Financial Compliance
The information below describes what you need to think about when KI is a subawardee recipient of US federal funding, for example, funding from the NIH, DoD, and CDC.
Financial terms and conditions
The financial terms and conditions and any special requirements for the budget, the indirect cost coverage, the carry-over, etc, of the subaward are defined in the Notice of Award (NoA) and the subaward agreement. For many projects, co-financing from the department is needed. In addition to these requirements, the KI internal policies must always be followed with no exceptions.
Timesheets and Level of Effort Report
The PI and the key personnel are also requested to report the number of worked hours or effort within a project needs to be reported. CDO will contact the PI and the key personnel providing the reporting forms. In case a researcher receives both US federal and EU funding, then the researcher is requested to complete timesheets.
Financial reporting and invoicing
KI uses an internal financial report template, which includes, the invoice template, the budget overview, and the transactions list.. The invoice template can be used when requesting funding from the prime institution. The CDO project management is in continuing communication with the controllers at the department and provides all the necessary information and documents for the financial management of the award.
Audits
All federal projects are required to carry out a financial audit within 90 days of the end of each financial period. Ernst &Young are procured to carry out these audits.
Beyond that, the US federally funded research projects are subject to the annual single audit. The annual single audit is a United States (US) funding condition that requires any organization that spends $1 million or more (per year) for projects funded by US agencies (NIH, CDC).
KI has surpassed this threshold and, therefore, needs to complete a single audit annually to comply with US regulations.
The objective of the annual single audit is to determine if an organization has complied with funder and US regulatory requirements and to set standards for consistency and uniformity of US project management. The single audit not only examines specific projects, but will also examine KI as an organization overall.
The auditors will select a percentage of KI US projects for examination based on their risk assessment, typically focusing on large, high-risk, and/or new programs.
The CDO will contact each institution in case the project is chosen to be audited to provide more information about audit preparation. Also, the CDO manages and covers the cost of the Single Audit
The US post-award team can assist you and answer any questions you have related to your subaward. You can reach the US post-award team at compliance@ki.se