Program Income is gross revenue generated from activities associated with a federally sponsored Award.
See the PAFC website for information on Program Income.
Establishing a Program Income Sub Budget: click here for a process flow chart
Identify Program Income
The Principal Investigator (PI) is responsible for identifying the need for a Program Income account. GCA can provide assistance, via a request made in Grant Tracker, in determining if a Program Income account is required.
If required by the sponsor, the department must obtain written sponsor approval prior to establishing a Program Income account.
Complete the Program Income Request Form
Complete the information requested in the Program Income Request Form. In order to ensure up-to-date and accurate documentation, a Program Income Request Form must be filled out and approved for every Program Income sub budget.
Please send the completed form to GCA via Grant Tracker or e-mail to email@example.com.
Determine Valuation of Program Income on the Award
Determine how Program Income will impact the amount of funds available to expend on the Award (see “Program Income and Award Valuation” on the PAFC website). This will ensure that the Program Income funds are being properly added or subtracted from the value of the Award by GCA.
The rates charged to generate the Program Income need to be determined using the appropriate method from the options below:
- If the sponsor mandates rates, maintain documentation from the sponsor on the rates to be used. For example, if revenue is being generated by fees charged to attend a conference, the sponsor may stipulate the registration fee.
- If the Program Income revenue is being generated by use of a rate (e.g., a per use charge) then the rate must be reviewed and approved by MAA. This rate review is the same process that MAA utilizes to establish a Recharge or Service Center Budget. More information on Recharge and Service Centers can be found on the Management Accounting & Analysis (MAA) website.
- Rates may be subject to an annual review. Annual is defined in this case as the 12 month period starting from the date that the initial rate was approved.
GCA will contact MAA to coordinate a review of the rates.
- If the Program Income revenue is not earned via a rate (e.g., a conference grant fee that is not stipulated by the sponsor) then MAA review is NOT required. GCA can assist in determining if a rate review is required.
The department is responsible for obtaining the Dean’s approval for the rate and for maintaining the documentation on MAA’s rate approval.
Program Income Sub Budget Setup
Upon review and approval of the completed form, GCA will establish the Program Income Sub Budget.
For information on close out and continuation of Program Income Sub Budgets, see the PAFC website.
Regulations and Supporting Documents
Administrative Policy Statement 31.6 – Applying and Accounting for State Sales Tax - http://www.washington.edu/admin/rules/policies/APS/31.06.html
Administrative Policy Statement 32.1 – Accounting for Revenues from Sales of Goods and Services - http://www.washington.edu/admin/rules/policies/APS/32.01.html
Administrative Policy 33.2 – Institutional Overhead Policy - http://www.washington.edu/admin/rules/policies/APS/33.02.html
Administrative Policy 59.5 - Policy on Sales of Goods and Services http://www.washington.edu/admin/rules/policies/APS/59.05.html
Executive Order 44 - User Fee Approval - http://www.washington.edu/admin/rules/policies/PO/EO44.html
Cost Transfer Invoice (CTI) – Definition and Procedure
Internal Sales Document (ISD) – Definitions and Procedures –
General Records Retention Schedule – http://www.washington.edu/admin/recmgt/retention.schedule.html
GIM 2 – Fiscal Responsibilities on Grant and Contract Accounts - https://www.washington.edu/research/policies/gim-2-acceptance-of-sponsored-program-awards-and-fiscal-compliance-on-sponsored-program-accounts-budget-numbers/
Recharge and Cost Center Rate Policy –