Sponsored Programs Basics

What Is a Sponsored Project?

A sponsored project is defined as an activity that is sponsored, or funded, by an external organization, such as a federal, state, or private organization or agency.

The characteristics of a sponsored project include:

• Specific scope of work or set of specific aims
• Financial accountability and/or reporting; the funds must be separately budgeted and accounted for
• Specific period of performance
• Deliverables, including a final technical report
• Disposition of property

Classification of Sponsored Projects

Sponsored projects are classified into one of three categories of University functions; these categories affect the calculation of MIT’s Facilities and Administrative (F&A) Rate:

• Organized Research
• Instruction or Sponsored Instruction
• Other Sponsored Activities

Types of Sponsored Awards

Sponsored awards may be made by using a variety of mechanisms, each with varying levels of expectation and involvement on the part of the sponsor.

How Are Sponsored Projects Generated?

MIT Policy and Federal Regulations

• OMB Circulars
  • Unallowables
• Types of Costs
  • Direct Costs
  • Facilities and Administrative Overhead (Indirect) Costs
    • Description of F&A cost pools
    • Fund account overhead costs
    • Determinants of on-campus or off-campus rate
    • Non-Research F&A rates and project accounts

Key References:

• Link to VP for Finance Unallowables
• Link to Office of Sponsored Programs Reference Manual (PDF)
  
• Link to Current F&A Rate Agreement and historic rate table
• EHS Role in MIT Grant Writing Process