Cost Guidelines

1.0 PURPOSE

The purpose of these guidelines is to define allowable costs and disallowable costs. As a general principal cost charged to the Science for Africa Foundation (SFA Foundation), whether direct or indirect, should be actual costs attributable to the activity being funded by the grant (or a reasonable approximation thereof).

2.0 DEFINITION

A cost incurred by a recipient that is:

• reasonable for the performance of the award;
• allocable;
• determined in accordance with generally accepted accounting principles.

Costs that can be identified specifically with a particular sponsored project, an instructional activity, or any other institutional activity, or that can be directly assigned to such activities relatively easily with a high degree of accuracy.

Costs that are not allowable and allocable.

• Overhead expenses or ongoing operational costs incurred by the applicant organization on behalf of the organization’s activities and projects, but that are not easily identified with any specific project;
• Administrative or other expenses which are not directly allocable to an activity or project;
• Expenses related to general operations of an organization that are shared among projects and/or functions;
• Basic examples include executive oversight, existing facilities costs, accounting, grants management, legal expenses, utilities, and technology support.

To further aid the interpretation of Indirect Costs, SFA Foundation has established examples for the use of our grantees and prospective grantees, which are included in List of Indirect Costs

3.0 PROCEDURE

3.1 Transfer of a grant to a new institution

Should a grant holder move to an eligible institution, and there are scientific or other reasons to support the transfer to the new institution, the following information is required:

• Written agreement to the transfer from the head of the department in which the grant was originally held; and
• Undertakings page (from the relevant application form) signed by the new head of department

3.1.1 Original host institution obligations

When a grant holder plans to leave an institution during the course of a grant, the grant holder or the host institution, shall notify the SFA Foundation. The host institution must request that the grant be terminated and closed out. The request should include:

• A brief summary of progress to date;
• Signed relevant SFA Foundation undertakings form;
• A description of work yet to be accomplished;
• Actual spend to date
• A budget broken down into cost categories for the transfer amount and any outstanding continuing grant increments.

3.1.2 Researchers remaining at the original institution

Where a grant is transferring with the grant holder, but researchers funded on the grant wish to remain at the original host institution, the grant holder would need to:-

• Provide, in writing, details of how the individual(s) and the work to be carried out by them would be supervised.
• Provide evidence that the institutions involved would agree to the arrangement.

3.1.3 Transfer of Funds

The transfer amount would be determined by the amount remaining after actual spend by the current institution is deducted from the award total.

3.2 Transfer of grants to a new grant holder at the same institution

Consideration may be given to transferring the grant holder status to an eligible co- grant holder in the following circumstances:

• Should a grant holder move to an ineligible institution, the individual may not take the grant with them.
• When the grant holder leaves the institution and there are scientific or other reasons for the grant to remain at the institution.

3.2.1 Notification of Transfer

Formal notification of the impending transfer can be initiated by either the grant holder or the grant holder’s institution and include:

• A brief summary of progress to date;
• CV of the new grant holder
• Signed SFA Foundation Undertakings
• A description of work yet to be accomplished;
• Actual Spend to date
• A budget broken down into cost categories for the transfer amount and any outstanding continuing grant increments.

3.3 Transfer of grants between departments within the same institution

A grant is allowed to be transferred from one department to another provided the host institution for the grant remains the same. The following information is required:

• Written agreement to the transfer from the head of the department in which the grant was originally held; and
• Undertakings page (from the relevant application form) signed by the new head of department.

3.4 Transfer of Equipment

• Should the individual move to another Low and Middle-Income Country (LMIC) institution during the tenure of the award (or within three years of termination of the award) and wishes to take the equipment with him or her, the SFA Foundation reserves the right to require that the equipment be transferred after discussion
• Where the grant holder intends to move to a High-Income Country (HIC) setting, transfer of equipment will not be allowed unless there is exceptional scientific rationale.
• Equipment purchased with SFA Foundation funds for use in a specific project should remain available for use for the duration of the project.
• Grant holders who are in the midst of projects that included funding for equipment and who will continue the project at a new institution with SFA Foundation support should be able to arrange with their original institution to have the equipment transferred with them.

Requests for transfer of equipment to a new institution should be approved by the SFA Foundation Programme Manager in collaboration with the SFA Foundation Director of Programmes.

3.5 Supplementation

The SFA Foundation does not provide supplementary funds to cover any additional costs that may be incurred as a result of relocating to a new institution (e.g. removal costs, location enhancement allowances). Such costs should be met from within the grant

3.6 Bridging support

In cases where funds are required for salaries etc, and there may be some delay before the original institution can submit its End of Grant Spend Report, bridging support can be provided to the new institution out of existing funds. Bridging support can only be provided where there are sufficient funds available. A formal award letter must be issued.

Related Policy: Grant Terms & conditions and End of Grant Policy

For any queries on this policy, please contact [email protected]