Return of Grant Funds to OSF

If the grantee reports that they have unexpended funds remaining and an amendment isn’t going to be issued, the remaining funds should be requested to be returned. If the remaining funds are $200 and under, and the grantee wasn’t issued an Expenditure Responsibility grant, these funds can remain with the grantee and the grant can be closed. In all other cases the program staff should contact Grants Management to arrange for proper return of funds.

When grants management is notified that funds will be returned, a refund record should be created in the payment schedule. Grants management will reach out to Finance for the correct account information then provide program staff with the account information for the bank to which the grantee should return funds. Grantees should be instructed to include the grant ID in the wire notes, or check memo.

The grantee must return funds to the bank of the funding entity which awarded the grant. If the grantee returns funds to the wrong funding entity account, the funds will be returned to the grantee to be sent to the correct bank. OSF cannot transfer retuned funds between the banks of its various entities.

Once the funds have been received by the bank, Accounting will notify Grants Management to credit the funds in Foundation Connect. Refunds don’t need to be submitted to program directors for approval, and should be fully approved by Grants Management and Accounting. Once accounting approves the refund in Netsuite they will request that the grant be set to Financial Closed to trigger a reverse accrual.

Once the reverse accrual is triggered, the grant’s original budget code will be credited with the refund of funds. Program should speak with the Budget Office to access any returned funds for future spending. If there are no questions on the grant, the grant can be set to Closed.

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