Terms and Definitions

A21: A circular from the Executive Office of the President of the United States, Office of Management and Budget, entitled “Cost Principles for Educational Institutions”. It defines the costs allowable as charges to contracts and grants.

A-110: A circular from the Executive Office of the President of the United States, Office of Management and Budget, entitled “Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher education, Hospitals, and Other Non Profit Organizations”. It sets forth the standards for obtaining consistency and uniformity among Federal Agencies in the administration of grants and agreements with Institutions of Higher education, Hospitals, and Other Non Profit Organizations.

A-133: A circular from the Executive Office of the President of the United States, Office of Management and Budget, entitled “Audits of States, Local Governments, and Non-Profit Organizations”. It sets forth standards for obtaining consistency and uniformity among Federal agencies for the audit of States, local governments, and non-profit organizations expending Federal awards.

AAALAC: American Association for the Accreditation of Lab Animal Care.

Accrual accounting: The practice of recording an expense when it occurs, rather than when it is paid.

Acquisition: Per FAR, means the acquiring by contract with appropriated funds of supplies or services (including construction) by and for the use of the Federal Government through purchase or lease, whether the supplies or services are already in existence or must be created, developed, demonstrated, and evaluated. Acquisition begins at the point when agency needs are established and includes the description of requirements to satisfy agency needs, solicitation and selection of sources, award of contracts, contract financing, contract performance, contract administration, and those technical and management functions directly related to the process of fulfilling agency needs by contract.

Allocable Costs: Those allowable costs that actually benefit the project funded by the grant or contract to which they are being charged. For example, allocable costs include the cost of the effort of employees applied to the project supported by the award.

Allowable Costs: Those categories of costs that can be charged to an award, such as salaries and equipment. Certain types of costs, such as the cost of alcoholic beverages, are not allowable. Costs must be reasonable, allocable and consistent with terms of the award.

Audit: A formal examination of the accounts of an organization, an individual, or a financial situation. An audit may also include an examination into compliance with applicable terms, laws, and regulations.

Authorized Total: The total amount obligated under a sponsored agreement that a sponsored project is authorized to spend in a given period.

For example, suppose the budget for a particular proposal is $3,000,000, the period of performance is three years, and the proposal is fully funded. Does this mean that you have $3,000,000 available to spend? That depends on the Authorized Total that the sponsor has stipulated. If the sponsor has set $1,000,000 for the first year of the award as the obligated amount, then you can spend up to $1,000,000 during that first year. The sponsor will also obligate a given amount that you can spend for each subsequent year.

Awards: Funds that have been obligated by a funding entity for a particular project. Awards include grants, contract, cooperative agreements and other agreements in the form of money, property or service.
Basic research : Per FAR, that research directed toward increasing knowledge in science. The primary aim of basic research is a fuller knowledge or understanding of the subject under study, rather than any practical application of that knowledge.

Broad agency announcement: Per FAR, means a general announcement of an agency's research interest including criteria for selecting proposals and soliciting the participation of all offerors capable of satisfying the Government's needs.

Budget: The detailed statement outlining estimated project costs to support work under a grant or contract. (See also Rebudget.)

Budget Period: The interval of time, usually twelve months, into which the project period is divided for budgetary and funding purposes.

CAO: Controller’s Accounting Office

CAS: Cost Accounting Standards. Federally mandated accounting standards intended to ensure uniformity in budgeting, spending and reporting of funds.

CASB: Cost Accounting Standards Board.

CBD: Commerce Business Daily.

CDC: Centers for Disease Control and Prevention.

CFDA: Catalog of Federal Domestic Assistance.

CFR: Code of Federal Regulations.

Change Order: Under Federal contracts containing a Changes clause, a written unilateral contract modification signed by the contracting officer, directing the contractor to make changes in project specifications. The Changes clause allows the contractor to submit a proposal for costs associated with the required changes.

Classified Contract: Per FAR, means any contract in which the contractor or its employees must have access to classified information during contract performance. A contract may be a classified contract even though the contract document itself is unclassified.

Classified Information: Per FAR, means any knowledge that can be communicated or any documentary material, regardless of its physical form or characteristics, that -

(1) (i) Is owned by, is produced by or for, or is under the control of the United States Government; or (ii) Has been classified by the Department of Energy as privately generated restricted data following the procedures in 10 CFR 1045.21; and
(2) Must be protected against unauthorized disclosure according to Executive Order 12958, Classified National Security Information, April 17, 1995, or classified in accordance with the Atomic Energy Act of 1954.

Close Out: The process of completing all the internal procedures and sponsor requirements necessary to terminate or complete a project.

COGR: Council on Governmental Relations.

Commerce Business Daily (CBD): Per FAR, means the publication of the Secretary of Commerce used to fulfill statutory requirements to publish certain public notices in paper form.

Competing Proposals: Proposals that are submitted for the first time, or unfunded proposals that are resubmitted. Both types must compete for funds via a review process established by the sponsor. Ongoing projects must compete again if the term of the original award has expired.

Consortium Agreement: An Agreement written for multi-sponsor support of a sponsored program. Each sponsoring organization executes the same Agreement, becoming a consortium member.

Continuation Project (Non-Competing): Applicable to grants and cooperative agreements only. A project approved for multiple-year funding, although funds are typically committed only one year at a time.
At the end of the initial budget period, progress on the project is assessed. If satisfactory, an award is made for the next budget period, subject to the availability of funds. Continuation projects do not compete with new project proposals, and are not subject to peer review beyond the initial project approval.

Contract: A mechanism for the procurement of a product or service with specific obligations for both sponsor and recipient. Typically, a research topic and the methods for conducting the research are specified in detail by the sponsor, although some sponsors award contracts in response to unsolicited proposals.

Contract Administrator: An OSP Representative.

Cooperative Agreement: (Federal) A Form of Federal Assistance. This award anticipates substantial sponsor involvement in research once the award has been made. The sponsor's staff may be actively involved in proposal preparation.

Co-PI: The co-principal investigator.

COS: Community of Science. An organization that shares information about scientific expertise, funded scientific research, and funding opportunities for research.

Cost Accounting Standards (CAS): Federally mandated accounting standards intended to ensure uniformity in budgeting, spending and reporting of funds.

Cost Object: A collector of expenses and revenues for a specific project or purpose. In SAP, cost objects include: cost centers, internal orders and Project WBS elements.

Cost-Reimbursement Type: A contract or grant for which the sponsor pays the full costs incurred in the conduct of the work, up to an agreed amount.

Cost Sharing: A portion of a project or program cost not reimbursed by the sponsor. Cost sharing represents a commitment by the Institute.

Cost sharing may be required by the sponsor as a condition of the award (mandatory) or it may be offered by the Institute in excess of mandatory cost sharing requirements (voluntary). Whether cost sharing is required by the sponsor or is offered by the Institute or PI voluntarily, and proposed cost sharing is a commitment once an award is made. In other words, they represent binding obligations on the Institute. The Federal regulations and the MIT policy governing cost sharing are summarized on the OSP web site. See Policy for Cost Sharing and Matching Funds on Sponsored Projects.

COUHES: MIT Committee on the Use of Human as Experimental Subjects. For more information, see COUHES.

CRADA: Cooperative Research and Development Agreement. A written agreement between a private company and a government agency to work together on a project. By entering into a CRADA, the Federal government and non-Federal partners can perform research by sharing the costs of this research.

Date of Completion: Per A-110, means the date on which all work under an award is completed or the date on the award document, or any supplement or amendment thereto, on which Federal sponsorship ends

DFAR: Department of Defense supplement to the Federal Acquisition Regulations (FAR). DoD contracts will include both FAR and DFAR clauses.

Debarment: Per FAR means action taken by a debarring official under 9.406 to exclude a contractor from Government contracting and Government-approved subcontracting for a reasonable, specified period; a contractor that is excluded is "debarred."

Deficit/Overrun: A financial condition in which expenditures exceed the funds available.

Direct Costs per OMB A-21: Costs that can be identified specifically with a particular sponsored project, or can be directly assigned with a high degree of accuracy.

Disallowed Costs: Per A-110, means those charges to an award that the Federal awarding agency determines to be unallowable, in accordance with the applicable Federal cost principles or other terms and conditions contained in the award.

DoDGARS: Department of Defense Grant and Agreement Regulatory System. A system of policies and procedures to guide DoD grants and cooperative agreements. It also governs other non procurement transactions, where provisions so indicate.

Draper Fellow: An R.A. appointment for an MIT student to do work for Draper.

Drug-free Workplace: Per FAR, means the site(s) for the performance of work done by the contractor in connection with a specific contract where employees of the contractor are prohibited from engaging in the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance.

EB Employee Benefits/Fringe Benefits: Employee benefits paid by the employer (for example, FICA, Worker's Compensation, Withholding Tax, Insurance, and so forth). For more information, see Employee Benefit Rates.

EEO/AA: Equal Employment Opportunity/Affirmative Action.

Effort Reporting: A procedure mandated by the federal government to verify that direct labor charges to federally sponsored agreements are reasonable, and reflect actual work performed. Effort reporting shows the distribution of the effort of individuals among the various activities in which they work. For more information, see effort reporting.

Electronic and Information Technology (EIT): Per FAR, has the same meaning as "information technology" except EIT also includes any equipment or interconnected system or subsystem of equipment that is used in the creation, conversion, or duplication of data or information. The term EIT, includes, but is not limited to, telecommunication products (such as telephones), information kiosks and transaction machines, worldwide websites, multimedia, and office equipment (such as copiers and fax machines).

Electronic Commerce: Per FAR, means electronic techniques for accomplishing business transactions including electronic mail or messaging, World Wide Web technology, electronic bulletin boards, purchase cards, electronic funds transfer, and electronic data interchange.

Electronic Data Interchange (EDI): Per FAR, means a technique for electronically transferring and storing formatted information between computers utilizing established and published formats and codes, as authorized by the applicable Federal Information Processing Standards.

Electronic Funds Transfer (EFT): Per FAR, means any transfer of funds, other than a transaction originated by cash, check, or similar paper instrument, which is initiated through an electronic terminal, telephone, computer, or magnetic tape, for the purpose of ordering, instructing or authorizing a financial institution to debit or credit an account. The term includes Automated Clearing House transfers, Fed wire transfers, and transfers made at automatic teller machines and point-of-sale terminals.

Equipment: Per A-110 means tangible nonexpendable personal property including exempt property charged directly to the award having a useful life of more than one year and an acquisition cost of $5000 or more per unit. However, consistent with recipient policy, lower limits may be established. See Property Office Site for MIT definition.

ERA (Electronic Research Administration): ERA broadly encompasses the application of computer systems to serve the needs of all phases of research administration, from identifying funding opportunities to post-award administration. COEUS supports ERA.

FastLane: An interactive real-time system used to conduct official National Science Foundation business over the Internet. FastLane is the submission system for the NSF, providing electronic templates for proposals, annual reports, final reports, extension requests, etc. For more information, see Fastlane.

Facilities and Administrative (F&A) costs: Per A-21, means costs that are incurred for common or joint objectives and, therefore, cannot be identified readily and specifically with a particular sponsored project, an instructional activity, or any other institutional activity. F&A costs are synonymous with "indirect" costs. For more information, see OSP’s site on F&A costs.

F&A Facilities and Administration Rate: A rate that MIT charges to a sponsored project for the use of Institute facilities and administration (overhead).

F&A Underrecovery: The difference between the current negotiated F&A rate that MIT charges to a research project, and the rate that the project’s sponsor is willing to pay. For example, if MIT’s F&A rate is 65%, and a sponsor agrees to pay only 50%, then the project’s lab or center must find a way to pay for a 15% underrecovery. (See also F&A.)

FDA: Food and Drug Administration.

Federal Acquisition Regulations (FAR): The primary regulation used by all federal executive agencies in their acquisition of supplies and services with appropriated funds.

Federal Awarding Agency: Per A-110, means the Federal agency that provides an award to the recipient.

Federal Contract: The appropriate agreement to use in a procurement relationship between the federal government and a contractor. A federal contract applies whenever the principal purpose is for the federal government to acquire property or services for its direct benefit and use.

Federal Grant: A form of Federal Assistance where the principal purpose of the award is the transfer of money to accomplish a public purpose. With a federal grant, there is no substantial involvement anticipated between the governmental agency and the recipient during the period of performance.

Federally Funded Research and Development Centers (FFRDC's): Per FAR, means activities that are sponsored under a broad charter by a Government agency (or agencies) for the purpose of performing, analyzing, integrating, supporting, and/or managing basic or applied research and/or development, and that receive 70 percent or more of their financial support from the Government; and-

(1) A long-term relationship is contemplated;
(2) Most or all of the facilities are owned or funded by the Government; and
(3) The FFRDC has access to Government and supplier data, employees, and facilities beyond that common in a normal contractual relationship.

Fellowship: An award made directly to an individual in support of specific educational pursuits. The individual cannot be an employee of the granting organization. Can be a graduate or postdoctoral appointment. (Not an R.A.)
(Traineeships differ from fellowships; check the award conditions on training grants for service and/or pay-back requirements.)

Final Report: The final technical, property, intellectual property or financial report required by a sponsor to complete a project.

Fiscal Year (FY): Any twelve-month period for which annual accounts are kept. The fiscal year at MIT is July 1 to June 30. The Federal fiscal year is October 1 through September 30.

Fixed-price Contract: A contract providing for a set lump sum payment upon satisfactory performance of the terms of the contract.

F.o.b: Means free on board. This term is used in conjunction with a physical point to determine-

(1) The responsibility and basis for payment of freight charges; and
(2) Unless otherwise agreed, the point where title for goods passes to the buyer or consignee.

F.o.b. destination means free on board at destination; i.e., the seller or consignor delivers the goods on seller's or consignor's conveyance at destination. Unless the contract provides otherwise, the seller or consignor is responsible for the cost of shipping and risk of loss.
F.o.b. origin means free on board at origin; i.e., the seller or consignor places the goods on the conveyance. Unless the contract provides otherwise, the buyer or consignee is responsible for the cost of shipping and risk of loss.

FOIA: Freedom of Information Act.

Fringe Benefits: Employee benefits paid by the employer (for example, FICA, Worker's Compensation, Pension, Insurance, and so forth).

FTE: Full-time equivalent. For example, two half-time employees represent one FTE.

Full and open competition: Per FAR, when used with respect to a contract action, means that all responsible sources are permitted to compete.

Fund Accounting: The accounting system used by the universities to identify revenues and expenses according to purpose of use and the source of funds. Separate records are kept for assets donated to an organization and restricted by donors to certain specific purposes or use.

Funding Cycle: The period during which a sponsor accepts proposals and awards funding. If a sponsor has standing proposal review committees (or boards) that meet at specified times during the year, application deadlines correspond with those meetings.

In the case of NSF, proposals that are received too late to be considered in the current funding cycle may be held over for the next cycle.

FY: Fiscal Year. Any twelve-month period for which annual accounts are kept. The fiscal year at MIT is July 1 to June 30.

Gift: An award that does not involve deliverables or elaborate reporting requirements (although informal reports or verbal communication do further good donor relations). A gift does not require separate accounting, nor does the donor receive detailed financial accounting. A gift may be provided for the stated area of research or activity. No intellectual property rights are provided. A gift does not require the return of unexpended funds, and it has no period of performance.

GPG: Grant Proposal Guide. The proposal guidelines for the National Science Foundation.

IACUC: Institutional Animal Care and Use Committee.

In-kind Contribution: A service or item donated in lieu of dollars.

Indirect Costs: See F&A costs.

Industrial Agreement: An award from a for-profit entity that funds an MIT research activity or other activity. An industrial agreement may involve interaction and collaboration with the sponsor, and it often requires extensive negotiations. MIT has a standard research agreement for industry, including provisions for dissemination of information and rights to intellectual property.

Inspection: Per FAR means examining and testing supplies or services (including, when appropriate, raw materials, components, and intermediate assemblies) to determine whether they conform to contract requirements.

Instruction: Per A-21, means the teaching and training activities of an institution. Except for research training as provided in organized research, this term includes all teaching and training activities, whether they are offered for credits toward a degree or certificate or on a non-credit basis, and whether they are offered through regular academic departments or separate divisions, such as a summer school division or an extension division. Also considered part of this major function are departmental research, and, where agreed to, university research.

(1) Sponsored instruction and training means specific instructional or training activity established by grant, contract, or cooperative agreement. For purposes of the cost principles, this activity may be considered a major function even though an institution's accounting treatment may include it in the instruction function.

(2) Departmental research means research, development and scholarly activities that are not organized research and, consequently, are not separately budgeted and accounted for. Departmental research, for purposes of this document, is not considered as a major function, but as a part of the instruction function of the institution.

Internal control: Per A-133, means a process, effected by an entity's management and other personnel, designed to provide reasonable assurance regarding the achievement of objectives in the following categories:

(1) Effectiveness and efficiency of operations;
(2) Reliability of financial reporting; and
(3) Compliance with applicable laws and regulations.

IO: In SAP, an Internal Order

IRB: Institutional Review Board. A body, required under Federal regulation, which oversees research involving human subjects.

Key Personnel: The personnel considered to be of primary importance to the successful conduct of a project. The term usually applies to the Principal Investigator(s), but may extend to other senior members of the project staff.

Matching Funds: See cost sharing. Financial contribution by the university required by a granting agency as a condition for receiving a contract, grant, or award. A form of cost sharing at a significant level, for example, two Federal -to-one non-Federal or one Federal to one non-Federal.

MTDC: Modified Total Direct Costs. Per A-21, the base of costs to which the negotiated F&A rate is applied.

NACUBO: The National Association of College and University Business Officers. Here is the contact information:

One Dupont Circle, NW, Suite 500
Washington DC 20036
(202) 861-2500
http://www.nacubo.org

NASA: National Aeronautics and Space Administration.

NCI: National Cancer Institute. Part of the National Institutes of Health (NIH).

NCRR: National Center for Research Resources. Part of the National Institutes of Health (NIH).

NAS: National Academy of Sciences.

NCURA: The National Council of University Research Administrators. Here is the contact information:

One Dupont Circle, NW, Suite 220
Washington, DC 20036
(202) 466-3894
http://www.ncura.edu

New Award: An award not previously awarded, or a renewal or continuation award treated as a new award by the sponsor and given a new agency number.

New and Competing Proposals: Proposals submitted for the first time and thus competing for funding, or ongoing projects that must re-compete for funding prior to the expiration of the original award.

NIH: National Institutes of Health.

No-cost Extension: An extension of the period of performance beyond the expiration end date established in the terms of the award to allow the principal investigator to finish a project. No additional funding is provided.
Non-Competing Renewal: A renewal applied to a continuing project, i.e., one that need not compete with other projects for funding.

OED: Office for Organization and Employee Development.

Organized research: Per A-21, means all research and development activities of an institution that are separately budgeted and accounted for. It includes:

(1) Sponsored research means all research and development activities that are sponsored by Federal and non-Federal agencies and organizations. This term includes activities involving the training of individuals in research techniques (commonly called research training) where such activities utilize the same facilities as other research and development activities and where such activities are not included in the instruction function.
(2) University research means all research and development activities that are separately budgeted and accounted for by the institution under an internal application of institutional funds. University research, for purposes of this document, shall be combined with sponsored research under the function of organized research.
OSP: Office of Sponsored Programs.

Other sponsored activities: Per A-21, means programs and projects financed by Federal and non-Federal agencies and organizations which involve the performance of work other than instruction and organized research. Examples of such programs and projects are health service projects, and community service programs. However, when any of these activities are undertaken by the institution without outside support, they may be classified as other institutional activities.

Overhead: See F&A costs.

Pass-through entity: Per A-133, means a non-Federal entity that provides a Federal award to a subrecipient to carry out a Federal program.

Peer Review: A system of technical evaluation of competitive proposals submitted for funding. A peer review uses reviewers who are the professional equals of the principal investigator or program director responsible for directing or conducting the proposed project. Peer review is a form of objective review. It is legislatively mandated in some programs, and administratively required in others.

Period of Performance: In a sponsored award, the time period during which the proposed work will be completed and the funds awarded are available for expenditure by the recipient.

PHS: Public Health Service.

PHS 2590: An application for the continuation of a PHS grant (National Institutes of Health).

PHS 398: An application form for a PHS grant (National Institutes of Health).

PHS 416-1: An application form for an NRSA (fellowship or training grant).

PI (Principal Investigator): The individual responsible for the conduct of research or other activity described in the proposal for an award.

Post-differential Allowance Expenses: Expenses authorized for employees based abroad to provide additional compensation for services as a recruitment and retention tool. When the allowance is authorized, the employee's base salary is increased accordingly.

Post-doc: Postdoctoral Associate or Fellow

Pre-award Costs Authorization: Authorization to incur allowable expense (sometimes up to a specified limit) on a project within a limited period before the award is made by the sponsor.

Pre-doc: Predoctoral (graduate student)

Preliminary Proposal: see “Pre-proposal.”

Pre-proposal: A brief description (usually 2-10 pages) of a research plan and estimated budget. The pre-proposal is sometimes submitted to determine the interest of a potential sponsor prior to submission of a formal proposal. A pre-proposal is also known as a preliminary, initial or Phase I proposal.

Prior Approval: Per A-110 written approval by an authorized official evidencing prior consent. Prior approval is required to significantly change aspects of the program from those originally proposed and approved and to meet other requirements specified in the agreement terms.

Priority Score: A score derived from the rating given to a research proposal by each member on a review committee. The score is used to help determine which approved proposals will be granted awards, based on funds available.

Program Announcement: A document describing a research opportunity from a funding agency. It may describe new or expanded interest in a particular extramural program, or it may be a reminder of a continuing interest in an extramural program.

Program Income: Per A-110, means gross income earned by the recipient that is directly generated by a supported activity or earned as a result of the award.

Program/Project Officer/Technical Representative: An individual designated by a sponsor as responsible for the technical, scientific, and/or programmatic aspects of a particular award. A program/project officer serves as the sponsor’s counterpart to the principal investigator or project director of the grantee and contractor organization. He or she deals with the grantee or contractor organization staff to assure programmatic progress. He or she is not authorized to change the terms of the award—these actions require an award modification executed by the Grant or Contract Officer.

Progress Report: Scheduled reports required by a sponsor summarizing progress to date. Technical, fiscal, and invention reports may be required.

Project Period: Per A-110, the period established in the award document during which Federal sponsorship begins and ends. The project period may consist of one or more budget periods. (See also Budget Period.)

Property: Per A-110, unless otherwise stated, real property, equipment, intangible property and debt instruments.

Proposal: An application for funding that contains all the information necessary to describe a project’s plans, staff capabilities, and the funds requested. Formal proposals are developed by a principal investigator and are officially approved and submitted by an organization.

Proposal Summary Form: This is an OSP proposal form used to facilitate and document the routing and review of proposal. For more information, see Proposal Preparation.

RA: Research Assistant (graduate student)

Rebudget: The act of amending a budget by moving funds from one category or line item to another; also called Budget Adjustment.

Recipient: Per A-110, means an organization receiving financial assistance directly from Federal awarding agencies to carry out a project or program. The term includes public and private institutions of higher education, public and private hospitals, and other quasi-public and private non-profit organizations such as, but not limited to, community action agencies, research institutes, educational associations, and health centers. The term may include commercial organizations, foreign or international organizations (such as agencies of the United Nations) which are recipients, subrecipients, or contractors or subcontractors of recipients or subrecipients at the discretion of the Federal awarding agency. The term does not include government-owned contractor-operated facilities or research centers providing continued support for mission-oriented, large-scale programs that are government-owned or controlled, or are designated as federally-funded research and development centers.

Research and Development: Per A-110, means all research activities, both basic and applied, and all development activities that are supported at universities, colleges, and other non-profit institutions. "Research" is defined as a systematic study directed toward fuller scientific knowledge or understanding of the subject studied. "Development" is the systematic use of knowledge and understanding gained from research directed toward the production of useful materials, devices, systems, or methods, including design and development of prototypes and processes. The term research also includes activities involving the training of individuals in research techniques where such activities utilize the same facilities as other research and development activities and where such activities are not included in the instruction function.

RFP (Request for Proposals): A request by a sponsor for proposals for a given objective.

RFP (Request for Payment): RFP is also a request for payment handled through the MIT Controllers Accounting Office.

RFQ (Request for Quotations): A standard request for price quotations from competing procurement sources.

RSO (Research Subaward Office): The MIT office that oversees research subawards.

S&W (Salaries and Wages): Payments made to MIT employees for work performed.

SBA: Small Business Administration.

SBIR (Small Business Innovation Research): The Federal Small Business Innovation Research program promotes research and development by domestic small businesses.

Scope of Work: The description of the work to be performed on a project.

Senior Personnel: Professional personnel who are responsible for the scientific or technical direction of project.

Sole source acquisition: Per FAR, means a contract for the purchase of supplies or services that is entered into or proposed to be entered into by an agency after soliciting and negotiating with only one source.

Solicitation: Per FAR, means any request to submit offers or quotations to the Government. Solicitations under sealed bid procedures are called "invitations for bids." Solicitations under negotiated procedures are called "requests for proposals." Solicitations under simplified acquisition procedures may require submission of either a quotation or an offer.

Sponsor: The organization that funds a project via award of a contract, grant or cooperative agreement, or other agreement.

Sponsored agreement: Per A-21, means any grant, contract, or other agreement between the institution and the Federal Government.

SRA: Society of Research Administrators. Here is the contact information:

1901 North Moore Street
Suite 1004
Arlington, VA 22209
(703) 741-0140
Info@srainternational.org

Stipend: A payment made to an individual under a fellowship or training grant in accordance with pre-established levels. A stipend provides for the individual's living expenses during the period of training. Does not incur E.B.

STTR (Small Business Technology Transfer): The Federal Small Business Technology Transfer program promotes research and development by domestic small businesses in cooperation with institutions of higher education.

STIS (Science and Technology Information System): an on-line search system of the National Science Foundation.

Subaward (also called subcontract or subgrant): A secondary award directed to cooperatively working with a third party to carry out the program for which a primary award has been granted. In other words, a subaward agreement allows an additional party to complete a portion of the work described in the proposal for a primary award.

Under a sponsored project a recipient also needs to acquire goods and services in order to carry out the project for which funds have been granted. This is a vendor relationship, and is not characterized by a cooperative effort to carry out the objectives of the project, but does require the acquisition of goods and services by the recipient. Using these definitions, for example, consulting contracts are vendor-type relationships and handled by the Procurement Office.

In most cases, distinctions between these two types of activities are relatively easy to make. For example, in a subaward agreement:

The Subawardee has its performance measured against its portion of the scope of work of MIT’s program;
The Subawardee has responsibility for programmatic decision making;
The Subawardee has responsibility for adherence to applicable program compliance requirements (i.e.: OMB Circulars, regulations of Federal and Not-for-Profit Entities, etc);
The Subawardee uses the funds to carry out a portion of the scope of work of MIT’s program as compared to providing goods or services for MIT’s program; and
The Subawardee’s principal investigator/project director may be a co-author on publications or may seek patent protection for inventions.

For more information on subawards, visit OSP’s web site detailing policies and procedures for Research Subawards.

Subcontract: An agreement or secondary contract in which a third party agrees to perform some of the activities defined in the proposal for an award. A subcontract relationship is generally described at the time of proposal submission but not consummated until after the award has been made to the organization submitting the primary proposal.

Supplemental Proposal: A request to the sponsor for additional funds for an ongoing project during the previously approved performance period. A supplemental proposal may result from increased costs, modifications in design, or a desire to add a closely related component to the ongoing project.

Suspension of an award: Per A-110, an action by a Federal awarding agency that temporarily withdraws Federal sponsorship under an award, pending corrective action by the recipient or pending a decision to terminate the award by the Federal awarding agency.

Taxpayer Identification Number (TIN): Per FAR, means the number required by the IRS to be used by the offeror in reporting income tax and other returns. The TIN may be either a Social Security Number or an Employer Identification Number.

TDC: Total Direct Costs. The total of all direct costs of a project. See Direct costs.

Termination: Per A-110, means the cancellation of Federal sponsorship, in whole or in part, under an agreement at any time prior to the date of completion.

Terms of Award: All legal requirements imposed on an agreement by the sponsor, whether by statute, regulation, or terms in the award document. The terms of an agreement may include both standard and special provisions that are considered necessary to protect the recipient’s and sponsor's interests.

Testbed: An experimental proof of concept, technology demonstration, or pre-prototype.

Third party in-kind contributions: Per A-110, means the value of non-cash contributions provided by non-Federal third parties. Third party in-kind contributions may be in the form of real property, equipment, supplies and other expendable property, and the value of goods and services directly benefiting and specifically identifiable to the project or program.

TLO (Technology Licensing Office): The Institute’s TLO manages the patenting, licensing, trade marketing, and copyrighting of the intellectual property developed at MIT, Lincoln Laboratory, and the Whitehead Institute. The TLO serves as an educational resource on intellectual property and licensing matters for the MIT community.

Total Project Costs: The total allowable direct and indirect costs incurred by an organization to carry out an approved project.

Unallowable cost: Per FAR, means any cost that, under the provisions of any pertinent law, regulation, or contract, cannot be included in prices, cost-reimbursements, or settlements under a Government contract to which it is allocable.

Underrecovery: (see F&A Underrecovery).

Unexpended balance: The portion of the funds authorized by the awarding entity that has not been expended by the recipient and is determined by deducting the cumulative expenditures from the authorized total.

Unsolicited Proposal: A proposal submitted to a sponsor that is not in response to an RFP, RFA, or program announcement. (See also Investigator-Initiated Proposal.)

Vacation Accrual: See Employee Benefit Rates.

Vendor: Per A-133, means a dealer, distributor, merchant, or other seller providing goods or services that are required for the conduct of a Federal program. These goods or services may be for an organization's own use or for the use of beneficiaries of the Federal program.

WBS Element: A WBS (Work Breakdown Structure) element is a cost object that collects expenses and revenues related to sponsored projects. Many projects have several WBS elements associated with them, forming a WBS hierarchy.

Last updated 9/9/03