Account Closeout - Account Surpluses

Unlike cost-reimbursement arrangements, where expenditures are reimbursed after they are incurred, some granting agencies allocate funds at the beginning of the award period or as a firm, fixed price. When such an award expires leaving a surplus balance in the account, a determination must be made as to whether the remaining funds may be utilized. The decision belongs to the awarding agency, and is often communicated within the award notice. If the unrestricted balance results from a firm, fixed-price agreement, it is often available for the investigator to spend. In such cases, the balance will be transferred, net of indirect costs, to an unrestricted discretionary account for the Investigator. If surplus funds are required to be refunded to the agency, Grants and Contracts Accounting will return the appropriate balance once the final financial report is approved by the Investigator.