Chapter 1: Sponsored Programs: Who, What, How and Why?

What is a "Sponsored Program"?

Sponsored programs include research, instruction and training, public service, evaluative testing, and other scholarly and creative activities conducted under the direction of University faculty and staff and funded by organizations external to the University in accordance with award instruments containing one or more of the following provisions:

• Funds to be used only for activities approved in advance by the sponsor;
  
• Expenditures to be made according to a budget (which may be as simple as an allocation between direct costs and F&A (facilities and administration – previously known as indirect costs) approved in advance by the sponsor;
  
• Requirement for audits by or on behalf of the funding source;
  
• An obligation to satisfy specific funding source requirements (e.g., terms and conditions setting forth a detailed scope of work to be accomplished rather than a general area of research or program endeavor);
  
• Testing or evaluation of proprietary products;
  
• Specification of a time period during which activities are to be conducted and completed;
  
• Requirement for technical or financial reports, or for some other outcome or product of the activity, to be delivered to the sponsor during or at the completion of the activity;
  
• Terms for the disposition of rights in tangible or intangible property (data rights, copyrights, inventions) developed or obtained during the activity;
  
• Requirement for unexpended funds to be returned to the sponsor at the completion of the activity.

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Types of Sponsored Program Awards

There are three basic funding mechanisms used to support sponsored programs. Each particular type of funding mechanism carries with it different characteristics and objectives. Following is an overview of each:

Grant

A grant is used to support a particular project conceived and proposed by the principal investigator, with minimal involvement and control by the sponsor. . Grants generally contain fewer administrative requirements than other funding instruments such as contracts.

Cooperative Agreement

A cooperative agreement is a type of federal award that provides assistance to a particular project with substantial federal involvement throughout the life of the project.

Contract

A sponsor issues a contract to procure goods or services for their direct benefit . Goods or services to be procured are specifically defined in the request for proposals inviting bids or quotes. Many contracts provide for substantial sponsor involvement in the performance of the contracted activity. Contracts tend to be governed by fairly restrictive administrative requirements.

The following chart provides a quick overview of the major characteristics of these three types of awards:

Characteristics of Basic Types of Sponsored Program Award Instruments

Characteristic	Grant	Cooperative Agreement	Contract
Basic Purpose	Provide Assistance with few restrictions	Provide assistance with substantial involvement between parties	Procure tangible goods or services
Solicitation Method	Application kit or guidelines	Request for proposals	Request for bid or quote
Award Instrument	Short, may refer to general conditions	Describes involvement, party relationships	Long, detailed specs, clauses, regulations and expected results
Involvement by Sponsor	Generally, none	Substantial involvement	May be extensive
Rebudgeting	Flexible	Usually allowed	Occasionally allowed within restrictions
Equipment Title	Grantee	Varies	Contractor
Patent Rights	Generally liberal	May be involved	Provision in contract
Publication	Unrestricted	May ask to be informed	May require prior review/deletion of proprietary information
Technical	Annual summary report	Frequent reports	Detailed, often monthly

Gifts

Gifts are not used to fund sponsored programs which support a defined project. Gifts represent an unrestricted source of support for general University programs or activities with few restrictions . . Generally, funds from private, non-government sources are administered as gifts when the funding source neither expects nor requires consideration in return for transfer of funds to the University.

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The Principal Investigator

The term “Principal Investigator” indicates the sole individual responsible for managing the sponsored program. PI management responsibilities include:

1. Complying with the sponsor regulations which govern performance of the program and special terms and conditions of the award;
2. Complying with applicable University policies and procedures during the conduct of the sponsored research, including the UB policy on Responsible Conduct in Intellectual and Creative Activity
3. Complying with fiscal agent (The Research Foundation of SUNY or UB Foundation Services, Inc.) policies and regulations
4. Overseeing the staffing and performance of the sponsored program;
5. Approving expenditures as budgeted for personnel, goods, or services which directly benefit the sponsored program;
6. Ensuring timely submission of invention reports to Technology Transfer and Licensing.
7. Reporting inventions to The Intellectual Property Division of the Office of Science, Technology Transfer, and Economic Outreach prior to any public disclosure.

To be designated a Principal Investigator, one must

All faculty members holding "unqualified academic titles" (i.e., instructor, assistant professor, associate professor, professor, assistant librarian, associate librarian, librarian), or academic titles qualified by research or clinical (i.e., clinical professor), may act as Principal Investigators. In addition, faculty members holding academic titles qualified by "visiting" may act as Principal Investigator with the approval of the cognizant dean. Members of the University's professional staff may act as Principal Investigator only with the approval of the Provost or the cognizant Vice President, as appropriate. Faculty members holding titles qualified by "adjunct," however, may not act as Principal Investigators.

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Financial Disclosure Statements

In order to comply with the UB Investigator Disclosure Policy, all persons responsible for the design, conduct, or reporting of a sponsored program conducted under the aegis of the State University of New York at Buffalo are required to submit an Annual Disclosure of Significant Financial Interests and Significant Obligations to their cognizant dean prior to:

1. submission of an application to an external sponsor;
   
2. submission of proposals to University programs which have a formal application process;
   
3. acceptance of any award

This requirement applies to all Principal Investigators, Co-Principal Investigators and anyone else who has the program responsibility defined above.

Submission of the Disclosure Statement satisfies filing requirements of the New York State Public Officers Law §73-a pursuant to State Ethics Commission Advisory Opinion No. 92-15; and U.S. Government rules 42 CFR Part 50 and NSF Grant Policy Manual (GPM) Section 510 and NIH Grants Policy Statement Part II.

It is the Investigator's responsibility to amend the Disclosure Statement as necessary to keep it current and complete.

Prior to formal acceptance of an award by any of the University's fiscal agents, the Dean(s) will review the proposal in the light of the disclosure and determine whether performance of the project as proposed would create a conflict of interest for any of the Investigators under his or her cognizance. If a conflict would result the Dean will determine what actions must be taken to manage, reduce, or eliminate any such conflict.

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Fiscal Agents of University at Buffalo

The State University of New York (SUNY) does not directly accept funds in support of sponsored programs. Instead, SUNY has entered into a formal contracts with several fiscal agents which act on behalf of SUNY and one or more of its campuses.

Sponsored programs are administered in accordance with both SUNY and campus policies and procedures which govern the conduct of research and other scholarly and creative activities. A brief description of the fiscal agents which act on behalf of the University and the programs which they administer follows.

Fiscal Agents:

The Research Foundation of State University of New York

The Research Foundation of State University of New York, or RF as it is commonly known, was the first and is the largest of the University's fiscal agents. A private, nonprofit, educational corporation, RF was established in 1951 under a charter issued by the Board of Regents of the State of New York to accept and administer funds of all types from external sources for the benefit of SUNY. In 1977, the informal relationship which had existed between SUNY and RF was formalized in a contract between the two organizations. Since that time, administration of grant and contract funds in support of research, educational, and public service activities became RF's principal mission. Acceptance and administration of gifts and donations became the responsibility of campus-based foundations, including the University at Buffalo Foundation. Sponsored programs funded by agencies of New York State, the United States, and foreign governments are administered exclusively by RF.

UB Foundation Services, Inc.

The University at Buffalo Foundation (UBF) was established in 1962 when the formerly private University of Buffalo joined the SUNY system. Its primary mission is to provide a broad base of private support for all of the University's program areas. In 1986, UBF entered into agreements with SUNY and RF which authorized UBF to accept and administer funds in support of programs, conducted at the University, sponsored by external organizations other than agencies of the United States, New York State, or foreign governments. Unless there is a compelling reason to do otherwise, all sponsored programs funded by non-governmental foreign organizations, local governments, and the private sector will be accepted and administered by UBF through its subsidiary organization, UB Foundation Services, Inc. (UBFS).

Calspan-UB Research Center

The Calspan-UB Research Center (CUBRC), is a joint venture of General Dynamics Inc. and the University, acting through RF. CUBRC is a catalyst for, and administers funds for, basic research collaborations involving the staff and facilities of the two organizations.

Affiliated Hospitals

A number of area hospitals have entered into affiliation agreements with the University at Buffalo under which various clinical departments of the School of Medicine and Biomedical Sciences are provided with space and facilities to conduct teaching and research. Grants and contracts supporting research and other projects conducted by individuals in clinical departments who hold University appointments, with the exception of those based at Roswell Park Cancer Institute (RPCI), must be administered by either the Research Foundation SUNY or UB Foundation Services, Inc. Grants and contracts supporting projects conducted at RPCI are administered by RPCI’s fiscal agent, Health Research Inc. Affiliated hospitals include Buffalo General Hospital, Millard Fillmore Hospital, Women and Children’s Hospital of Buffalo, and Erie County Medical Center.

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