Effective October 1, 2018, the Office of Sponsored Research will load subrecipient agreement (subagreement) budgets at the time of initial award setup and no longer restrict them in account code 586795. Subagreement budgets will be loaded directly into account codes 569461 (Subcontract C&G Only, calculates indirect costs) or 569486 (Subcontracts greater than $25,000, exempt from indirect costs).
Remaining in effect with this process change, fully executed subagreements must be in place before the approval of subrecipient voucher payments. Department’s will continue to receive copies of these fully executed subagreements.
Reminders on Account Code Application:
- Use account 569461 while cumulative subagreement expenses on a project are less than or equal to $25,000.
- Once cumulative subagreement expenses on a project exceed $25,000, use account 569486 for remaining subrecipient payments.
- If the sponsor has approved F&A (indirect costs) on the entire subagreement, use account 569461 for all subrecipient payments.
- If the sponsor has disallowed F&A or there is a F&A waiver in effect on a subagreement, use account 569486 for all subrecipient payments.
Questions regarding this announcement may be directed to ResAdminOSR@unc.edu or your department’s Sponsored Projects Specialist (SPS) found here.