SubAwards and Contracts

Contacts

Master Contacts

Nancy L. Devino, PhD, CRA

Director, Office of Sponsored Programs
(409) 266-9418
nadevino@utmb.edu

Briana Collins, MSA

Research Contracts Analyst
bricolli@utmb.edu

Elizabeth Raos, JD

Senior Research Contracts Analyst
(409) 266-9508
earaos@utmb.edu

Janene (Peterson) Shelton

Sr. Research Contracts Analyst
(409) 266-9410
japeters@utmb.edu

The OSP Contracts Team drafts and negotiates incoming and outgoing agreements between UTMB and other universities, foundations, non-profit organizations, and state and federal agencies. Agreements must adhere to the laws of the federal government and the State of Texas, applicable agency guidelines, and with UT System and UTMB Policies and Procedures. Contracts legally bind the parties to the terms and conditions, thus must be signed by an individual with UTMB signature authority. However, Principal Investigators are often asked to sign in a “Read and Understood” capacity.

Incoming subawards are issued when the primary institution negotiates with UTMB to conduct a portion of the project. For example, State School University needs UTMB to conduct the work on one of the awards at State School. UTMB will be the subawardee doing the work for State School, the prime awardee. The proposal for the subaward is managed by the Pre-Award team. When the primary institution receives a Notice of Award and sends a subaward agreement to UTMB, a contracts analyst will work with the PI’s department to set up the subaward.

Outgoing subawards are issued when UTMB negotiates with other institutions to provide a portion of the project on one of our awards. For example, UTMB needs an investigator at State School University to do part of the work on one of our awards. State School University will be included in the proposal submitted by UTMB to the funding agency.

Funded Agreement Decision Tree link to document

(Click image for full document)

Subawards & Contracts (INCOMING)

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- Submission
  The following items are required for an incoming subaward proposal:
  Statement of Work (SOW)
  Itemized (categorical) Budget and Budget Justification properly entered in InfoEd submission
  Biosketch using originating sponsor's format/template
  Letter of Intent (LOI)/Proposal Face Sheet
  The pass-through entity (PTE) will instruct you as to the type of form that needs to be signed by OSP. This form serves as our certification that we have reviewed the materials requested and if awarded, we will abide by the prime sponsor’s policies and are prepared to negotiate the necessary agreement with the PTE.
  If the PTE does not have a form for this purpose, UTMB has its own Consortium letter that can be used.
  Cost Sharing Form (if applicable)
  F&A Waiver (if applicable)
  Sponsor Guidelines
  All other forms/documents required by originating sponsor
  *Please see Proposal Preparation for more information about the items listed above and OSP proposal review process
- Subaward Processing
  Incoming subawards are processed in the Proposal Tracking (PT) module in InfoEd, much like new primary awards. The basic steps and InfoEd statuses are outlined below.
  Subaward is received in the contracts inbox. If the contract is received by the PI/Dept, forward it to contracts.in@utmb.edu. The InfoEd record status will be changed to Agreement Received.
  The contracts analyst reviews the agreement thoroughly, looking for any terms and conditions that may require negotiation (see below).
  When the contracts analyst has completed the initial review, the status will be changed to Under Review – PI/Dept.
  Departmental research administrator and PI review the agreement, making any necessary changes to the InfoEd budget, then change the status to PI/Dept Approved. The Revisions Requested – PI/Dept may also be selected if other changes need to be made.
  The contracts analyst works with the primary awardee institution to finalize the agreement. Once both sides have signed and we have received a fully executed agreement (FEA), the agreement moves to Project Set Up (PSU) for next steps. Once PSU completes their work, the record will be moved to Awarded status.
  Subaward Negotiation
  Certain terms and conditions may appear in subaward agreements and contracts that are not issued using Federal Demonstration Partnership templates. These include:
  Indemnification and Liability
  Intellectual Property Rights/Ownership
  Publication Restrictions
  Foreign National Restrictions
  Confidentiality
  Governing Law/Jurisdiction
  Federal Acquisition Regulations (“FAR Clauses”)
  Some areas of negotiation require consulting with other UTMB offices that have specialized expertise such as Office of Technology Transfer, Office of Clinical Research, Office of Legal Affairs, UT System Risk Management, Grants & Contracts Accounting, and/or the PI’s Department regarding specific terms and conditions of the award. Due to this involvement, it can take an average of 30 to 60 days from receipt of agreement to full execution of that agreement.
  Delays
  The negotiation of a contract (or a non-standard agreement) is more time consuming because it includes processing time not only at UTMB, but also at the prime award institution or sponsor organization.. Once UTMB suggests changes, the agreement is returned to the prime awardee or sponsor for comment, leaving us with little influence over how quickly the other party will respond. Agreement processing delays occur when:
  Agreement is received and a corresponding proposal was not routed for internal review/approval prior to submission (agreement processing is on hold until the proposal is approved for submission)
  Compliance Approvals Pending
  Revised/Categorical Budget Needed
  Language Revisions
  Consulting with other UTMB Offices
  Working with Foreign Entities
- Award Management & Amendments
  
  Grants & Contracts Accounting is the central office for the administration of all aspects of award management functions, such as assisting with sponsor regulations, billing and accounts receivable, financial status reports, award closeout and account reconciliation.
  Work with your Grants and Contracts Accounting Analyst to make any amendments to your subaward/subcontract, or if you have any questions.
Subawards & Contracts (OUTGOING)

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- Subaward Initiation
  Subawards are initiated in one of two ways:
  inclusion in the original proposal ,or
  added post-award.
  Inclusion of a Subaward in a Proposal
  A subaward record is created when a subaward organization is added to a proposal budget.
  If the organization does not auto-fill when you begin typing the name, use the Sponsor Entity Request [NLD1] form to have the organization added to the UTMB entity database. Similarly, if the Subaward PI does not auto-fill when you begin typing the name, use the Add New Sponsor Contact form to have the individual added to the sponsor record.
  Addition of a Subaward to a Funded Award
  Adding a subaward to a funded award is treated as a Modification. This is initiated through Grants & Contracts Accounting (GCA) as the award budget will require modifications to support the subaward funds. Contact the GCA analyst assigned to your department to initiate a post-award subaward.
  Regardless of how the subaward is initiated, OSP requires the following documents:
  Statement of Intent to Establish a Consortium – Money FROM UTMB signed by both institutions
  Email contact for the subawardee sponsored programs office
  Categorical budget and budget justification
  Statement of Work
  NOTE: These documents should be obtained and included in the proposal development record prior to submission, for subawards that are part of the original submission. They should be obtained and added to the proposal tracking record when working with GCA on a post-award subaward.
- Subaward Request
  When a Notice of Award is received for a grant that includes a subaward, the department must submit a Subaward Request using the form in the InfoEd subawards module. This initiates the subaward agreement creation process, culminating in UTMB issuing a fully executed agreement (FEA) with purchase order (PO) to the subawardee.
  For step-by-step instructions on requesting and processing an outgoing subaward, see our training guides.
  While subaward agreement preparation is underway, departments should:
  Verify the Principal Investigator (PI) is on the PS ePRO Requester Table
  Verify the Consortium is registered in Payment works with a legal address that matches their SAM.gov registration
  Verify the completion of the Signature Authorization Form for this Project
  If applicable, verify the Consortium has an updated registration in SAM
  Details on these tasks can be found in the Checklist for New SubAwards
  Delays
  Subaward processing is targeted to take 50 or fewer business days. Strong partnerships and good communication between OSP and the department can reduce or eliminate many of these. Certain delays occur when steps outside of OSP’s control take longer than projected:
  Department/PI review and approval – targeted to require 5 business days; reminders are sent every two weeks when department does not respond.
  Subawardee review and approval - targeted to require 10 business days; reminders are sent every two weeks when department does not respond.
  Purchase order processing: targeted to require 7 business days; Research Administration will follow up regarding missing/incomplete/incorrect items:
  Signature Authorization Form not yet completed for each project
  Department is working with the subawardee on the Payment Works account
  Department needs to review and approve the PO Requisition on their PeopleSoft list
  Other delays occur when:
  The subrecipient needs help understanding the PO Checklist items
  A foreign sub presents translation, export control, and/or technical issues
  IP language/questions of ownership must be approved by the Office of Technology Transfer (OTT)
  An MOU is needed for vertebrate animal research for institutions (especially foreign) that do not have assurances in place
  Human Subject use language needs to be reviewed by UTMB Legal Affairs
  Consortium package is missing one or more required documents
  Compliance Approvals are pending
  Revised/Categorical Budget is needed
  OSP is consulting with other UTMB Offices
- Subaward Issuance
  
  Once negations conclude and all parties agree, the agreement is fully executed (“FEA”). The contracts analyst submits a Purchase Order (PO) worksheet to the Research Administration (RA) team along with the fully executed subcontract/amendment. Once the requisition generates the PO, RA sends it to the contracts analyst. The FEA + PO is then sent to the subawardee as well as the UTMB PI and departmental research administrators.
- Management, Amendments & Modifications
  
  Grants and Contracts Accounting (GCA) is the central office for the administration of all aspects of award management functions, such as assisting with sponsor regulations, billing and accounts receivable, financial status reports, award closeout and account reconciliation.
  Subaward amendments provide additional funds associated with a new budget year on a UTMB prime award. These can be requested by the department using the Amendment Request Form.
  Subaward modifications are used for any other changes to a subaward, such as additional mid-year funding, no-cost extensions, and early termination. Modification requests must be submitted by a GCA analyst.
  Work with your GCA analyst to determine the needed modifications and identify the required documentation.

Subawards & Contracts (Federal)

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Sponsor Initiation
- Sponsor identifies services it wants provided and issues a Broad Agency Announcement (BAA) or a Request for Proposal (RFP)
- Opportunities announced through FedBizOpps.gov or Grants.gov
UTMB faculty who want to respond to a BAA or RFP must still work through the Office of Sponsored Programs. Please follow the standard submission process and start with the Intent to Submit Form as soon as you know you will be applying.
Please contact Nancy Devino if you have any questions about submitting a federal contract.

Application

Federal contracts have two distinct components - the technical proposal and the business proposal.

The technical proposal is the scientific element and is similar to a grant application. The business proposal is a detailed financial plan that includes pricing documentation and other elements.

Technical Proposal

Business Proposal

Has established page limits
Cover page, table of contents are inclusive of page limits
Elements include:
- Statement of Work (Objectives, Approach, Methods, Schedule)
- Personnel (PI, Co-Investigators, additional personnel)
- Resumes of key personnel
- Human subjects
- Vertebrate animals
- Select Agents
- Information Security
- Sharing Research Data

NIH Instructions

Does not have page limits
Elements include:
- Cover Page(NIH 2043)
- Cost/pricing detail (and documentation)
- Small Business Subcontracting Plan
- Offeror’s Point of Contact
- Certificate of Cost or Pricing Data
- Disclosure of Lobbying Activities
- Representations & Certifications
- Submission of Electronic Funds Transfer Information
- Statement of Financial Capacity
- Qualifications of the Offeror (general experience, organizational experience, performance history, pertinent contracts, pertinent grants)
- Subcontractor information
- Annual Financial Report
- Travel Policy

Federal contracts must also allocate a portion of the project to be fulfilled by small businesses. The business proposal must also include a Small Business Subcontracting Plan that identifies a portion of the budget that can be sourced to small businesses. UTMB is held to these allocation and must show a good faith effort for not achieving these goals if they cannot be met.

When drafting the budget, remember the following are not allowed:

Expensing of tuition
Travel to general scientific conferences

Negotiation
- Once the proposal is submitted, the sponsor may seek clarification on certain points.
- UTMB will respond in writing with the clarification.
- If there are differences, the sponsor and UTMB will need to reach an agreement before the award is made.
Award
- Contract is received in OSP, who works with the PI and sponsor to finalize the contract.
- An authorized signing official signs the contract and returns to sponsor.
- The contract will outline the period of performance and how funding will be distributed - either by milestones or schedule.
Contract Management
- Prior approval is required for ANY changes to the final contract agreement.
- The sponsor's contract officer must approve:
  - Any change in key personnel
  - Any international travel
  - Any deviation in domestic travel of >10%
  - Purchase of equipment
  - Purchase of anything not originally detailed in budget
  - Adding a subcontract (also requires sending copy of subk to contract officer)
- Rebudgeting is NOT allowed.
- Carry forward of base funding to option periods is NOT allowed.
- Reporting schedule will be outlined in contract. Some contracts require as frequent as monthly financial and technical reports. Grants & Contracts Accounting will complete the financial reports, and the PI is required to complete the technical reports.
- Grants & Contracts Accounting will invoice the sponsor for reimbursements according to contract terms.
- PI must monitor expenses and notify the sponsor when the budget is 75% spent.
- All communication is strictly through the Institutional Authorized Official and the Sponsor Contract Officer.
Roles and Responsibilities

Federal Contracts Roles and Responsibilities

Subawards & Contracts (key terms)

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- Business Proposal
  
  The portion of the proposal that outlines the financial pieces of the agreement. Includes all relevant documentation for pricing and sourcing, as well as Small Business Plan. There are no page limits on the business proposal, and the budget must be final - there is no rebudgeting allowed.
- Contract
  
  The legally binding agreement between a sponsor and institution that outlines exactly what the scope of work will be, how long it will take to complete and the cost. Changes to any piece of the contract, including time extensions, will require prior approval and an amendment to the contract.
- Contract Officer
  
  Primary contact at the sponsor for anything involving the award.
- Incoming Sub
  
  Another institution is the prime awardee and negotiates with UTMB to provide a portion of the project.
  For example, State School University needs UTMB to conduct the work on one of the awards at State School. UTMB will be the subawardee doing the work for State School, the prime awardee.
- Outgoing sub
  
  UTMB is the prime awardee who negotiates with other institutions to provide a portion of the project.
  For example, UTMB needs an investigator at State School University to do part of the work on one of our awards. State School University will be the subawardee and UTMB the prime.
- Request for Proposal
  
  A tool used by sponsors to announce funding opportunities that will result in a contract. They are listed on FedBizOpps.gov and Grants.gov.
- Statement of Work
  
  The part of the technical proposal that outlines specifically what will be done and in what timeframe. It outlines who will conduct the work and any expectations. This can also be called a Description of Services.
- Technical Proposal
  
  The portion of the award proposal that outlines the scientific elements, including the scope of work and exactly who will perform the work in the contract. Follows similar guidelines to federal grants and has strict page limits and other limitations.
Subawards & Contracts-Other Resources