It is the responsibility of the Office of Grant and Contract Accounting to review the Sponsoring Agency's agreement and set up an appropriate invoicing schedule. GCA will submit all invoices, including final invoices and necessary supporting financial reports to the Sponsoring Agency. GCA is responsible for applying payments received to the appropriate invoice and award.
The Office of Grant and Contract Accounting generates invoices based on the payment method and invoicing requirements provided by the sponsor in the award documents. Invoices are generated in NDSU's financial system and approved by the awards assigned Grants Officer. If a secondary approval is required by the sponsor, that approval is provided by the applicable Grants Officer's supervisor. Invoicing generally falls into one of the following methods:
- The university seeks reimbursement for actual expenditures as posted in the official accounting system but not exceeding the total award amount.
- Requests for reimbursement of costs are most likely accomplished through either drawing-down funds via letter of credit or invoicing.
Scheduled Payment (Fixed Price)
- Invoices are submitted based on a pre-determined schedule and dollar amount based on the award documentation.
- Compensation is usually established based upon a fixed amount per test or deliverable, with the PI and department assuming responsibility for keeping costs within the amount earned based upon actual performance.
- Unspent balances may be retained by the university.
- Must include the statement "The institution is expected to cover any cost overruns, however, if any funds remain (under budget) those dollars are retained by the Institution".
- Similar to fixed price in which invoices are submitted based on a pre-determined schedule and dollar amount based on the award documentation and compensation is usually established based upon a fixed amount per test or deliverable.
- Unspent balances may not be retained by the university.
- Invoicing is based on completion of required deliverables, tasks, or milestones as stipulated in the award.
- The PI or department must notify GCA that the deliverables/task/milestone has been met so the invoice can be prepared for the sponsor.
- The PI or department should notify GCA if deliverables/task/milestone schedule has been delayed and that delay has been approved by the sponsor.
- Depending upon the award documentation, unexpended balances may or may not be retained by the university.
All payments received for sponsored funding agreements are processed by Grant & Contract Accounting. These payments should be mailed directly to GCA. If a payment is mistakenly sent to a department, the department should deliver the payment and any supplemental information received to GCA. Customer Account Services does not deposit checks to grant and contract funds (40000-49999) unless being done so in coordination with GCA.