise specified in the grant, title to equipment pur- authority to approve pre-award costs does not impose an obligation on chased or fabricated with NSF grant funds by a small business or other the Foundation (1) in the absence of appropriations; (2) if an award is commercial firm will vest in the Government. Such equipment will be not subsequently made; or (3) if an award is made for a lesser amount managed in accordance with Grant Policy Manual Section 333. than the grantee expected. c. The grantee will assure that each purchase of equipment is: (1) necessary for the research supported by the grant: 4. No-Cost Extensions (2) not reasonably available and accessible; a. Grantees may extend the expiration date of the grant if additional (3) of the type normally charged as a direct cost to sponsored time beyond the established expiration date is required to assure ade- agreements; and quate completion of the original scope of work within the funds already (4) purchased in accordance with institutional practice. made available. A single extension, which shall not exceed six (6) d. Expenditures for general purpose equipment [see Grant Policy months, may be made for this purpose and must be made prior to the Manual Section 512.2(c)] are unallowable unless the equipment is originally established expiration date. The grantee shall notify the NSF primarily or exclusively used in the actual conduct of scientific research. Grants Officer in writing within ten (10) days of approval of the e. By acquiring equipment having a unit acquisition cost of $10,000 extension to ensure accuracy of the Foundation’s award data. or more, the grantee assures the Foundation that the equipment will be b. Requests for no-cost extensions beyond the above referenced subject to reasonable inventory controls and maintenance procedures authority must follow the procedures set forth in Grant Policy Manual and, to the extent possible, will be shared for work on other projects Section 244.3. 8. Significant Project Changes 5. Expenditures for Related Projects The grantee is required to obtain prior written approval from the NSF a. During the grant period, grant funds may be committed or ex- Grants Officer whenever there are significant changes in the project or pended for otherwise allowable costs of related projects under the its direction. direction of one Principal Investigator, and charged to this or another a. Transfer of the Project Effort. If it becomes necessary to transfer. NSF grant, provided the grants are scientifically or technically related. by contract or other means, a significant part of the research or substan- b. Relatedness must be established and documented by the grantee tive effort after an award has been made, the grantee must inform the on the basis of scientific or technical commonality of the work being NSF Program Officer in writing, including description of the scien- supported. All determinations of relatedness must be initiated by or tific/technical impact on the project, and a budget estimate. Approval of agreed to by all affected principal investigators. Examples of scientific such arrangements that are disclosed in the proposal is not needed, or technical commonality include: unless specifically withheld in the award letter. (1) the theoretical approaches of projects are interrelated: b. Change in Objectives or Scope. A proposed change in the (2) studies of the same phenomena are conducted by the same or phenomenon or phenomena under study or the objectives of the project different techniques; or stated in the proposal or agreed modifications thereto should be com- (3) specific instrumentation, which is central to the work being municated in writing to the NSF Program Officer by the Principal performed, is used. Investigator and countersigned by the Authorized Organizauonal Rep- c. The scientific or technical relatedness of grants under the direction resentative. NSF approval of such changes will be by an amendment to of two or more collaborating Principal Investigators must be approved the grant signed by the NSF Grants Officer. in writing by the NSF Grants Officer with the concurrence of the c. Absence or Change of Principal Investigator. If a named Prn- appropriate NSF Program Officer(s). cipal Investigator or Project Director plans to or becomes aware that he d. Nothing in this article is intended to require additional determina- or she will (1) devote substantially less effort to the work than an- tions, documentation, or approvals in cases in which common costs are ticipated in the approved proposal, (2) sever his or her connection with allocated among two or more grants on the basis of use or benefit in the grantee organization, or (3) be absent for a continuous penod of three accordance with the applicable Federal cost principles. months or more, or othe; wise relinquish active direction of the project. e. Notwithstanding the above, no significant change in the objectives he or she shall advise both the NSF Program Officer and grantce’s or scope of an individual NSF grant may be made unless the Foundation Authonzed Organizational Representative. Action appropnate to the approves such a change in writing in accordance with Article 8. situation will be initiated in accordance with the guidelines descnbed in Grant Policy Manual Section 622. 11-20 P 9. Travel (b) travel by a U.S.-flag air carrier would extend the ume in a travel status by at least 6 hours more than travel by a foreign-flag air a. Expenses for transportation, lodging, subsistence, and related items Carrier, or incurred by project personnel and by outside consultants employed on (c) the travel is not part of the trip to or from the United States, the project (Grant Policy Manual Section 516.1) who are in travel status and use of a U.S.-flag air carrier would extend the time in a travel status on business related to an NS"-supported project are allowable as by at least 6 hours more than travel by a foreign-flag air carrier. prescribed in the governing costs principles. The requirements for prior (3) Short Distance Travel. For all short distance travel, regardless approval detailed in the governing cost principles are waived. of origin and destination, use of a foreign-flag air carrier is permissible b. Support for the foreign travel of an investigator’s dependents is if the elapsed travel time on a scheduled flight from ongin to destination allow able only under the following conditions: airport by a foreign-flag air carrier is 3 hours or less and service by a (1) the investigator is a key person whose full-time presence is U.S.-flag air <4. “er would double the travel me. essential to the research; and (2) the investigator’s residence away from home and in a foreign 10. Rearrangementansd Alterations country for a continuous period of six montorh msore is essentiaflo r the effective performance of the project. a. Rearrangement and alteration costs that do not constitute construc- c. Use of U.S.-Flag Air Carriers ‘ion (i.¢., rearrangements and alterations aggregating less than $10,000) (1) The Comptroller General of the United States, by Decision to adapt space or utilities within a completed structure to accomplish B-138942 of June 17, 1975, as amended March 31, 1981, provided the objectives of the grant are allowable, provided: guidelines for implementation of Section 5 of the International Air (1) the building has a usable life consistent with project purposes Transportation Fair Competitive Practices Act of 1974 (49 U.S.C. and is architecturally suitable for conversion; 1517). (2) the rearrangements and alterations are essential to the project; (2) Any air transportation to, from, between, or within a country and other than the United States of persons or property, the expense of which (3) the space involved will be occupied by the project. will be assisted by NSF funding, must be performed by a U.S.-flag air b. In situations in which the space is rented because laboratory carrier if service provided by such a carrier is available. faciloir otthiere wsor k areasof a typeo fc overage not normally available (3) For the purposes of this requirement, U.S.-flag air carrier to the grantee are required, the grantee must secure a lease for the length service is considered available even though: oft he project using the space in order for the cost of rearrangementasn d (a) comparable or a different kind of service can be provided at alterations to be allowable. Rental charges may be made in conformance less cost by a foreign-flag air carrier; with the grantee’s policies and in the same manner that similar charges (b) foreign-flag air carrier service is preferred by, or is more are made to any account, provided that such rental costs are reasonable convenient for, the Foundation or traveler, or and otherwise conform to the governing cost principles. (c) service by a foreign-flag air carrier can be paid for in excess foreign currency. 11. Allowable Costs (4) The following rules apply unless their application would result a. The allowability of costs and cost allocation methods for work in the first or last leg of travel from or to the United States being performed under this grant, up to the amount specified in the grant, shall performed by a foreign-flag air carrier: be determined in accordance with the applicable Federal cost pnnciples (a) A U.S.-flag air carrier shall be used to destination or, in the in effect on the effective date of the grant and the icrms of the grant. absofe direnct ocr tehrou gh service, to the farthest interchange pointo n b. The Federal cost principles applicable to specific types of grantees a usually traveled route. are contained in: (b) If a U.S.-flag air carrier does not serve an origin or inter- (1) OMB Circular A-21 for both public and private institutions of change point, a foreign-flag air carrier shall be used only to the rearest higher education; interchange point on a usually traveled route to connect with a U.S. flag (2) OMB Circular A-122 for other nonprofit organizations, except air Carrier. those organizations specifically exempted by the Circular; or DHHS (c) If a U.S.-flag air carrier involuntarily reroutes the traveler publication, Guide for Hospitals, OASC-3; as appropriate; via a foreign-flag air carrier, the foreign-flag air carrier may be used (3) Federal Acquisition Regulation 31.2 (48 CFR 31.2) for com- notwithstanding the availability of alternative U.S.-flag air carrier ser- mercial firms and those nonprofit organizations specifically exempted vice. from the provisions of OMB Circular A-122; and d. Use of Foreign-Flag Air Carriers. (4) OMB Circular A-87 for State and Local Governments. (1) Travel To and From the United States. Use of a foreign-flag c. Certain prior approval requirements contained in these Federal cost air Carrier is permissible if: principles have been modified by Article 2. (a) the airport abroad is the traveler's origin or destination airport, and use of U.S.-flag air carrier service would extend the time in 12. Psyments a travel status by at least 24 hours more than travel by a foreign-flag air Carrier; or a. Unless otherwise specified in the grant, the grantee shall receive (b) the airport abroad is an interchange point, and use of payments under this grant through cash advance by U.S. Treasury check U.S.-flag air carrier service would require the traveler to wait 6 hours drawn in amounts necessary to meet current needs, pursuant to the or more to make connections at that point, or would extend the time in procedures contained in Treasury Department Circular No. 1075, a travel status by at least 6 hours more than travel by a foreign-flag air revised. If the grantee does not qualify for advance payments by Line carrier. of Credit, advances shall be requested by submission of a Request for (2) Travel Between Points Outside the United States. Use of a Advance or Reimbursement, SF 270 [see Chapter IV of the Grant Policy foreign-flag air carrier is permissible if: Manual). For new grantees, a copy of SF 270 should have been provided (a) travel by a foreign-flag air carrier would eliminate two or by the Foundation along with a copy of the Grant Policy Manual. The more aircraft changes en route; grantee will arrange with the NSF Division of Financial Management for payment on a regular cycle or as required. The grantee agrees 10 L I-21 comply with all applicable Treasury regulations and National Science a. send one copy of the Final Project Report [NSF Form 98A (5/90)] Foundation implementing and reporting procedures, which are outlined to the cognizant NSF Program Officer, along with any technical infor- in Chapeer IV and Chapter VI of the Grant Policy Manual. mation items listed in Part II] of the Form 98A, as appropriate; b. In accordance with a revision to Attachment I to OMB Circular b. furnish the NSF Division of Financial Management with final A-110, affected grantees are required to maintain advances of Federal disbursement information on the Federal Cash Transactions Report, SF f.:nds in interest-bearing accounts and submit the interest earned to the 272; and Federal agency that provided the funds. Interest earned on advance Cc. provide any unique reports or other end products in accord with payments to other than State agencies shall be reported to the Founda- the grant, including report requirements set forth in any NSF brochure, tion on the Federal Cash Transactions Report, SF 272 (if pa, ments are guide, solicitation, etc., referenced in the grant as being directly related made in accordance -with Paragraph a above) and remitted by check to either the award or administrofa tthiis ogrnant . made payable to the National Science Foundation. 16. Information Collection 13. Continu‘ng Grants Information collection activities performed under this grant are the Unless otherwise specified, cach successive increment of a continu- responsibility of the grantee, and NSF support of the project does not ing grant will be funded at the level indicated in the orginal grant letter constitute NSF approval of the survey design, questionnaire content, or without a formal request from the grantee, provided the required annual information collection procedures. The grantec shall nut represent to progress report from the PI(s) has been received and contingent on (1) respondents that such information is being collected for or in association availabiolf ifutndys ; (2) satisfactory scientific/Aechnical progress; and with the National Science Foundation or any other Government agency (3) any special conditofi tohe ngrsant . without the specific written approval of such information collection plan or device by the Foundation. However, this requirement is not intended 14. Progress Reports to preclude mention of NSF support of the project in response to an inquiry or acknowledgment of such support in any publication of this a. For standard grants of two or more years and for incrementally information. funded grants, an annual progress report is required. b. Content of Progress Keports. Unless otherwise specified in the 17. Copyrightable Material grant, progress reports shall include: (1) a summary of overall progress, including results obtained to a. Subject writing means any material that: date, and a comparison of actual accomplishments with proposed goals (1) is orm ay be copyrightable under Title 17 of the United States for the period; Code; and (2) an indication of any current problems or favorable or unusual (2) is produced by the grantee or its employees in the performance of work under this grant. (3) a summary of work to be performed during the succeeding Subject writings include such items as reports, books, journal arucies, budget period; and software, databases, sound recordings, video tapes, and video discs. (4) other information pertinent to the type of project being sup- b. Copyright Ownership, Government License. Except as other- ported or as specified in the terms and conditions of the grant. wise specified in the grant or by this paragraph, the grantee may own or (5) For all grants involving human subjects (see Grant Policy permit others to own copyright in all subject writings. The grantee agrees Manual Section 711) or vertebrate animals (see Grant Policy Manual that if it or anyone else does own copyright in a subject writing, the Section 713), an updated annual certification is required by the Foun- Federal government will have a nonexclusive, nontransferable, ir- dation if protocols have been changed substantively from those original- revocable, royalty-free license to exercise or have exercised for or on ly propaond sapperodved . behalfof the United States throughout the world all the exclusive nghts (6) For continuing grants, the following information should be provided by copyright. Such license, however, will not include the nght inclonluy idf eappdlic,abl e: to sell copies or phonorecords of the copyrighted works to the public. (a) a proposal budget for the ensuing year (see Grant Policy c. Grants Affected by International Agreements. If the award Manual Section 253 for circumstances); indicates it is subjetcot a n identified international agreement or treaty, (b) a statement of funds estimated to remain unobligated at the the Foundation can direct the grantee to convey to any foreign par- end of the current support year if the amount exceeds 20% of the current ticipant or otherwise dispose of such rights to subject writings as are incrementa;nd required to comply with that agreement or treaty. (c) current inforabmouta ottheri suopponrt of senior personnel, d. Grantee Action to Protect Government Interests. The granice if changed from the previous submission. agrees to acquire, through written agreement or an employment relation- b. Timing of Progress Reports. Uniess otherwise specified in the ship, the ability to comply with the requirements of the preceding grant, one signed copy of progress reports shall be submitted to the paragraphs and, in particular, to acquire the ability to convey mghts in cognizant NSF Program Officer accotro tdhei fonllogwin g schedule: a subject writing to a foreign participant if directed by the Foundation (1) For continuing grants, the required progress report shall be under the previous paragraph. The grantee further agrees that any submitted to the cognizant NSF Program Officer at least 3 months prior transfer of copyright or any other rights to a subject writing, by it or to the end of the current budget period. anyone whom it has allowed to own such nghts, will be made subject (2) For standard grants with an award duration of 2 years or more, to the requirements of this article. the first report shall be submitted no later than 90 days after the anniversary of the effecdtatie vofe t he grant, with succeeding reports 18. Project Income annually thereafter, except after the final year. a. Definition. Project income refers to that portion of gross revenues, including royalties, received by or accruing to the grantee through 15. Final Report Requirements activities undertaken under this grant, whether reccived during or after Unless otherwise specified in the grant, within 90 days following the the grant period. It includes, but is not limited to, proceeds from the sale. expiration of the grant the grantee must: licensing, lease, rental, or other arrangement for the use, release, dis- II-22 7 semination, or other disposal of copyrightable or noncopyrightable determtihen vialnuatgio n for volunteer services 2nd donated property materiaalnd sinve,ntiponsr doevelpopeed ror tprodiuceed sunde,r t he must be documented. grant. Incalsoo inmcludees a ny interest earned on all such revenues and c. If the grant does not contain or reference any specific cost sharing proceeds. requianrd perovmidees nfuntds ssole ly for the following purposes (not b. Standard Treatment. Uniess otherwise specified in the grant, considered to be in support of “research”), statutory cost sharing is not project income received or accruing to the grantee during the period of required [see Grant Policy Manual Section 643.1): this grant shall be retained and added to the funds committed to the (1) international travel; project by the Foundation and used to further project objectives. The (2) construction, improvement or operation of facilities; grantee shall have no obligation to the Foundation with respect to (1) (3) acquisition of research equipment; copyright or patent royalties; or (2) project income received after the perofi thios gdran t. c. Records Retention. The grantee is required to retain appropriate. (6) publication, distribution and translation of scientific data and financial and other records relating to project income earned during the information; grant period and for three years beyond the end of the grant period. (7) symposia, conferences and workshops; and (8) special studies authorized or required by Subsections 3a(5) 19. Publications through 3a(7) of the NSF Act, as amended. a. Acknowledger.ent of SupportT.he grantee is responsible for 22. Audit and Records assuring that an acknowolf NeSF dsupgporte wimll eappenar tin a ny publication of any material based on or developed under this project, in a. Financial records, supporting documents, statistical records, and the following terms: other records pertinent to this grant shall be retained by the grantee for “This material is based upon work supported by the National Science a period of 3 years from submission of the Final Project Reports Foundation under Grant No. (NSF grant number).” speciifni Aretidcl e 15. b. Disclaimer. The grantee is responsible for assuring that every (1) Records that relate to audits, appeals, litigaort tiheo snett,le - publication of material based on or developed under this grant, except ment of claims arising out of the performance of the project shall be scientific articles or papers appearing in scientific, technical or profes- retained until such audits, appeals, litigation, or claims have been sional journals, contains the following disclaimer. disposed of. “Any opinions, findings, and conclor urecsommiendoatinonss e x- (2) Records relating to projects subject to special project income pressed in this material are those of the author(s) and do not necessarily provisions shall be retained until 3 years from the end of the grantee’s reflect the views of the National Science Foundation.” fiscal year in which the grant requirement for reporting income expires. c. Copifoer sNSF . The grantee is responsible for assuring that two b. Unless court action or audit proceedings have been initiated, the copies of every publication of material based on or developed under this grantee may substitute microfilm copies of onginal records. grant, clearly labeled with the grant number and other appropriate c. The Director of the National Science Foundation and the Comp- identifying information, are sent to the cognizant NSF Program Officer troller General of the United States, or any of their duly authonzed promaftper tpubllicaytio n. representatives, shall have access to any pertinent books, documents, G. Metric System. Al! reports and publications resulting from this papers, and records of the grantee organization and of the performing NSF grant shall use the metric system of weights and measures, unless organization, if different, to make audits, examinations, excerpts and its use is impracticoarl i s liketol cayus e significant inefficiencies or transcripts. Further, any negotiated contract in excess of $10,000 made loss of markets to the grantee, such as when foreign competitors are by the grantee shall include a provision to the effect that the grantee, the producing competing products in non-metric units. Director of the National Science Foundation, the Comptroller General of the United States, or any of their duly authorized representatives shall 20. Patent Rights have access to pertinent records for similar purposes. d. In order to avoid duplicate recordkeeping, the Foundaton may Unless otherwise provided in the grant letter, if this grant is for make special arrangements with the grantee to retain any records that experimental, develoopr rmeseaerchn wtorka, tlhe c,lau se found in the are needed for joint use. The Foundation may request transfer to its NSF Grant Policy Manual (implementing the Bayh-Dole Act, 35 U.S.C. custody of records not needed by the grantee when it determines that 200 et seq.) applies [see Grant Policy Manual Section 751.3.] The the records possess long-term retention value. When the records are grantee will include that clause in all subawards for experimental, transferred to or maintained by the Foundation, the 3-year retention develeomental, or research activities. requirement is not applicable to the grantee. In the rare event that this 21. Cost Sharing and Cost Sharing Records provision is exercised, the Foundation will negotiate a mutually agree- able arrangement with the grantee regarding reimbursement of costs. a. The grantee must cost share under this grant in accordance wiih e. Grantees that are institutions of higher education or nonprofit any specific requirements contained in or referenced by the grant. If the organizations shall arrange for the conduct of audits as required by OMB grant has no specific requirements and if the work supported by this Circular A-133. “Audits of Institutions of Higher Education and Other grant is for research resulting from an unsolicited proposal, the grantee Nonprofit Organizations,” except those instituuons audited as part of may meet the statutory cost sharing requirement by choosing either of single audits in accordance with OMB Circular A-128, “Audits of State two alternative methods: (1) by cost sharing a minimum of | percent on and Local Governments.” The grantee shall provide copies of the reports this project; or (2) by cost sharing a minimum of | percent on the of these audits to the Federal Audit Agency assigned cognizance under aggretgotaalt coest s of all NSF-suppprojoectrs treqeuidrin g cost shar- OMB Circular A-88. Any Federal Audit of this project deemed neces- ing. [See Grant Policy Manual Section 640 for further guidance. } sary by NSF shall build upon the results of such audit(s). b. The grantee must maintain records of all project costs that are claimed by the grantee as cost sharing as well as records of costs to be paid by the Government. Such records are subject to audit. If the grantee's cost participation includes in-kind contributions, the basis for Il-23 |