research administration practices (rap) sessions

Research Administration Practices (RAP) Sessions

Understanding the Information in SAP (Summary Statement) and KCMay 23, 2018

Clarel AuGuste Jr, Accounting Officer, VPF

Timothy Vacha, Sr. Accounting Officer, VPF

Kimberly Mann, Manager Research Administration Support, VPR

In Collaboration with:

Kerin Willis, Financial Administrator, EAPS

John Donnelly, Associate Controller, VPF

Long Tran, Assistant Controller, VPF

Emily Diamond, Manager of Sponsored Accounting, VPF

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AgendaIntroductions/OverviewKC system and how it feeds to SAPSAP Statements/ExamplesRates/Costing SheetInvoices/PaymentsBudget Column

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KC System and how it feeds to SAP

• Sponsored Programs are created in MIT’s Kuali Coeus (KC) system• OSP establishes the record in KC and sends the Notice of Award (NOA) to

Departmental Administrator (AO, FO, etc.)• Certain items may trigger a “HOLD”, which requires further action before the

Award may become “Active” and feed to SAP. HOLD actions include:• COI Disclosures not complete, or not yet reviewed by COI Officer• COI Training not complete, or Training has expired

• When all HOLDs are cleared, Award is “Active” in KC, and feeds to SAP (late afternoon).

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KC System and how it feeds to SAP

• The daily feed from KC to SAP generates the SAP 001 Report.• There are only two (2) recipients of the SAP 001 Report: “Addressee”

and “Supervisor”• The Supervisor is the PI on the KC Award• The Address comes from the KC Unit Administrator table (Profit Center in

SAP)• Where does the Addressee come from?

• Default: the “Administrative Officer” in KC Unit Admin for the Unit/PC receives the SAP 001 report• UNLESS there is “Other Individual to Notify” maintained in KC Unit Admin for

the Unit/PC, then the “Other Individual to Notify” receives the SAP 001 report (Administrative Officer receives nothing)

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KC System and how it feeds to SAP

• Preferences for receiving the SAP 001 Reports are varied• Paper report – mailed to the Supervisor/Addressee• Email report – email is sent to the Supervisor/Addressee• No report – no report is sent to the Supervisor/Addressee

If a Supervisor/Addressee would like to change their SAP 001 report preferences, send request to vpf-cost-objects@mit.edu

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Costing Sheet Overviewv Costing Sheet Description

v Billed, Fixed, Fund Fee, and Adjusting Rate

v Current Rates

v Metrics as of PD06FY18

v Summary Statement

v Examples of Costing Sheet Calculation v Research – Billed Ratev Research – Fixed Ratev Fellowship – Billed Ratev FUNTDCv 40% FUNTDC

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Costing Sheet

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v Costing Sheet determines the way in which Lab Allocation charges, Employee Benefits (EB), Facilities and Administration costs (F&A), also known as Overhead (OH), Research Vacation Accruals (VA), and Fund Fee, also known as the fund transaction fee, will be calculated and applied within a cost object. http://vpf.mit.edu/sap-costing-sheets

v Costing Sheet calculations are based on a series of rates:v Employee Benefits (EB) Ratev Vacation Accruals (VA) Ratev Lab Allocation Ratesv Billed (Institutes) Ratev Fixed Ratev Fund Feev Adjusting Rate

v Costing Sheet rates are determined by the negotiation between Office of Sponsored Programs (OSP) and the US Government. Costing Sheet rates are maintained within SAP by the General Ledger and Operations (GLOPs) team.

v Costing sheet estimated calculations are available mid month and actual costing sheets calculations are posted on the fourth or fifth business day of the upcoming month.

Direct Expense

Indirect Expense

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FederalResearchDollar on theMITCampus

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Billed, Fixed, Fund Fee, and Adjusting Rate

v Billed Rate – Negotiated with and audited by US Government for the given fiscal year. Commonly known as the Institute Fiscal Year rate.

v Fixed Rate – Negotiated billed rate for the indirect (now F&A) costs in effect at the time of the initial award throughout the life of the sponsored agreement.

v Fund Fee Rate – The fund transaction fee is 10% and is generally applied to all non-salary direct costs (with some exceptions - most notably TA tuition) on funds (2-series to 4-series) accounts. Salaries on fund accounts are charged the current F&A rate, with the exception of faculty and student salaries.

v Adjusting Rate – Is the over/under recovery based on the rate stated on the account. The No F&A or Fund Fee adjusting rates requires the approval from the Provost Office.

Current Rates

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Facilities and Administrative (F&A) Rates

Vacation Accrual (VA) Rates

Employee Benefits (EB) Rates

https://osp.mit.edu/rates

Lab Allocation Rates

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Fund Fee Exceptions

https://osp.mit.edu/rates/fund-account-overhead-rates

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Metrics as of PD06FY18

Total count of Cost Objects within each Costing Sheet

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Summary Statement (ZSTM)CEMIT-0: Default Summary Statement View.• General view of expense activities versus revenue

activities.

CEMIT-9: MTDC Base vs Non MTDC Base view.• Summary view separated by MTDC base gls versus

Non MTDC gls.

CEMIT-B09: Expenses without Salaries. • Summary view without any salaries charges.

CEMIT-M: Sponsored Billings. • Summary view to mimic the billing statements that

are sent to DLC.

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Research - Billed Rate

Offset to the General Institute’s Budget (GIB) account. To monitor actual expense to the budget set for the current Fiscal Year by the Cost Analysis team within OSP.

600100 or 600104 are only applicable when Lab Key is assigned to an account.

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Research - Fixed for Life

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Fellowship – Billed Rate

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FUNTDC

All Total Direct Cost (TDC) regardless if labelled Not MTDC are contributed to the Indirect Cost except for Not MTDC GLs that are within the Non-personnel exclusions list.

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Non-Personnel Exclusions List

https://vpf.mit.edu/sap-costing-sheets

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40% FUNTDC

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Determine Billing Type

Billing Type cont’d

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Invoice Collection

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Invoice Collection cont’d

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billing-issues@mit.edu

Invoice Collection cont’d

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Invoice Collection cont’d

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Invoice Collection cont’d

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Find the Customer Number

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Customer Number: Drill down

Customer Number cont’d

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billing-issues@mit.edu

Customer Number Display

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Customer Number Display cont’d

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Budget Column• Budget Column information is derived from the Award Budget Tool, a companion tool

of the KC System.

• The Sponsored Approved Budget information is entered by OSP (https://osp.mit.edu/grant-and-contract-administration/managing-projects/sponsor-approved-budgets-sab• For information how OSP determines the SAB, see OSP guidance here:

https://osp.mit.edu/grant-and-contract-administration/managing-projects/sponsor-approved-budgets-sab/determining-sponsor

• Once entered in the Award Budget Tool by OSP, the information feeds to SAP in the Budget Column• For guidance and information on submitting a SAB Change Request, see OSP guidance

here: https://osp.mit.edu/grant-and-contract-administration/managing-projects/sponsor-approved-budgets-sab/submitting-sab

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Helpful Resources

• Costing Sheet Guidance: http://vpf.mit.edu/sap-costing-sheets• Institute Rate information: https://osp.mit.edu/rates• Fund Account rate information: https://osp.mit.edu/rates/fund-

account-overhead-rates• G/L account exclusion list: https://vpf.mit.edu/sap-costing-

sheets• Sponsored Accounting Billing Procedures:

https://vpf.mit.edu/understand-sponsored-billing-procedures

• Sponsored Approved Budget information: https://osp.mit.edu/grant-and-contract-administration/managing-projects/sponsor-approved-budgets-sab

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Helpful Resources

• Checking invoice payments – existing Cognosreport entitled “Sponsored Billing Aging Report”• Go to Atlas Homepage -

https://atlas.mit.edu/atlas/Main.action?tab=home• Click on “Full Catalog” on left hand side, to bring up more

options• Under “General”, go to “Tools” and click on “Cognos

Reporting Tool”• On the “IBM Cognos Content” page, click on “IBM Cognos

Content”• Under the Public Folders Tab, click on “Central Reports” then

“Financial Reports”• Click on the “Sponsored Billing Aging Report”• From the drop down menu, select first the School, then

select the Unit/Profit Center

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Questions – Help

• OSP Contract Administrator• RA-Help@mit.edu• vpf-cost-objects@mit.edu• billing-issues@mit.edu• ask-sponsored@mit.edu

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