Federal Contracts Billing and Reporting. Facilitators: Lisa Tate, Kim Jennings

Transcription

1 Federal Contracts Billing and Reporting Facilitators: Lisa Tate, Kim Jennings

2 Agenda Introductions & Ground Rules Retained Learning & Pre-Class Test Group Objectives/Expectations Class Objectives Overview of Federal Contract Billing Process Deep Dive into an NIH Federal Contract Highlights of More Complex Federal Contracts Post-Invoicing Activities Case Studies Wrap Up 2

3 Course Objectives During this session you will learn how to... Identify a Federal Contract within your invoicing portfolio Analyze and review the award(s) for invoicing requirements and preparation Understand the Contract Manager page as related to Federal Contract invoicing Identify common issues and roadblocks associated with Federal Contract Invoicing 3

4 Brief Review of Funding Agencies & Award Notices Emory Comsquared National Institutes of Health (NIH) Center for Disease Control and Prevention (CDC) 4

5 Federal Definition: Grant vs. Contract The Federal Government provides research and development funding to the University under a variety of mechanisms. The most common mechanisms are grants and contracts (a.k.a. procurement contracts). These two funding mechanisms are similar in many ways, but in execution very different. What is a Grant? Grants are flexible instruments that the government uses to provide funding in hope of achieving a particular aim. The Principal Investigator then uses reasonably diligent efforts to complete the research and achieve the desired aim. Most federal grants are Cost Reimbursable. What is a Contract? A contract is a legally binding document where one party promises to deliver a product or service in return for consideration from the other party. In the case of a federal contract, consideration almost always takes the form of monetary compensation. Most federal contracts are either Cost Reimbursable or Fixed Price. 5

6 Federal Definition: Grant vs. Contract Grants A flexible instrument designed to provide money to support a public purpose. Governed by the terms of the grant agreement. Flexible as to scope of work, budget, and other changes. Diligent efforts are used in completing research and the delivery of results. Payment awarded in annual lump sum. Annual reporting requirements. Principal Investigator has more freedom to adapt the project and less responsibility to produce results. Contracts A binding agreement between a buyer and a seller to provide goods or services in return for consideration (usually monetary). Governed by Federal Acquisition Regulations. Relatively inflexible as to scope of work, budget, and other changes. Significant emphasis placed on delivery of results, product, or performance. Payment based on deliverables and milestones. Frequent reporting requirements. High level of responsibility to the sponsor for the conduct of the project and production of results. 6

7 Federal Definition: Grant vs. Contract Types of Contracts Fixed Price Firm price for delivery of a product or service May result from sealed bids or negotiations Most often for supplies and standard services Cost Reimbursement Contract contains a negotiated estimate May or may not have a fixed fee Used when Uncertainties involved in contract performance do not permit costs to be estimated with sufficient accuracy to use any type of fixed-price contract Used when costs cannot be estimated with sufficient accuracy to use any type of fixed-price contract Most Research and Development (R&D) contracts are cost-reimbursement 7

8 Overview of Billing Process for Federal Awards Steps in Billing Process 1. Identify Monthly Workload Monthly Deadlines Batch vs. Non-Batch First/Final Invoices 2. Analyze Awards Invoice Checklist enoa/nga Contract Manager Milestones and Notes Prior Invoice Steps in Billing Process (cont.) 3. Generate Temp Worksheet 4. *Verify Information with Dept/RAS 5. Generate Invoice 6. Sign & Submit to Sponsor with Backup 7. Upload to I Drive & Compass 8. Update Milestone 8

9 Award Analysis Why Do We Analyze Awards: To ensure the correct invoices are sent to the sponsor and to ensure payments are being received timely; helps avoid cash deficit on awards. When Should We Analyze Awards: While processing invoices before the invoice is signed and sent to the sponsor. How Do We Analyze Awards: Review the totals on the Compass Contract Manager page. CR NON LOC: Cost Reimbursable - Amount billed and cash applied 9

10 Invoice Schedule & Deadlines 10

11 System Batch vs. Non-Batch Invoicing Non-Batch Invoicing Invoices are not generated in the monthly batch process run by DMG Invoices that must be processed in Compass by individual award Current Contract Types in Batch CR_NON_LOC Monthly/ Quarterly Only Temp Worksheets (not pre-approved) Direct Invoicing (pre-approved) Bill Plan Cycle ID = DMTH-END, QTRLY- FMAN, QTRLY-JAJO, QTRLY-MJSD SCHED_PAY Batched by Event Date Direct Invoicing only No Temp Worksheets, regardless of preapproved box selection Bill Plan Cycle ID does not determine batching process 11

12 Identifying Monthly Workload See FGC Job Aid Monthly Invoice Workload Tracker document 12

13 Award Analysis Outstanding Invoices MMDDYYYY document S:\FGC\FGC Reporting\Invoice Reports Current month and all prior open milestones, most recent file Filter Batch vs. Non-Batch awards First Invoices Hold Report Reporting Tools> Query> Query Viewer EU_GM_CONTRACTS_ON_HOLD FGC Operations enoa Review Checklist document Review & Remove hold Note file FGC Invoice Checklist document 13

14 Award Analysis Final Invoices Milestone Setup document FGC Invoice Checklist document Key Items for Closeout No outstanding BILS No outstanding OLTs No outstanding Encumbrances Cash reconciled 14

15 Award Analysis See FGC Invoice Checklist Invoice Analysis & Preparation see FGC Job Aid: Invoice Analysis 15

16 Award Analysis Understanding the Contract Manager Page 16

17 Award Analysis Understanding the Contract Manager Page (cont.) Milestone Status Tab (3 Sections) FSR Milestones Invoice Milestones Other Milestones Key Items for Billing BILs, BLDs, Expenses, Billing Limit, Cash Key Items for Closeout Budget = Expenses = Billing Limit = BLDs All invoicing completed All cash collected All balance sheet items clear Totals also appear on PACT 17

18 Award Analysis Generating Invoice in Compass The FGC Job Aid Billing CR NON LOC document outlines the steps for the CR NON LOC billing process. PeopleSoft Billing Worksheet Invoice Matrix 18

19 Post Invoice Activity After the invoice has been generated and sent to the sponsor save your documentation in the appropriate places. You may use the AutoCapture feature or the manual scanner to scan documents. The FGC Invoice Checklist provides the instructions for your next steps. Compass Attachments Document Documents should be uploaded to Compass - Grants>Award Profile>View Contract>Attachments. AutoCapture Scanning Tips Document Scanned documents to the I drive can be upload via auto capture or manually using scanner 19

20 Deep Dive into Federal Contract Invoicing Steps in Billing Process 1. Identify Monthly Workload Monthly Deadlines Batch vs. Non-Batch First/Final Invoices 2. Analyze Awards Invoice Checklist enoa/nga Contract Manager Milestones and Notes Prior Invoice 20

21 Deep Dive into Federal Contract Invoicing Steps in Billing Process (cont) 3. Generate Temp worksheet Before submitting the invoice to a Sponsor, the following steps must be taken: Run invoice to Temp Worksheet Run Project Resource on Contract (not projects) Create pivot for each project with amount in worksheet, which includes all (W). Run Labor Report on Contract (not projects) Make sure no overtime is included (cannot bill for overtime). Run Cash Report by Project Create a spreadsheet to input all information that is going to the RAS for review and include the template as required by Contract Insert labor report make sure it totals the amount that pull into the worksheet and what s on the pivot table Insert cash for each project Insert EBI report or SPP to check total expenditures to date. 21

22 Deep Dive into Federal Contract Invoicing Steps in Billing Process (cont.) 4. Verify Information with Depts./RAS Once the information has been collected, send the temp worksheet and documentation to the RAS for review. They should be reviewing and providing: Effort on Invoice Salary Cap Worksheets General Ledger (GL) breakdown of all supplies Travel (all physical backup documentation) 22

23 Deep Dive into Federal Contract Invoicing Steps in Billing Process (cont.) 5. Generate Invoice in System RAS verified expenses to include Defer expenses not included 6. Sign & Submit to Sponsor with Supporting Documentation A Salary breakdown (separate from labor report) is also completed by FGC where hours are required instead of percentage of effort. 7. Upload to I Drive & Compass 8. Update Milestone NOTE: Each award has different supporting documentation requirements. Some may want to see all detailed receipts, etc., others may just want labor and supplies. ALWAYS refer to the NGA for requirements. 23

24 Deep Dive into Federal Contract Invoicing Common Issues and Roadblocks of Federal Contract Invoicing 24

25 Highlights of a Federal Contract with Cost Share Federal Contract Compass Contract # NGA Terms & Conditions Compass Set Up Invoice Requirements Backup Invoice Submission 25

26 Highlights of a Federal Contract with Complexity Federal Contract Compass Contracts # , , , , , Unusual NGA Terms & Conditions Compass Set Up for Related Awards Invoice Requirements Protocols and Tasks Backup Invoice Submission 26

27 Case Study #1 I have a new award and I m trying to determine if it is a grant or contract. The language in the contract states the invoicing frequency, what should be included as backup, and the template to be used for submission of invoices. Does this mean this new award is a Contract? Where would you look to verify Contract vs. Grant? 27

28 Case Study #2 I completed my Temp Worksheet for February 2016 Expenses, ran all my corresponding reports, and sent the invoice packet to the RAS on March 23 rd for review and confirmation. I haven t yet received confirmation that the expenses included with the temp invoice can be submitted to the sponsor. Since then, I also completed the packet for March 2016 expenses and sent that to the RAS on April 20 th for review and confirmation. I haven t received confirmation for either packet and now my milestones are late. Can I send the invoice for February expenses to the sponsor? What are my steps to try and resolve the problem? 28

29 Case Study #3 My Federal Contract has expenses that the RAS has noted must be deferred to either the next month or the one after in each review period. When the RAS sends confirmation of expenses each month I have to carefully review those items previously deferred and include only those specified by the RAS for that invoice that month. Who is responsible for reconciling invoices submitted to the sponsor with expenses on ledger? 29