Summary of Principles

• Continued financial support of students should be the highest priority to ensure they do not miss being paid.
  • Students with current appointments and new students should have designated funding committed with the PI’s approval on file with CSAIL Fiscal along with fiscal approval confirming funding availability. If not, FO should immediately address with PI and copy supervisor to resolve within ten (10) business days.
• Suspense accounts should only be used for the purposes outlined in this policy, but never to cover shortfalls in funding or to cover un-allocatable expenses. 
• No expense should stay in suspense longer than 90 days after the salary is charged on the suspense account.
  • Suspense charges beyond this timeline, without SFO/leadership approval on file, will be moved to a PI discretionary account.
• Suspense records should be carefully kept, reviewed, and managed actively on a monthly basis by the CSAIL Fiscal team. A monthly suspense report will be distributed to the fiscal teams to allow for review and management.
• PIs should be made fully aware by their FOs if they have any charges in suspense accounts.
  • PIs who are notified of suspense balances should confirm receipt of the email. In cases where an alternate cost object is needed, failure on the PI’s part to provide one before the end of the 90 day period after salary was charged on suspense will result in suspense charges being transferred to the PI discretionary account. 

Detailed Policies Governing the Use of Suspense Accounts at CSAIL

Appropriate Use of Suspense Accounts and “Pending” Sponsored Accounts

• Suspense accounts should only be used in the following situations:
  • New or Renewal awards or Continuation awards where CSAIL has received e-mail or other acceptable notice a project will be awarded or renewed or extended. In this case the FO will request RAS to establish a new account in “pending” (either pre-award or regular start date), or extend the account in pending status, using a PI discretionary account as backup. If RAS cannot establish a new cost object in time, use of the Suspense account is allowed with cost object documentation, sponsor written notification, as well as SFO and CSAIL Director or COO approval saved in the shared suspense file. In order to obtain this approval, a request should be submitted through Service Now and will be routed by the SFO for further approval. Once the approval has been obtained, the SFO will notify the requester that they can use the suspense account, within the guidelines provided elsewhere in this policy.
• Even when the conditions above are satisfied, Suspense accounts should be used only as a last resort. “Pending” sponsored accounts should be used instead whenever possible.
• Example sponsor backup:
  • SPONSORNAME confirms we are in the process of sending you an award (or modification) in the amount of $xxx,xxx for time period mmddyy-mmddyy. We anticipate you will receive the modification by mmddyy.

Inappropriate Use of Suspense Accounts

• Suspense accounts should not be used in any of the following situations:
  • To cover shortfalls in research funding or unplanned grant cancellations. In this case, a PI discretionary account will cover any expenses over the sponsor’s obligation, or the PI should find alternate ways of hiring such as a TA appointment.
  • For effort distribution for new or renewal awards where no notice has been communicated. No appointments nor charges should be made until we receive positive communication about the award status or the award itself.
• For other situations not covered above, the assumption should be that they are inappropriate unless there is written confirmation from the CSAIL Director or COO.  Any charges would be transferred to PI discretionary.
   

CSAIL Fiscal Team Responsibilities

1. CSAIL Fiscal will ensure that Suspense accounts are used only for the appropriate uses outlined above.
2. PIs will be provided by their fiscal officer a monthly summary of their charges on suspense account. PIs will be expected to acknowledge receipt of these reports. Copies of these reports will be maintained in a shared folder that is accessible by the entire Fiscal team and Director. Failure to acknowledge the monthly emails before 90 days after the salary was charged to suspense will result in Suspense charges being transferred to the PI discretionary account.
3. Financial officers will work with their PIs to move charges from Suspense accounts in a timely way as defined by the principles above.
4. Detailed records of all the charges placed on suspense accounts will be kept in the payroll system, service request system, and monthly suspense report:

5. Review of Suspense records

   a. Suspense records should be reviewed by the team monthly. A clear status is communicated amongst the fiscal team and next steps are discussed and documented in one shared file.

   b. The SFO who is primarily responsible for Suspense will review the Suspense account eDACCA and will follow up with the FO who is responsible for the PI’s portfolio to understand the current detailed plan for moving suspense charges.

6. Clearing Suspense charges

   a. Moving charges from Suspense should be done monthly but no longer than 90 days after the charges posted. No charges should stay in suspense for longer than 90 days unless written approval is provided making an exception per the principles above.

   b. Suspense charges beyond 90 days after the salary was charged on the suspense account, without SFO/leadership approval on file, will be moved to a PI discretionary account.

   c. All suspense write-offs must be approved in writing by the CSAIL Director.

   d. If a charge in Suspense cannot be charged to a research account, for example if a sponsor backs out from providing previously committed funds, the default backup should be the PI discretionary account; the suspense account can never remain as the final cost object for a salary charge.

   e. If PI does not have sufficient funds, the PI must identify an alternative solution.

7. The Director approves all employee appointments prior to processing, except for student appointments, and asks in advance what funding there is before they will approve. This is done via email so we have a record of what was intended.

PI Responsibilities

1. PIs who are notified of suspense balances should confirm receipt of the email. In cases where an alternate cost object is needed, failure on the PI’s part to provide one before the end of the 90 day period after salary was charged on suspense will result in suspense charges being transferred to the PI discretionary account.
2. PIs must respond promptly to their Fiscal Officers to help move charges from Suspense accounts in a timely way, and respond promptly to questions about student or research staff funding.

3. All graduate student and staff appointments should follow these guidelines.

   a. PI must have obligated sponsor funds or PI discretionary funds to cover all appointments.

   b. PI must discuss the detailed funding plan with the FO prior to any appointments. It is recommended that a plan for each appointment is forecasted for one year, with the understanding the plans will be reviewed each time the fiscal contact meets with the PI on their projections.

   c. Students must be funded with active accounts. If the student is working on multiple projects, the student’s appointment should be allocated according to the percent of effort they are working on each project.

   i. If a project is terming before the appointment ends, it is the responsibility of the PI to identify the project(s) the student will work on in the future so the FO can confirm availability of funding.