STANDARD PROCEDURES FOR REPORTING PROGRAM INCOME NIH GUIDE, Volume 22, Number 21, June 11, 1993 P.T. 34 Keywords: Grants Administration/Policy+ National Institutes of Health This notice provides detailed instructions for reporting grant- related program income on NIH grants and cooperative agreements using the long form version of the Financial Status Report (FSR). It is intended to clarify questions and concerns raised regarding reporting requirements. All general program income must be reported on the long form version of the FSR. With the exception of royalty or equivalent income earned from patents or inventions, certain special categories of program income described in 45 CFR Subpart F must also be reported on the FSR. The specific reporting requirements applicable to most NIH research grants and cooperative agreements for each type of program income is described below. General Program Income - As defined in 45 CFR Part 74, general program income is all program income accruing to a grantee during the period of grant support or to a subgrantee during the period of subgrant support, other than the special categories of program income listed below. General program income subject to the deduction alternative must be reported on line 10c, "Program income used in accordance with the deduction alternative," and line 10q, "Disbursed program income shown on lines c and/or g above." General program income subject to the additional costs alternative must be reported on lines 10r, "Disbursed program income using the addition alternative," and 10s, "Undisbursed program income," as appropriate. Total program income realized should be reported on line 10t as instructed. General program income subject to a combination of these alternatives must be reported accordingly, i.e., the first $25,000 should be reported on lines 10r and 10s, and income in excess of $25,000 should be reported on lines 10c and 10q. Costs (both direct and indirect) associated with generating program income which are deducted from the program income receipts when such costs are not already charged to the project should not be reported on the FSR. Proceeds from the Sale of Real Property and from Sale of Equipment and Supplies Acquired for Use - o Sale of Property - Section 74.134 of Subpart O, "Property," states that the disposition instructions of the granting agency shall be followed when real property is no longer to be used by the grantee or transferred to an eligible third party. o Sale of Equipment - Grantees subject to the requirements in 45 CFR 74.139, "Disposition of equipment," shall reflect income earned from the sale of equipment on the FSR if the grantee's project or program for which equipment was acquired is still receiving grant support. If authorized by the awarding unit, grantees may use the income for allowable costs of the project. This income would be reported on lines 10c/10q, 10r, or 10s in accordance with awarding unit authorized disposition. There are no reporting requirements for nonprofit institutions of higher education or nonprofit organizations whose primary purpose is the conduct of scientific research since they are not subject to the requirements in 45 CFR 74.139. o Unused Supplies - Grantees subject to the requirements in 45 CFR 74.141, "Unused supplies," should reflect any credit to the grant on lines 10c and 10q of the FSR. There are no reporting requirements for non-profit institutions of higher education or non-profit organizations whose primary purpose is the conduct of scientific research since they are not subject to the requirements in 45 CFR 74.141. Royalties and Other Income Earned from a Copyrighted Work - Where the terms of the Notice of Grant Award (NGA) do not specify disposition, no reporting of income is required on the FSR. Where the terms of the NGA govern disposition, this kind of income would be reported on FSR lines 10c/10q, 10r, or 10s in accordance with awarding unit authorized disposition. Royalties or Equivalent Income Earned from Patents or from Inventions - Where the terms of the NGA do not specify disposition, this kind of income should be reported to the Extramural Inventions Office, Office of Policy for Extramural Research Administration, on the annual utilization report. Where the terms of the NGA govern disposition, this kind of income would be reported on FSR lines 10c/10q, 10r, or 10s in accordance with awarding unit authorized disposition, as well as to the Extramural Inventions Office on the annual utilization report. Income After Grant or Subgrant Support Not Otherwise Treated - Unless specified in the terms of the NGA there are no reporting requirements for income accrued after the period of grant support ends. Questions regarding these instructions may be directed the Grants Management Office of the awarding NIH Institute or Center. The Long Form Financial Status Report is available upon request from the Federal Assistance Accounting Branch, National Institutes of Health, (301) 496-5287. .
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