GRANTS AND CONTRACTS BILLING POLICY

Transcription

1 GRANTS AND CONTRACTS BILLING POLICY PURPOSE The purpose of this policy is to establish guidelines for Grants and Contracts billings that will allow for: Receivable amounts to be properly recorded in the financial statements, Timely collection efforts for unpaid billings to be provided, and Centralized review and approval of all write offs. This policy addresses the process of billing sponsored projects sponsors provided by subsequent collection efforts. This policy also establishes that all current items are recorded as a receivable in the financial statements and that all uncollectible items are written off to expense. POLICY STATEMENT It is the policy of The University of Texas MD Anderson Cancer Center (MD Anderson) that all grants and contracts billings be billed and aged by the Grants and Contracts Department and that all receipts for payment of such bills be received by the Treasury Services Department. SCOPE This policy governs all grants and contracts billings for sponsored project activities. For non-patient billings, please contact the General Accounting Department. Compliance with this policy is the responsibility of all faculty, trainees/students, and other members of MD Anderson s workforce. TARGET AUDIENCE The target audience for this policy includes, but is not limited to, faculty, trainees/students, and other members of MD Anderson s workforce involved with grants and contracts billing. DEFINITIONS Write Off: The reduction or elimination of a receivable item due to its uncollectibility, causing a reversal of the original receivable, revenue, and expense entry. Page 1 of 5

2 PROCEDURE 1.0 Billing 1.1 Grants and Contracts will invoice our customers based on the terms and conditions in the executed agreement or contract. 1.2 Grants and Contracts will prepare the relevant billing information for cost reimbursable agreements. Once the billing information is finalized, Grants and Contracts will generate a bill through PeopleSoft System and submit it to the customer for payment. 1.3 For contracts/ studies set up prior to April 17, the following process will continue: A. For contracts with payment schedules based on milestones or patient enrollment, the billing information must be provided to Grants and Contracts within a reasonable time from the date of reaching the milestone (typically, no more than 30 days). Grants and Contracts will generate a bill through PeopleSoft System and submit it to the customer for payment. B. All invoice requests must be submitted through the invoice template found on the Grants and Contracts SharePoint site. C. Invoice requests must include the PeopleSoft project(s) ID and the amount, as well as indicating if per-patient fees are included on the invoice, and the amount. Invoice requests for multi-project studies should include all the projects and the amount to be invoiced per project. D. If additional supporting documentation needs to accompany the bill, please notify Grants and Contracts by including the information in the invoice request. E. Requests for invoiceables must include the budget breakdown and overhead cost. F. Requests for invoicing service centers related to program income should include a breakdown of the service amount to be invoiced and overhead cost separately. Only the total cost will be reflected on the invoice sent to the customer. G. Patient reimbursement invoice request must indicate that the invoice is related to patient reimbursement and must include the appropriate chartfield string for payment application. The department is responsible for requesting/processing the check request to reimburse the patient. H. Copies of invoices related to milestone or patient enrollment will be sent to the requestor through Grants and Contracts SharePoint site. 1.4 For contracts/ studies set up after April 17, the following new process will continue: A. For contracts with payment schedules based on milestones or patient enrollment, the invoice Request or Invoiceable Request must be initiated and completed in PeopleSoft within a reasonable time from the date of reaching the milestone (typically, no more than 30 days). Grants and Contracts will generate a bill through PeopleSoft System and submit it to the customer for payment. All invoice requests must be submitted through the Invoice Request or Invoiceable Request Form found in PeopleSoft. B. Invoice requests must include the PeopleSoft project(s) ID and the amount, as well as indicating if per-patient fees are included on the invoice, and the amount. Invoice Page 2 of 5

3 requests for multi-project studies should include all the projects and the amount to be invoiced per project. C. If additional supporting documentation needs to accompany the bill, please upload the information in the invoice request. D. Requests for invoiceables must include the budget breakdown and overhead cost. E. Requests for invoicing service centers related to program income should include a breakdown of the service amount to be invoiced and overhead cost separately. Only the total cost will be reflected on the invoice sent to the customer. F. Patient reimbursement invoice request must indicate that the invoice is related to patient reimbursement and must include the appropriate chartfield string for payment application. The department is responsible for requesting/processing the check request to reimburse the patient. 2.0 Collection Procedures 2.1 Collection process is occurring at the department s request at closeout and/ or as deemed necessary, as part of normal business processes. 3.0 Write Off 3.1 Grants and Contracts will write off the uncollectible amount with the approval of the Executive Director, Grants and Contracts or designee. 3.2 Write off will be approved for sponsors who have declared bankruptcy, and Grants and Contracts has been notified by Legal Services. 3.3 A write off will not be processed for unallowable expense or for unpaid billings due to unmet deliverables. The Principal Investigator or Department Administrator is responsible for identifying another source of funds to transfer these expenditures. 3.4 All other write offs must be approved by the Executive Director, Grants and Contracts or designee, and must include an analysis and justification. Page 3 of 5

4 ATTACHMENTS / LINKS RELATED POLICIES JOINT COMMISSION STANDARDS / NATIONAL PATIENT SAFETY GOALS OTHER RELATED ACCREDITATION / REGULATORY STANDARDS REFERENCES Page 4 of 5

5 POLICY APPROVAL Approved With Revisions Date: 01/04/2018 Approved Without Revisions Date: Implementation Date: 01/04/2018 Version: 18.0 RESPONSIBLE DEPARTMENT(S) Grants & Contracts Page 5 of 5