Interim (monthly, quarterly or annual) billings requesting reimbursement for contract expenditures will be prepared in Grants and Contracts Accounting. Billings reflect periodic expenditures per Banner report. Corrections to the amount billed, if needed, should be entered in Banner and will be reflected on the next billing submitted to the agency.

Where contracts require billings based on "per patients," the principal investigator should provide Grants and Contracts Accounting the number of patients for billing the sponsor. 

Should the department take the responsibility for billing the sponsor, the department is responsible for collecting funds for all transactions billed by the department. In the event funds are not collected from the sponsor, the principal investigator will be responsible for the cash deficit balance.

If costs are disallowed on an interim billing, the department will be contacted to provide adequate documentation for rebilling or to remove the charges from Banner.

In the event costs become uncollectible for the following reasons, the department will cover the costs:

• there is a termination of business by the sponsor,
• the department performing the work fails to complete the project to the sponsor's satisfaction, 
• or the department began the work prior to receiving the award, and then the award was not made.

All grant and contract funds should be mailed directly to Grants and Contracts Accounting from sponsors. If a sponsor inadvertently sends a check to a department, the check along with any sponsor's correspondence, must be delivered to Grants and Contracts Accounting on the same day. The department should keep a copy of the check and correspondence as documentation received by a department. Grants and Contracts Accounting and Cashiering Operations encourage sponsors to deposit funds electronically.

If a check is received by the Principal Investigator prior to Banner index creation, the check along with a copy of any sponsor or vendor correspondence must be either hand or special courier delivered (on same day as received) to Grants and Contracts Accounting.  Grants and Contracts Accounting will determine Banner index to be used for the deposit or deposit the funds to the Grants and Contracts suspense index. Deposits must be made on a daily basis. If the deposit is made to suspense, the funds will be transferred to the appropriate Banner index after Sponsored Programs Administration authorizes the creation of the Banner index.  If authorization is not provided, the deposit will remain in suspense until the University receives an award notice for creating an appropriate sponsored program index.

Deposits from program income must also be deposited daily based upon program income alternative required by the sponsor.

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