Keyword Search
Finance and Administration 〉 Finance 〉 Post Award Accounting 〉 Uncollectible Restricted Accounts

Uncollectible Restricted Accounts

    • Last Updated: 06/13/2017
    • Effective Date:

    Policy Statement

    There is no formal policy statement for this topic however procedures and other information are provided below.

    Reason for policy

    To ensure the timely collection of funds due to the University

    1. Accountant/Grants Accounting Specialist (GAS) completes invoice and signs the invoice for mailing if no changes are required. If there are changes to the invoice, the Accountant or Grants Accounting Specialist (GAS) completes the invoice and forwards to the Billings/Receivable Manager for certification. After certification, invoices are then forwarded to the Front Desk Staff for mailing. 
    2. At 60 days from the date mailed (90 days system date/ 90 to 120 days on Aging of Restricted Accounts Receivable list), the Accountant or Grants Accounting Specialist (GAS) responsible for the current period invoice will follow up on outstanding invoices by contacting the agency. Any correspondence or phone call information is recorded on the Collections or Receivables spreadsheet on the J drive under the correct desk number. If a letter is written to the agency a file copy is retained. 
    3. At 120 days (Over 120 days on Aging of Restricted Accounts Receivables list) the Billing/Receivables Manager follows up by contacting the agency. Any correspondence is recorded on the j drive under the collections on the Receivables spreadsheet under the correct desk number and a copy of the letter is filed. 
    4. At 150 days, the second contact by the Billing/Receivable Manager is sent to the agency and listed on the Collection for Receivables spreadsheet under correct desk number. 
    5. At 180 days, the Manager contacts the agency again and continues to document follow-up efforts on the Collections for Receivables spreadsheet. At this time the PI and Dept Head are also contacted. 
    6. At 210 days the Manager notifies the Director with regards to determining the next step needed in handling the receivable. 


                        January          February               March                  April                 May

                         Current        30 days from     60 days from     90 days from    120 days from

                        Period         Date Inv Sent    Date Inv Sent    Date Inv Sent    Date Inv Sent 

                                      (30 to 60 days)  (60 to 90 days)   (90 to 120 days)   (120 & Over)


       7.   OSP may use a research agreement with more aggressive and predictable billing terms.  This alternative research agreement format is available for for-profit companies at risk for bankruptcy and start-ups.  The use of this agreement (with accelerated billing terms), is determined by the Grants Officer in OSP.  Once the agreement is executed, Post Award Accounting will employ the following timeline for receivables follow-up: 

        a.    All Predetermined Invoices (excluding those dependent upon confirmation of task completion) are mailed within the first two weeks of the month in order to establish a reliable beginning aging cycle.

        b.   If the payment due from the agency is 60 days or more past due on invoices from for-profit companies, the Billings/Receivable Manager will notify both the PI and OSP, as well as the agency.

       c.   These past due accounts will be reviewed on a case by case basis, and monitored closely for collectability.

    Additional contacts

    Gail Chester

    Phone Number: 706-542-9230

    Responsible University Senior Administrator: Vice President for Finance & Administration

    Responsible University Administrator: Associate Vice President and Controller

                Policy Owner: Post Award Accounting

                Policy Contact: Gail Chester

                Phone Number: 706-542-9230
    Record Retention

    This series provides a record of the establishment and administration of individually sponsored grant and contract restricted funds accounts, documents compliance with fiscal reporting requirements, and includes billing information for accounts receivable from sponsoring agencies and from departments for gift account fees. Grants may be federal, state, corporate, or private. This series may include but is not limited to: project summaries; grant authorizations; contract documents; project budget change and adjustment forms; invoices; receipts; cashier's receipts; equipment purchase orders; prior approval request forms; account request forms; vendor telephone contact logs; subcontracts; grants and contracts monthly budget summary statements; institution billings balance sheets; reports for sponsored programs post award accounting that are operating on direct payments; final financial reports; property reports; patent/invention reports; contractor's release report; assignment of refunds and rebates documents; equipment disposition reports; and related documentation and correspondence.

    Record Copy: Institutional Archives; Post Award Accounting

    Retention: Contracts, patents, and agreements for use of research outcomes: Permanent. All other accounting records: 7 years after final financial report is submitted and the account is closed, unless otherwise specified as longer by the terms of the contract

    Citation or Reference: OMB Uniform Guidance; BOR Research Grant Records 0472-09-006