Chapter 4: Setting Up the Project
Section 4.4: Establishing Subawards

Since the subrecipient will be making significant and independent decisions, a formal agreement is necessary to outline the terms and conditions the subcontractor must follow.  Many of the prime award's terms and conditions will be incorporated into the subcontract.

If no subaward was planned at time of proposal, contact your grant administrator.  The GA will evaluate the award document or contract and may consult with sponsor before approving.

 Grant administrators need several items to prepare the subcontract agreement:

• Workscope narrative (to be included in subaward)
• Technical/financial reports (including payment instructions and due dates)
• Approved budget (if different than proposal)
• Name/address, phone and e-mail of Collaborator’s PI (Project Director) and administrative contact (Sponsored Projects office.)
• Subaward performance period (if different than prime award)

• If your our prime award allows for automatic carry forward of unspent funds from one budget period to the next; do you want to provide this same process for the Collaborator?
• Other information as needed

The SPA grant administrator will prepare and negotiate the subcontract and forward it to the PI for review.  Once the PI has approved, the GA will have it signed by both parties and a copy of the completed subcontract will be forwarded to the PI.  The GA will create a purchase order, encumbering the necessary funds in the project's account.