Cost Transfer Justification and Documentation

Cost transfers must be properly justified on the University’s cost transfer form and accompanied with sufficient documentation to support the detailed justification. The justification must include a detailed explanation from which an independent reviewer can understand the transfer request and conclude that the expenditure is appropriate. A statement that merely states “to correct error” or “to transfer to correct account” is not sufficient. Questions #1 and #2 on the cost transfer form are required to be completed.

Untimely cost transfer requests shall require a written explanation of the extenuating circumstances and what preventative measures have or will be implemented to prevent this type of cost transfer for occurring in the future (Questions #3 and #4 on the cost transfer form).  Examples of extenuating circumstances which will be considered are:

• Late issuance of an official University communication regarding a sponsored agreement notice that is beyond the control of the requester (activation of a new award or advance account, full execution of a subcontract, an extension of time, incremental funding, etc.)
• Failure of another department to take action when supporting documentation has been promptly submitted.
  

Extenuating circumstances do not include:

• Absence of the Principal Investigator or cognizant administrator or lack of experience of the staff administering the awards.

Documentation - Examples of appropriate documentation can be found in the instructions on  the cost transfer form. The standard cost transfer form is the only acceptable cost transfer form and must be completed per the instructions on the back of the form.

• Payroll Cost Transfer Requests - The cost transfer form in the electronic salary distribution must be used for retroactive salary distribution changes involving sponsored agreements.
• Not-Payroll Cost Transfer Requests - The cost transfer form and any supporting documentation must be attached to the Peoplesoft journal. See SPA's journal attachment job aid for specific instructions on how to attach files to a journal.