How to Facilitate Your Expenditures

Hiring Employees

The PI is responsible for initiating all hiring and payroll actions, as well as supervision of sponsored project outputs. All personnel must be compensated in accordance with University policy/procedure and job classification, salary/fringe rate and employment regulations for personnel employed on sponsored projects are the same as those established for all other employees of the University.

Sponsored Project Assignments for SCSU Faculty and Staff

Personnel costs for employees working on a sponsored project must follow the associated collective bargaining contract, institutional policies and procedures, and the sponsored project account will be charged the associated fringe/benefit costs. 

Action steps:

1. PI and employee (if someone other than the PI) must have the work assignment reviewed and approved by the employee's direct supervisor PRIOR to beginning sponsored project effort. 
   • Not all employees are eligible for additional pay since collective bargaining contracts have different criteria.
   • Often there is significant time between the proposal and implementation so the supervisor will reevaluate an employee’s workload at the implementation stage to determine if/how the associated work will be assigned.
2. Principal Investigator (or their delegate) submits sponsored project assignment details to RSP via the Compensation Request for Sponsored Projects.
   • Details to be submitted include project, account number, employee name, dates and time for associated assignment, description of work assigned (including if the assignment is on or offload).
   • For audit purposes, the details submitted through online sponsored project assignment will be retained with the award file.
3. Research and Sponsored Programs (RSP) reviews request to verify work alignment and expense is allowable and in alignment with award to SCSU.
   
   • Upon conclusion of the review, RSP will return/provide written approval of sponsored supported assignment to stakeholders. 

Important notes:

• The employee’s supervisor is the final decision-maker for work assignment request.

• If sponsored paid assignments are processed and paid without RSP’s review and later deemed unallowable, the expense becomes a financial liability of the originating school/college/area.

Hiring new employees for a sponsored project

Hiring Students

The PI is responsible for initiating all hiring and payroll actions, as well as supervision of all undergraduate and graduate students working on the sponsored project.

Students being paid by a sponsored project must be approved to do work and have work authorizations prior to work beginning.

Action Steps:

1. PI (also known as supervisor) reviews hiring handbook
   • Students paid hourly through student payroll; Student Employment Handbook 
   • Graduate assistantships with stipend and tuition remission; Graduate Assistantship Handbook
2. PI (and project team) prepares the position description, advertises position (Handshake recommended), and interviews candidates
3. Once a successful candidate is selected, PI references associated Handbook to proceed with their hiring steps: 
   1. Complete offer letter and acceptance process
   2. Have student complete hiring paperwork (I-9, W-4, etc.)
   3. Create work authorization, PRIOR to hours being worked 
      1. Student employment; setup work authorization in ISRS
         • PI can email Mark Wegge to get their delegate access to the student payroll for their award
      2. Graduate assistantships; through the Graduate Assistant Online System
4. Once authorized, students will need to submit timesheets for approval by the PI (supervisor)  

Hourly student employment

Graduate assistantships

Consultants/Contractors/Subawards

Sponsored projects often require experts from outside of the University, and an associated contract for work or services must be authorized and fully-signed before work begins.

Action steps:

1. PI completes and submits an Independent Contractor/Employee Status Form to Human Resources (HR) for contractor/employee status determination.
   • For subawards, work with Research and Sponsored Programs to get the subaward drafted.
2. PI requests State of MN Vendor # and a copy of contractor/subawardee Certificate of Insurance
   • Both are required for all common contract types
3. PI (or their delegate) creates a requisition in Workday and submits for review/approval 
   • Once the requisition is approved, the PI (or their delegate) is notified with the requisition #
4. PI (or their delegate) contacts Purchasing to share the requisition # and work with them to draft appropriate agreement
   •  To draft subawards, please work with RSP

 Common Contracts

Additional contract resources

Business and Travel Reimbursements

Business and travel expense reimbursement is the process by which the University reimburse their employees for approved business and travel expenses. 

Action steps:

1. PI (or SCSU employee, if someone other than the PI) gets approval for the business or travel expense by submitting their Spend Authorization in Workday -- needs to be completed BEFORE an expense occurs 
   • NEEDED FOR TRAVEL, the Travel Authorization Form must be completed 10 to 15 days prior to making travel arrangements. 
2. Once approved, the employee can proceed with the approved expense
   • Be sure to keep all receipts, paid invoices, and documentation
3. PI (or their delegate) submits the Expense Report in Workday to initiate reimbursement

Important Notes:

• Expense reports require multiple review/approval steps, including their supervisor for sponsored projects.
• Be sure to submit your reimbursements within 60 days of the transaction date, if this timeline is missed, the expense will be considered taxable per MinnState policy  

Additional business/travel reimbursement resources

Direct Purchasing of Supplies and Materials

When you purchase supplies and materials directly from a vendor or supplier, the University can pay the supplied directly for allowable expenses. 

Action steps:

1. PI verifies funds are available in the sponsored project budget to cover the expense.
2. PI works with their OAS or administrative support person to facilitated a direct purchase
   • Whenever possible, we recommend using a SCSU p-card as expenses can be charged directly to the associated sponsored project budget

Important Notes:

•  It can days, or even weeks, for a pending transaction to post to your sponsored project budget. Keep this in mind as you monitor and reconcile your budget.

Additional purchasing resources

Other Expenses

Scholarships for student tuition