Read Me First – Financial Administration

Administrative Matters

Ownership of Items Purchased or Collected With Agency Funds

All equipment and material purchased or collected with Agency grant funds belong to the Institution and not to the individual Grantee. As custodian, the Institution is responsible for ensuring that the equipment is used to support the research program of the Grantee and Co-Grantees. Decisions on the use and management of the equipment should be made between the Institution and the Grantee or user group.

The Agency expects that the equipment will be made available to other faculty members and students for their research when not in use by the Grantee. The Institution may charge fees to these users to recover direct costs incurred.

Insurance must not be charged to the Agency's grants. It is the Institution's responsibility to insure all of its equipment and assets, including powered vehicles.

If Agency-funded equipment or vehicles are later sold, proceeds from the sale belong to the Institution and must be used for research-related purposes.

Collections or Specimens

Scientifically valuable collections of animal, culture, plant or geological specimens, or archaeological artifacts collected by a Grantee with Agency funds are the property of the Institution. They must be held in trust for the research community, which should have reasonable access to them. Such collections should be deposited as quickly as possible in an appropriate repository.

However, the Agency's policy on ownership of collections or specimens does not supersede any federal or provincial legislation on this issue.

The Agency's intention is not to restrict standard and recognized procedures of exchange of material and specimens between researchers and Institutions, but to better ensure their continuing good condition and future availability.

For additional details on the proper care, maintenance, ownership and eventual transfer of university-based collections, please refer to http://www.nserc.gc.ca/programs/framework_e.htm.

Paid Parental Leave

CIHR and NSERC only

On request, and if the Institution grants parental leave, the Agency will provide parental leave supplements paid out of grants within six months following the child's birth or adoption to eligible students and postdoctoral fellows who are paid out of Agency grants and who are primary caregivers for a child.

The supplement will be paid to students and fellows at their current level of compensation (NSERC) or appropriate minimum stipend (CIHR) for up to four months (NSERC) or six months (CIHR). If both parents are supported by Agency funds, each parent may take a portion of the leave for a combined maximum of four months (NSERC) or six months (CIHR). Students or fellows who are eligible for parental benefits from other sources do not qualify for parental leave supplements.

NSERC only

Students or fellows should contact the Office of Graduate Studies for information on paid parental leave.

CIHR only

The amount covering the leave will be added to the supervisor's grant.

The supplement must be requested at least 30 days in advance with a letter from the supervisor confirming the following information sent to CIHR:

• The dates of the leave
• The student or fellow will be the primary caregiver for the child
• He or she is not eligible for and will not be receiving employment insurance or other parental benefits from other sources
• The other parent has not received and will not be receiving employment insurance or other parental benefits before or during the period that the parental benefit is paid by CIHR
• During the leave he or she will not be engaged in his or her studies/research activities or employed in any capacity

SSHRC only

Parental leave supplements are not an eligible budget item for SSHRC grants.

Transferring Grant(s) to an Eligible Canadian Institution

NSERC and SSHRC only

The following documents should be forwarded to the Finance Division.

• From the Grantee:
  • notification stating the date of departure from the Institution
• From the former Institution:
  • a signed Statement of Account (Form 300) up to the date of departure
  • a detailed list of Outstanding Commitments (Form 303) made by the Grantee prior to the transfer, including employment contracts/agreements for research personnel
• From the new Institution:
  • a letter from the president of the Institution or his/her delegate, countersigned by the appropriate department head or dean, giving the date of appointment and academic status at the new Institution. The letter and signatures certify that the president of the Institution or his/her delegate agree to abide by all Agency policies and requirements

CIHR only

A Grantee may seek to transfer the grant to another Institution by forwarding a new, completed copy of page one and two of the Research Module, duly countersigned by the appropriate authorities at the new Institution and the principal applicant(s) on the grant. Note that co-applicants are not required to sign page two of the Research Module. The grant recipient must also submit a revised cover page (Page 1) of the Common CV (validated for CIHR) with the address of the new institution. The Grantee should include a letter stating the project title, an estimate of the remaining grant funds available at the current Institution and the effective date of the transfer. Under normal circumstances CIHR allows for each research grant to be administered at only one Institution. Arrangements will then be made to transfer a portion of the unexpended balance of the grant. The remainder of the unexpended balance will be transferred upon receipt of a final statement of expenditures from the business office of the Institution to which the grant was originally made.

The principal Grantee must notify any Co-Grantees to make their own arrangements regarding the allocation of funds.

Transfer requests between institutions will be considered during the funding period and the extension period (automatic one-year extension or other approved extension period). Requests for a transfer between a host institution and an affiliated institution (and vice versa) made during an extension period, however, will not be authorized.

Moving Equipment, Material or an Unexpended Equipment Grant

All equipment purchased with agency funds belongs to the Institution and not to the individual Grantee. If a Grantee is moving to another Canadian Institution and wishes to take an unexpended Equipment Grant (known as a Research Tools and Instruments Grant at NSERC), or to move equipment or other material purchased with grant funds, the former Institution may give permission for such a move. The agency encourages the Institution to accede to such a request, provided the equipment is not necessary to other researchers at that Institution. If the request is granted, the former Institution should inform the new Institution that such assets belong to the new Institution.

Termination Procedures

The Institution's Office of Research Services or Office of Financial Administration must immediately inform the Agency's Finance Division when a Grantee* ceases to be eligible to hold funding as outlined in the Agency's program guidelines, or is unable to carry out the research or research-related activities for which the grant was awarded.

* Any group/team grant for which the Grantee is the Principal Investigator (PI) may continue to be funded if the grant is transferred to an eligible Co-Grantee, subject to Agency approval.

NSERC and SSHRC only

The following documents must be submitted:

• A Statement of Account (Form 300) as of the date of termination
• A detailed list of Outstanding Commitments (Form 303) made by the Grantee prior to termination, including employment contracts/agreements for research personnel

No new commitments or expenditures may be authorized from the grant account after the date of termination.

The Agency may authorize a phase-out period for the payment of outstanding commitments or expenditures from funds remaining in the account.

The duration of a standard phase-out period is three to six months, but 12 months in the case of a Grantee's death.

SSHRC only

If the Grantee moves to another country before completing a research program or project for which the Institution has received SSHRC funding, any individual grant that the Grantee holds will be terminated. The sole exception is when the research program or project pertains to Canada, in which case the grantee will be permitted to complete the project with the funding as originally awarded. In such cases, the original Institution will continue to administer the grant.

CIHR only

When a grant is terminated, CIHR recognizes that a period of transition is often required to enable trainees supported by a grant to complete theses or to transfer to another supervisor, for research personnel supported by the grant to relocate, and for projects supported by the grant and already under way to come to a logical conclusion. In such cases, the Grantee (or Institutional official) must describe to the Agency the matters to be resolved, the time period and the funds required to do so, and what arrangements will be made (e.g., to continue supervision of students or the project if the Grantee will no longer remain on site). Ordinarily, this period of transition will not exceed one year. If the proposal is approved by the Agency, the Authorization for Funding will be modified to accommodate the revised requirements. At the end of this period, any remaining funds must be returned to the Agency. When unspent funds are returned to the Agency, the cheque must be accompanied by a Statement of Account (Form 300), signed by the grant recipient and the institution’s financial officer, indicating an unspent balance in the same amount as the refund. The grant is not renewable and there is no extension period.

Deferral of Instalment Payments of an Ongoing Grant

Government policy states that Federal Granting Agencies cannot pay instalments in advance of need; they can provide funds only to correspond with the cash flow requirements to conduct the research. If the grantee has a build-up of funds in his or her research account due to a slowdown or delay in the research, (for example, extended leaves [sick/maternity/parental leave], difficulty in hiring staff, etc.) and believes that the scheduled instalment for the next financial year will not be needed at that time, the grantee should defer the next instalment.

Deferring an instalment (NSERC & SSHRC) or annual commitments (CIHR) extends the life of the grant, allows the grantee to re-organize his or her activities and postpones the renewal/re-application date by the number of years he or she chooses to defer. The original grant end date is also adjusted accordingly. Deferring an instalment (NSERC & SSHRC) or commitments (CIHR) does not adversely affect the review of the grantee's next application, but rather demonstrates good fiscal management of his/her funds and provides the opportunity for the Agencies to fund other researchers who might otherwise not have been awarded funding.

NSERC and SSHRC only

The Agencies may defer or even cancel a grantee’s subsequent instalment if they judge that the grantee’s build-up of funds has not been properly justified and that the need for funds has not been demonstrated.

To defer an instalment, or for more information about this option, contact the Award Administration section at NSERC/SSHRC (awdad@nserc.ca or awdad@sshrc.ca). For CIHR, please contact the CIHR Finance Division at awardsfinance@cihr-irsc.gc.ca.

Any exceptions will be indicated in the program description of the agency.

Parental, Medical or Care and Nurturing Leave

CIHR and NSERC only

The Agencies recognize that extended leave granted by the Institution may have an impact on an individual's research program, and offer the following options with respect to research grants:

• When an extended leave of absence has been taken, the Grantee may request an extension of the duration of support of the current grant for up to six months (CIHR) and up to two years (NSERC), at a level up to but not exceeding the current amount; such a request must include a justification for the amount requested and be endorsed by the Institutional authorities (e.g., Department Head, Dean, etc.).
• The Grantee may request deferral of a grant instalment for up to one year (CIHR) and up to two years (NSERC).
• The Grantee may defer submission of a renewal application.
• The Grantee may compete for a research grant in the usual way.

NSERC only

For other NSERC grants, provided all parties agree, approval may be given to defer an instalment or extend the time required to complete a project owing to delays caused by parental, medical, or care and nurturing leave. Grantees must submit a request in writing to the appropriate program division at NSERC.

CIHR only

In the event that the proposed research continues while the Grantee is on leave, another investigator from the same Institution as the Grantee, who meets the eligibility requirements of the Agency, should be given the responsibility of monitoring the project and supervising the personnel working on the project during the Grantee's absence, and should be given signing authority for the grant. A letter from this investigator, confirming assent to assume this role, and a letter from an appropriate Institutional official confirming that the arrangements are in place, should be forwarded to the Agency in addition to the Grantee's request for leave.

SSHRC only

See the following section “Sabbatical and Other Leaves.”

Sabbatical and Other Leaves

NSERC only

The Grantee and/or the Institution must inform NSERC's Finance Division when a Grantee is away on a leave period of more than one year (sabbatical, unpaid leave, etc.) from his or her Canadian Institution.

Leave Periods of Up to One Year

• Grantees who are away on a leave period from their Canadian Institution for a maximum of one year continue to be eligible to hold and receive funding from their grant.

Leave Periods of One to Two Years

• Grantees who are on a leave period of more than one year, but spend a minimum of six months per year at an eligible Canadian Institution, continue to be eligible to hold and receive funding from their grant.

• Grantees who do not spend a minimum of six months per year at an eligible Canadian Institution are not eligible to continue to hold and receive funding from their grant. Funding in the second year will be pro-rated to the anniversary date and the remainder will be deferred. All subsequent instalments will be frozen until confirmation is received that the Grantee has returned to the Institution.

Leave Periods Extending Beyond Two Years

• If the leave period extends beyond two years, previous years deferred and all subsequent instalments will be cancelled and the grant terminated without a phase-out period.

  Note: The effective termination date will be the actual date when the second year of leave began.

SSHRC only

For Sabbatical Leaves

• SSHRC does not require that grantees give notice that they are taking a sabbatical leave. Grantees may continue to hold and receive funds from their grant during sabbaticals.

For Other Leaves (Illness, Maternity, Parental, Unpaid Leave, Etc.)

Leave Periods of Up to One Year

• Grantees who are away from their Canadian institution for a maximum of one year continue to be eligible to hold and receive funds from their grant.

Leave Periods of One to Two Years

• Grantees who are on leave from their Canadian institution for more than one year for non-research purposes are not eligible to continue to hold and receive funds from their grant. In the second year of the leave, funding will be deferred. All subsequent instalments will be frozen until the Agency receives confirmation that the grantee has returned to the institution at the end of the two-year period. The grantee’s institution must inform SSHRC’s Finance Division when a grantee has been given leave of more than one year and must forward this information before the end of the first year of the leave period.

Leave Periods Extending Beyond Two Years

• If the leave period extends beyond two years, the previous years’ deferred funding, as well as all subsequent instalments, will be cancelled and the grant will be terminated without a phase-out period. The effective termination date will be the actual date when the second year of leave began.

CIHR only

The same options/requirements apply to sabbatical leaves as to other leaves, except that no additional funds will be given to cover the period of the leave. Sabbatical leaves should not exceed one year if the Grantee wishes to continue to hold the grant.

Grant recipients wishing to continue their project during a period of sabbatical leave must, prior to their departure, provide CIHR with a suitable proposal outlining the provisions made for the operation of the project and supervision of graduate and postgraduate students. CIHR also requires a letter from the head of the department stating the date when the grant recipient is expected to return.

Residual Balances in Agency Accounts

NSERC and SSHRC only

• All grants paid to an Institution's common grant account are deemed to have a primary holder, namely the Grantee whose name appears on the award notice. The secondary holder is the president of the Institution administering the grant.
• All grants that have not been renewed or extended or that have had to be terminated, or project grants that have been completed may contain residual balances of funds allocated in prior years and/or issued in the current fiscal year. The Agencies will adjust their next payment to the Institution for any current-year funds not required for the purpose for which they were granted. The Agencies will allow residual funds from prior years to be retained by the Institution under certain conditions determined by their Finance Division. The Finance Division may authorize such funds to be transferred to a General Research Fund (GRF). These special NSERC and SSHRC accounts are held in trust by the Institution president for the broad purpose of enhancing the quality of research in the natural sciences and engineering, or in the social sciences and humanities.
• Any residual balances at the end of the grant for the Networks of Centres of Excellence (NCE) must be returned to the NCE Secretariat.

SSHRC only

For the following, any residual balances remaining at the end of the grant cannot be transferred to the General Research Fund (GRF) and must be returned to the Agency:

• Any Research Time Stipends (RTS) awarded through any program
• Any funds awarded through an Initiative on the New Economy (INE) grant
• Any funds awarded through the Connections (CHSSFC) program

CIHR only

Any funds remaining at the end of the Authority to Use Funds period must be returned to the Agency. When unspent funds are returned to the Agency, the cheque must be accompanied by a signed Statement of Account (Form 300), indicating an unspent balance in the same amount as the refund.

Please note that CIHR does not allow for the transferring of residual funds (unspent balances in grant accounts) between affiliated institutions during the "Authority to Use Funds" extension period. For further information regarding the transfer of grants to eligible Canadian institutions or organizations, refer to the Transferring Grant(s) to an Eligible Canadian Institution subsection of this section of the Guide.