Parent/Sub Budget Policy (TRANSPASU)
The following policy statements are intended to clarify and to develop consistency in establishing and administering parent and sub-budgets.
- To establish, supplement and/or extend a sub-budget, a Transactions/Parent/Sub (TRANSPASU) form must be completed, or the NEA to establish the parent must indicate that a sub budget is to be set up. (Instructions, TRANSPASU form.)
- The sub-budget is subject to the same compliance, reporting and administration as the parent budget, unless a separate policy statement is attached.
- Sub-budgets are subject to Grants Information Memorandum GIM 2 and must be funded so as not to incur a deficit. If a deficit occurs, the Principal Investigator (PI) is responsible for providing funding in accordance with GIM 2, unless the parent has indicated "fiscal responsibility" on the TRANSPASU form.
- The sub-budgets begin date cannot be earlier than the begin date on the parent budget and the sub-budgets end date cannot be later than the end date on the parent budget. At the time a sub-budget expires, the PI will be sent a standard closing letter. Expired accounts are closed approximately 60 days after expiration, unless an extension request is received from the parent budget department.
- Funding can only be transferred from budgets designated as parents (i.e. funds cannot be transferred between sub-budgets).
- The parent/sub-budget relationship is one-to-one. A sub-budget cannot be a sub-budget and a parent budget.
- If a parent budget is renewed, renewal sub-budgets may be established using a TRANSPASU form.
- Facilities & Administrative (F&A) costs earned must be recorded at the sub-budget level and will be credited to the sub-budget organization code for Facilities & Administrative (F&A) Cost Recovery return. Special distribution of the Facilities & Administrative (F&A) Cost Recovery must be arranged through the Budget Office.
- The minimum amount necessary to establish a sub-budget is $1,000.
- It is not possible to provide multiple mailing of BAR/BSR reports or to arrange special inquiry access to OFIS and MIS. Only one mailing address for each budget is allowed. The parent department identified for the sub-budget will have total management responsibility for the sub-budgets.
- The department administering the parent account is responsible for ensuring that: 1) the amounts budgeted in the parent and sub-budgets equal the total award, and 2) budget restrictions are adhered to on a consolidated basis.
- Sub-budgets can be established in an advance status by GC-1 Addendum through Office of Sponsored Programs or by TRANSPASU or memo (special instructions on information required in the memo are available in Setting Up Advance Sub-Budgets).
- Sub-budgets funded by a parent account classified as a gift account cannot receive direct gift deposits. All funding must be transferred from the parent.
- Amounts transferred to sub-budgets cannot exceed the amount shown in each object code on the parent budget.
- The TRANSPASU cannot be used for rebudgeting. Requests for rebudgeting that do not require sponsor prior approval must be requested in a memo or email to Grant & Contract Accounting. Requests for rebudgeting requiring sponsor prior approval should be directed to the sponsor after obtaining concurrence from Office of Sponsored Programs.
- If possible, complete transpas two weeks ahead of requested processing date. It may be helpful to include a spreadsheet summarizing the transactions along with the TRANSPASU when the transfer involves several sub-budgets.
- Faculty members with funds restricted within a grant for a specific purpose (e.g. a supplement given to be used only for salaries and supplies of a specified individual or group of individuals) are encouraged to establish a sub budget. To that sub budget, they are encouraged to transfer the restricted funding and post only related expenditures. This will improve tracking and subsequent reporting to the sponsor.