F&A proposals are performed based on a specified fiscal year of actual historical expenditures, space, fixed asset depreciation, FTEs, and more. Fiscal year 2022 is UIC’s F&A rate proposal base year and we’ll need your assistance. The F&A rate proposals involve numerous projects that are all time intensive and will require various departments assistance on some of the related projects. Below briefly describes some of the projects we’ll need departments support with this year.
- Understanding the importance of coding financial data correctly – Throughout the year it is extremely important when making purchases to ensure you are coding the expense using the correct NACUBO/program code and account codes. We use the NACUBO and account coding to determine which cost pool the expenditure will go into in the F&A proposal. This is a process that should be done regularly but we ask that you operate with caution and precision as this is an F&A base year.
- Equipment by room review – When purchasing assets, we request units to code the items at the room level. We will review all assets that are coded at the department level and contact units requesting that they locate the equipment and provide a room number to be updated in FABWeb. Coding assets to a room rather than a department helps the University recover depreciation more accurately. This project will take place in Spring 2022.
- Space survey process – The space survey is used as the bases for the F&A proposal to allocate facilities costs (i.e. depreciation, interest, operations and maintenance). Assuring that units accurately capture their space is critical for a proper and compliant F&A proposal. The space survey will open in Spring 2022.
The F&A rate proposal which includes the above costs and data will be audited by the Federal government. As a result, University executive management places high importance on the above processes.
Please mark your calendars and watch for training announcements in the upcoming months.
Contact
If you have questions about F&A rates and the departments role in the process feel free to consult System Government Costing’s “Who to Ask” list to find an expert who can help.
