Billing and Collections

Icon for BillingBelow is information regarding Contracts and Grants Accounting (CGA) billing and collections procedures.

Billing Responsibilities

CGA is responsible for billing for sponsored projects. This includes preparation and submission of both invoices and Letter of Credit drawdowns of Federal funds. The only exception to this are clinical trials for which most invoices are submitted by departments.

Departmental research administrators are responsible for timely review of project costs to ensure that expenditures are appropriate and in accordance with the terms and conditions of the awards and approved project budgets. For invoices that require special backup – and/or reporting of cost sharing – departmental research administrators work with C&G on preparing proper documentation and timely invoice submittal.

Award Types

Agencies specify the award type, which falls into one of two categories:

  • Cost Reimbursable
    The University is entitled to collect only an amount that is equal to allowable expenditures and not more than the award amount. To confirm the accuracy of the expenditures, C&G certifies on each payment request that the expenditures, disbursements and cash receipts are for the purposes and objectives set forth in the terms and conditions of the award.
  • Fixed Price
    Regardless of project cost, the University is entitled to be paid the full award amount after it meets all award terms.

Billing Methods

For most Federal awards using a Letter of Credit drawdown of funds, expenditures are reported to the agency once or twice each month and electronic transfers take place to cover the costs. Awards not subject to the Letter of Credit drawdown of funds may require for an invoice to be submitted monthly or every few months, and in some cases payment requests are based on a payment schedule which is specified in the award.

Fixed price awards may require completion of a task or a milestone before an invoice can be submitted to the sponsor.

collections iconCollections

CGA handles the majority of collections and ensures that payments are received and applied correctly. Sponsor payment delays are communicated with departments. In many cases resolving difficult collection issues requires a collaborative effort.

Departments should regularly review the Undistributed Cash Deposits, which is a list of payments that have been received but not recorded to benefiting projects due to a lack of proper information.

Have Questions?

For help with billing and collection issues, please contact the CGA Accountant responsible for the specific award: