Project Close-out in Grants Management System

The Office of Grants and Contracts Accounting is responsible for the financial close-out of sponsored awards in the accounting records of the Georgia Institute of Technology for both externally funded awards and internally funded projects (i.e., Georgia Tech Foundation, managed by the Controller’s Office, and the Georgia Tech Research Corporation). Steps taken to complete the financial close-out process are as follows:

1. Accountants in the Office of Grants and Contracts Accounting review expenditures and encumbrances allocated to sponsored projects throughout the life of the award. These checks may include, but are not limited to, line item transaction review and verification that transactions occurred within the performance period. This process is designed to ensure expenditures are within sponsor guidelines established in the award document and in compliance with applicable laws and institutional policies, including the Federal Government’s Office of Management and Budget (OMB) Uniform Administrative Requirements, Cost Principles, and Audit Requirements (2 CFR 200). In accordance with 2 CFR 200.343, the non-Federal entity must submit, no later than 90 calendar days after the end date of the period of performance, all financial, performance, and other reports as required by the terms and conditions of the Federal award.
2. An administrative report entitled "90 Days to Expiration" is available to Project Directors/Principal Investigators, unit financial officers and other appropriate Grants Management (GM) system users as notice of initiation of the financial close-out process.
3. Upon project expiration, the G&C Accountant responsible for financial review of the expiring project contacts the administrative unit responsible for expenditure allocation. The purpose of the contact is to verify that all appropriate expenditures and/or encumbrances have been recorded properly in the accounting records. Any unrecorded activity must be verified by the Accountant as allowable in order to include those costs and/or unliquidated obligations in the financial reporting to the sponsoring entity.
4. Upon confirmation that all expenditures and/or obligations have been verified, the G&C Accountant reviews transactions for propriety, and reconciles indirect charges. Charges are verified to be allowable and within contractual budgets and terms of the award. The accounting review includes the same checks with respect to contractually obligated matching/cost sharing funds as it does to sponsored funds.
5. Final invoices, vouchers, or cash requests are prepared according to instructions included in the award document or standard procedures for specific sponsoring entities.
6. Final financial reports, if required, are prepared and submitted to the sponsoring entity in compliance with external reporting requirements.
7. Accountants in the Office of Grants and Contracts Accounting are responsible for monitoring projects which have been financially closed with the sponsor but have outstanding action required by campus units. Until all internal adjustments are complete, the sponsored project cannot be inactivated in the accounting records.
8. At the time final payment from the sponsoring entity is received and all internal actions have been processed in the accounting records, the Office of Grants and Contracts Accounting inactivates the fund and project(s) in the Institute's records.

Frequently Asked Questions
Additional information, including Web GM access requirements and training materials, are available on the Grants and Contracts Accounting web site www.grants.gatech.edu

Contact the Office of Grants and Contracts Accounting at gc.ask@business.gatech.edu for specific guidance related to managing sponsored projects at Georgia Tech.