New York University Skip to Content Skip to Search Skip to Navigation Skip to Sub Navigation

Managing Subawards Issued by NYU

Background

A subgrant (or subaward) is a formal written agreement made between New York University (NYU) and a third party or subrecipient (also known as the subgrantee).  A portion of the award is performed by the subrecipient’s personnel, using its own facilities and resources.  A subgrant is a legally binding agreement that will include terms consistent with the prime award.

Federal regulations require the prime to actively monitor the activities of subgrantees in order to ensure compliance with award requirements.

NYU Approach

At NYU, the Principal Investigator (PI) has the authority to decide when a subrecipient relationship is necessary to further the objectives of the sponsor award. The PI works closely with the Contract Office in the Office of Sponsored Programs (OSP) to develop and negotiate the subrecipient agreement. Moreover, the PI is responsible for monitoring the subrecipient’s programmatic progress and compliance with the requirements of the subaward agreement.

Managing Subawards: Do's & Don'ts

This content requires the Macromedia Flash Player. Get Flash Player

Closed Captions: Automatically display. Click the CC button at the upper left of the video to turn off captions.

Full Screen Viewing: To view video at full screen size, click on the 'four arrows' icon in the video player controller.


Managing Subawards & Contractors Includes:

 

How Subawards are Submitted and Awarded

The PI is responsible for determining the need for a subaward for the sponsored project. Please make sure to follow these guidelines:

Proposals should include:

  • A Statement of Work for the proposed subawardee, and
  • A Budget and Budget Justification.
  • Subawards are initiated by the Department, but they must be negotiated and issued by the Contract Office.
  • A Request to Issue Subaward Form (RIS) must be submitted to the Contract Office.
  • PI's should review agreements carefully and notify the Contract Office of unusual requirements.
  • As soon as the fully executed subaward is issued by the Contract Office submit a subaward requisition to the Purchasing Office.
  • For a subrecipient to begin working, a subaward agreement must be executed.

Monitoring Subgrantees

The PI must monitor the subrecipient’s programmatic and financial performance, including the statement of work and reviewing all invoices.  Also, the Department must process any modifications to subawards through the Purchasing system.

Closeout of Subawards

Subawards should be closed out in a timely manner. Final technical and financial reports as well as a final invoice are required to close the subaward. Departments should ensure subrecipient submits a final invoice to NYU, generally, no later than 60 days after the end of the sub-award period.

^ top of page

Frequently Asked Questions

  • The Contract Office within the Office of Sponsored Projects (OSP) executes subcontract agreements. Once the fully executed agreement is issued to the Principal Investigator (PI), a copy is sent to Sponsored Programs Administration (SPA). SPA will establish a project for the subcontract if New York University (NYU) is the subrecipient. If the subaward is issued to another entity under an existing project, the department is required to submit a Purchase Order through the eRequsition/i-Buy system for the subcontract amount. The Purchase Order will need to be increased and extended with each year/amendment to the subcontract agreement.
  • A Subcontracts report is available in the SPA Brio financial reports system portal to identify those projects that include a subcontract budget and determine whether a Purchase Order has been established for the proper amount. This ensures funds are encumbered and available to pay invoices submitted by the subrecipient.
  • If a subcontract budget was not included in the original award budget, departments must submit a revised budget to SPA at the time the subcontract agreement is executed.


Handbook Table of Contents



NYU Policy:
Managing Subawards Issued by NYU Policy

Full Policy & Downloadable PDF available at the University Policy Website.

Read the Policy



Federal Regulations

NYU Footer