Definitions

Third-party contributions are contributions given to a specific grant or contract by an individual or group from outside both the University of Washington and the sponsoring agency. These contributions do not include Facilities and Administrative (indirect) costs unless the contribution is associated with subcontract work performed for the benefiting budget. There are two types of third-party contributions:

• Cash-matching third-party contributions are funds (cash) from a source other than UW or the sponsoring agency. (Cash-matching third-party contributions are very rare.)
• In-kind third-party contributions include any non-cash contribution to a grant/contract from a source other than UW or the sponsoring agency.

Third party contributions are a source of cost sharing.

Cost Share Process Overview

See Cost Share Process Overview on the main cost share page.

PI/Staff Procedure: Proposing Third-Party Cost Share Contributions

When proposing third-party cost share contributions, the following must be included with the proposal when submitted to Office of Sponsored Programs:

• A letter from the proposed contributor, on the contributor's letterhead, that includes:
  • the date written,
  • the identity of the benefiting project, such as the name of the Principal Investigator and the name of the grant/contract,
  • a statement indicating how the individual benefited the project,
  • a description and dollar value of the proposed contribution. If the third-party is a subcontractor, the subcontractor must specify how much of the contribution will be in direct cost and how much in Facilities and Administrative (F&A) costs.
  • signature and title of an authorized official.

PI/Staff Procedure: Documenting Third-Party Cost Share Contributions

To document third-party cost share contributions, supply:

1. A letter (sample letter) from the contributor, on the contributor's letterhead, that includes:
   • the date written
   • the identity of the benefiting project, such as the name of the grant and/or budget number
   • a description and dollar value of the contribution. If the third-party is a subcontractor, the subcontractor must specify how much of the contribution is direct cost and how much is Facilities and Administrative (F&A) cost.
   • If the third-party contributor donates salary, support documentation must include:
     • the name of the employee contributing effort,
     • the employee's title,
     • rate of pay,
     • total value of their effort including applicable benefits,
     • a statement indicating how the individual benefited the project,
     • time period of the contribution (must be within the budget period), and
     • signature and title of an authorized official.
2. If a third-party contribution is a cash match instead of in-kind, you must also attach:
   • a copy of the check to document your receipt of the funds and
   • highlighted BARs showing how the funds were disbursed (if required by sponsor).

References/Regulations

• UW Grants Information Memorandum (GIM) 21 - Cost Sharing Policy for Sponsored Agreements
• Office of Management and Budget Circulars:
  • A-21 - Cost Principles for Educational Institutions
  • A-110 - Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and other Non-Profit Organizations
• Faculty Effort Certification (FEC)
• Non-FEC Cost Share Contribution Spreadsheet (MS Excel)

Contacts

If you:

• are preparing your proposal or waiting to hear about a submitted proposal, contact Grant and Contract Services (GCS) via:
  • email at gcsvcs@u.washington.edu
  • phone at 206.543.4043
• have cost share questions on your award, contact Grant and Contract Accounting (GCA) via:
  • email at gcaques@u.washington.edu
  • phone at 206.543.8454
• have faculty effort questions on your award, contact Management Accounting and Analysis (MAA) via:
  • email at efecs@uw.edu
  • phone at 206.685.7395