An award may be issued as a grant, contract or cooperative agreement. The sponsoring agency designates the type of award to be made and provides an official document to obligate funds for the project. In accordance with federal regulations, a grant or cooperative agreement is issued when the project supports a public purpose. A cooperative agreement requires substantial involvement between the agency and recipient in carrying out the contemplated activity whereas a grant does not. Contracts are typically used when the principal purpose is the acquisition of property or services for the direct benefit or use of the agency.

A sponsoring agency makes the award to Tulane, not to an individual investigator. Since an award is a legally binding document, only certain individuals designated by the Board of Administrators are empowered to act on behalf of the institution. PIs, department chairs, and deans are not authorized to negotiate or sign on behalf of the University. Tulane reserves the right to decline any award which is not consistent with its practices and policies.

The Office of Research is designated as institutional representative of the uptown campus' and is responsible for securing authorized signatures on awards. It serves as the intermediary between an agency and the PI for purposes of negotiation, budget changes, modifications to an award, award date extensions, and other administrative matters. In consultation with the PI and/or Grants and Contracts Accounting, it reviews the award terms and conditions and the budget before obtaining authorized signatures. The Office of Research and the PI are responsible for ensuring University compliance with the terms and conditions of the award, as well as any applicable federal, state, and University regulations and guidelines.

Before an award is made, additional information may be required by the sponsoring agency. Any such request from a funding organization should be coordinated with the appropriate offices. A PI who receives notice that a site visit is proposed or a "best and final" offer is required should contact the Office of Research. If a budget revision is requested, it will generally involve a downward adjustment of the cost proposal with a "not to exceed" limitation. A PI may discuss project objectives or the ramifications of a budget adjustment with a sponsoring agency, but it is the responsibility of the Office of Research to formally negotiate with the sponsor and to commit the institution.

Upon notification of an award, an Award Action Approval Form is processed by the Office of Research and sent to Grants and Contracts Accounting, which will assign an account designated solely for the project. In most instances, this account will be used for the entire duration of the project. The Accounting Office requires a signature card to designate authority to approve expenditures against the account. This card is signed by the PI and anyone else designated as an authorized signatory.

Once an award is established, the PI should become familiar with the terms, the reporting requirements, and the approved categories of spending. The PI is responsible for ensuring that the project objectives are met and that the project conforms to the applicable rules and regulations (see Section V).

Unless approved by the Office of Research and/or the sponsoring agency, costs to a project cannot be incurred and/or paid prior to the effective date of the award. The Office of Research will, in certain circumstances, set up accounts without the actual award document if the sponsoring agency has confirmed that an award is to be made to the University. In such instances, the PI can initiate an Authorization to Establish an Account Form and an account number will be assigned. Any expenditures made against the account, however, are the department's responsibility if an award is not received and a deficit is incurred.