Term
|
Definition
|
| Accounts
Payable |
Money owed to suppliers
|
| Accounts
Receivable |
Money owed by customers
to the corporation
|
| Accrual |
Is the process of
recording a transaction arising from goods received and accepted
or services performed by September 30 that would normally
not be recorded, in our normal processing cycle, until the
next fiscal year. Accruals are done so that UCAR can
comply with government regulations that require UCAR to accurately
reflect our financial position at the end of the fiscal year
in our audited financial statements.
|
| Actual
Rate |
An indirect cost rate
calculated based on actual costs and actual recovery applicable
to a specified past period. An actual rate is not subject
to adjustment.
|
| Allocable
Accounting Methodology |
Allocable accounting
is a method of accounting that is used when funding is received
from multiple sponsors on one proposal in support of a project
and the specific expenditures cannot be directly identified
with a specific sponsor's funding. The accounting method allocates
expenditures accumulated in a "primary" account
key to "secondary" account keys where the specific
sponsor's expenditures are captured. All allocations of expenditures
must be consistently and equitably applied based upon contract
provisions.
|
| Allocation |
The assignment of
an item of cost, or a group of items of cost, to one or more
cost objectives. This term includes both direct assignment
of costs and the reassignment of a share of costs from an
indirect cost pool.
|
| Asset |
Any possession that
has value in an exchange
|
| Book
Value |
Acquisition cost
of the asset less depreciation
|
| Broker |
A sponsor who acts
as an intermediary in gathering funding for a project
|
| Burn
Rate |
A means to measure
how quickly funding is being spent (i.e. the program's average
burn rate is $2,000 per month)
|
| Capital
Lease |
A lease obligation
which in essence is a purchase of the equipment
|
| Capitalized |
The recording of a
fixed asset on the general ledger of a company
|
| Carrying
Value |
Book Value
|
| Carryover
Funds |
Unexpended funds at
the end of each fiscal year, both committed and uncommitted,
which are then moved forward (carried over) on accounting
records for use in the next fiscal year
|
| Casual
Employee |
An employee who either
works on call (occasional and irregular hours) or is a Student
Assistant working up to 20 hours per week during the school
session and up to full-time during school breaks (Appointment
Code C)
|
| Chargeback
Center |
A Chargeback Center
provides a service or an activity of corporate-wide benefit
for internal convenience, is organizationally established
within its own contract, requires a charge rate to distribute
the total cost of the Chargeback Center, and is accounted
for as a distinct fully recoverable cost center. |
| Cognizant
Audit Agency |
The Federal agency
responsible for negotiating and approving indirect cost rates
on behalf of all Federal agencies. The National Science Foundation
(NSF) has been designated the cognizant audit agency for UCAR.
|
| Commitment |
Encumbrance
|
| Committed Carryover |
Represents goods and services planned or ordered, but not delivered or completed until the next fiscal year. It may also represent approved multi-year projects that extend over several years prior to completion. These committed funds are carried over via the fiscal year end budget process into the next fiscal year. |
| Computing
Service Center (CSC) |
A system established
within the framework of a "Specialized Service Center"
in OMB Circular A-122 to distribute division scientific computing
support costs to a division's program in an equitable, efficient
way
|
| Contractual
Authority |
Authority granted
directly by the President or through the Vice-President for
Finance and Administration to employees to commit the corporation
by signing contracts, grants, agreements, subcontracts, subawards,
consulting agreements, nondisclosure agreements, license agreements,
and other binding contractual instruments (for example, memorandums
of agreement and memorandums of understanding) that commit
or obligate the corporation. Note that this definition does
not encompass nonbinding memorandums of agreement and memorandums
of understanding that are simply agreements to cooperate.
(Only the President, Vice-President for Finance and Administration,
Associate Vice-President for Business Services, certain individuals
in the Contracts and Risk Management office, and others specifically
authorized have contractual authority.)
|
| Credit |
The decrease of an
expense or an increase in revenue
|
| CSC
|
Computing Service
Center
|
| Debit |
The increase of an
expense or a decrease in revenue
|
| Deobligation |
The relinquishing
of funds previously obligated by a sponsor
|
| Depreciation |
The amount allocated
each year to amortize an asset over its useful life.
An estimate of how much an asset has been used in a given
year.
|
| Direct
Cost |
A cost that can be
identified specifically with a particular final cost objective,
i.e., a particular award, project, service, or other direct
activity of the organization
|
| Discretionary
Funds |
UCAR private funds
used for approved activities that are not chargeable to program
funds but that are in UCAR's interest to support
|
| Encumbrances |
The setting aside,
earmarking, and, in some cases, actual obligation of funds
as the result of submitting a "Purchase Requisition,"
an offer letter of employment, or a "Travel Authorization"
(TA). Funds remain encumbered under these documents until
the goods or services are received and paid for, at which
time the encumbrance is converted into an expenditure. Funds
are also encumbered equivalent to the salaries and benefits
of all regular and part-time employees for the remainder of
the fiscal year, or until scheduled termination dates, as
appropriate. Employment encumbrances decrease during the fiscal
year as salaries are paid. TA encumbrances remain until a
trip is completed and a "Travel Voucher" is filed.
|
| Entity
General and Administrative (G&A) Rate |
An indirect cost rate
for a specific UCAR entity. Each entity generally will have
only one G & A rate; however, beginning in fiscal year
1994, UOP has calculated two G&A rates. One rate is applicable
to work performed at the Boulder site, and one rate is applicable
to work performed off-site.
|
| Equipment |
Fixed Assets of any
kind except real property (land, buildings, and their respective
improvements).
|
| Expense
Pass-Through |
An expense pass through
have actual costs are paid out of one account and later redistributed
to another account via a journal entry. The originating
cost center is known at the time of payment but distribution
at the time of payment is not feasible or efficient within
the accounting system. A chargeback rate is not required
because the actual costs that are redistributed can be identified
per the original document.
|
| Expensed
Payroll |
Salaries and wages
paid for time worked; excludes salaries and wages paid for
non-work time, e.g., holidays, vacation, sick leave, etc.
|
| Expenses
|
The cost of doing
business
|
|
Facility |
A Facility provides
a service or specialized activity essential to UCAR's scientific
mission which enhances UCAR's ability to do science and is
organizationally housed within a direct funded scientific
program. A charge rate to distribute direct costs of
Facility activity is required and is accounted for as a distinct
direct cost recoverable center.
|
| FASB |
Financial Accounting
Standards Board. Sets accounting standards for US businesses.
|
| Fee |
A Management Fee
|
| Final
Cost Objective |
A cost objective which
has allocated to it both direct and indirect costs, and, in
the contractors accumulation system, is one of the final accumulation
points. (definition per CAS, Chapter 9.07)
|
| Fixed
Asset |
An item of tangible,
non-expendable personal property which 1) has a acquisition
cost of $5,000 or more, 2) an expected useful life of at least
one year, and 3) will retain its identity throughout the useful
life.
|
| Fixed
Rate With Carry forward Provision |
An indirect cost rate
applicable to a specified current or future period, usually
the organization's fiscal year. The rate is based on an estimate
of the costs to be incurred during the period. The difference
between the estimated costs used to establish the rate and
the actual costs of the fiscal year covered by the rate is
carried forward as an adjustment to the rate computation of
a subsequent period.
|
| Foreigner |
An individual is a
foreigner if they are not a U.S. citizen. These individuals
may be in this country on one of several types of visas and
may or may not have a U.S. social security number.
|
| Formal
Rates |
Internal Chargeback
rates which are submitted to NSF for approval. NSF approves
both the methodology and the rates.
|
| Funds
Available |
Awarded Funds less
expenditures and encumbrances
|
|
GAAP |
Generally Accepted
Accounting Principles. A technical accounting term that
encompasses the conventions, rules, and procedures necessary
to define accepted accounting practice at a particular time.
|
| General
Purpose Equipment |
Equipment which can
be used for other than research, medical, scientific or technical
activities, whether or not special modifications are needed
to make them suitable for a particular purpose
|
| Honorarium
|
An honorarium is
an amount of money paid to an individual (not a UCAR or Federal
Employee) for services performed. This may include, but is
not limited to, visitor lecturers, instructors, editing and
other contributions to publications, speakers, translators,
foreigners assisting with foreign meeting plans, etc.
|
| Income |
The difference between
revenue and expenses
|
| Indirect
Cost Pool |
Grouping of incurred
costs identified with two or more cost objectives, but not
identified specifically with any final cost objectives. Each
grouping constitutes a pool of expenses that are of like character
in terms of the functions they benefit and in terms of the
allocation base which best measures the relative benefits
provided to each function.
|
| Indirect
Cost Proposal |
The documentation
prepared by an organization to substantiate its claim for
the reimbursement of indirect costs. This proposal provides
the basis for the review and negotiation leading to the establishment
of the organization's indirect cost rate. The Indirect Cost
Proposal prepared for UCAR is submitted to NSF, its' cognizant
audit agency, on an annual basis.
|
| Indirect
Cost Rate |
A ratio, expressed as a percentage or dollar unit value derived
via the allocation of the allowable indirect expenses to an
appropriate base (e.g., Modified Total Direct Cost (MTDC),
gross assignable square footage, expensed payroll, etc.) Calculation
of the rate is as follows:
Indirect Cost Pool / Applicable Allocation Base = Indirect
Cost Rate
|
| Indirect
Cost Variance |
The difference between
the actual cost of an indirect cost pool and the indirect
cost recovery for a fiscal year. Indirect cost variances,
either positive (over recovery) or negative (under recovery)
are carried forward to the next "rate determination fiscal
year" for adjustment of that year's rate. For example,
FY1997 variance is carried forward as an adjustment to the
FY1999 rate computation.
|
| Indirect
Costs |
Costs that are incurred
for common or joint objectives, cannot be readily identified
with a particular final cost objective, and are treated consistently
with other costs incurred for the same purpose in like circumstances.
They are costs that benefit more than one final cost objective,
and must be allocated equitably to each benefiting cost objective.
Indirect costs are reimbursed based on an organization's
approved indirect cost rates.
|
| Informal
Rates |
Internal Chargeback
rates for which NSF reviews the methodology but does not approve
the rates as part of the formal submission
|
| Intergovernmental
Personnel Assignment (IPA) |
An agreement between
UCAR and an U.S. government agency used to assign a government
employee to work at UCAR, or to assign a UCAR employee to
work for a government agency
|
| Inventory |
Items being held for
sale
|
| Invoice |
A bill to the customer
for services or goods received
|
| IPA
|
Intergovernmental
Personnel Assignment
|
| Liability |
A financial obligation
or debt that must be made at a specific to satisfy the contractual
obligation
|
| Loaded
Rates |
Chargeback rates include
the entity overhead in the markup and therefore, does not
incur overhead later
|
| Management
Fee |
A fixed amount calculated
as a percentage of projected MTDC plus Applied Entity G&A
costs
|
| Modified
Total Direct Cost (MTDC) |
MTDC is total direct
costs less the cost of equipment, less participant support
costs, less interagency personnel agreements, less the amount
in excess of $25,000 per fiscal year expenditures on each
purchase order or subcontract, less severance and negotiated
agreement costs, and less fully loaded facility use and GAU
chargebacks.
|
| MTDC
|
Modified Total Direct
Cost
|
| Non-work
Time |
Paid absences including
holidays, vacation, sick leave, jury duty, educational time,
and facility shutdown
|
| Off-site
Rate |
Entity G&A rate
in UOP applicable to salary and benefits of employees who
are not located on-site
|
| Overspending |
The
condition that exists when expenditures and encumbrances (legal
and binding obligations) exceed awarded funding for an agreement.
|
| Participant
Support Costs |
Participant support costs are direct costs for items such
as stipends or subsistence allowances, travel allowances,
and registration fees paid to or on behalf of participants,
trainees, or speakers (but not employees), in connection with
meetings, conferences, symposia, or training projects. These
costs are allowable as direct costs with prior approval of
the awarding agency. Participant support costs shall be generally
excluded from the MTDC base (per A-122, Attachment B, paragraph
34; Attachment A, paragraph D.3.f). |
| Period
of Performance |
The period of time
in which a sponsor allows expenditures for a particular project
to be completed
|
| Pooling |
Pooling is a combination
of resources to achieve some common purpose
|
| Prespending |
The condition that
exists when a program needs to begin to incur costs in order
to timely accomplish its proposed statement of work. The program
obtains approval to make expenditures in advance of receiving
a final agreement for the proposed work. |
| Primary
account key |
The primary account
key is the account key that holds expenditures and encumbrances
for a series of account keys that are funding the same project.
The purpose of the primary key is to collect all expenditures
including overhead, benefits and computing service center
costs, which will then be allocated equitably to the secondary
keys.
|
| Purchase
Order |
The completion of
the purchase requisition
|
| Purchase
Requisition |
The request by UCAR
staff members for Contracts to initiate the purchase of off-the-shelf
materials, supplies, and services or to establish blanket
purchase orders
|
| Reprogramming |
Reallocating funds
in a manner different from the original proposal submitted
to the sponsor. Reprogramming requirements may be defined
within an agreement's terms and conditions. In some cases,
reprogramming may require sponsor approval. |
| Requisition
Authority |
Authority granted
to employees to approve an expenditure of funds up to a specific
dollar limit from an account or accounts for which that individual
has been delegated responsibility. Requisitioning authority
includes the authority to sign purchase requisitions, requests
for check, and petty cash vouchers, but does not include the
authority to sign or execute purchase orders, subcontracts,
agreements or grants of any type.
|
| Secondary
Account Key |
The secondary account
key is the account key that is associated with an individual
sponsor but the expenditures for the agreement cannot be directly
linked with a specific sponsor's funding. The secondary account
key is the recipient of allocated expenditures from a primary
account key.
|
| Signature
Authority |
Delegated written
authority to approve financial transactions for specified
dollar amounts and for specified account keys. Approved signature
authority is entered into the Bi-Tech signature authority
system, which can be accessed via the Bi-Tech main menu by
typing UCSA.
|
| Special
Purpose Equipment |
Equipment which is
used primarily for research, medical, scientific or technical
activities. Capital expenditures for special purpose equipment
are allowable as a direct cost. Scientific computing equipment
used primarily for research is considered special purpose
equipment.
|
| Sponsor |
A legally binding
agreement with an external party who agrees to reimburse UCAR
for costs incurred on a specified project
|
| Subcontract
|
Any contractual agreement
issued under a contract
|
| U.S.
Citizen |
An individual who
is a U.S. citizen has U.S. Citizenship, a domestic home address
and a U.S. social security number
|
| UCAR
Entity |
A UCAR Entity is an
activity or group of activities under single organizational
management that requires a separate indirect cost rate. UCAR
entities are the National Center for Atmospheric Research
(NCAR) and the UCAR Office of Programs (UOP)
|
| Uncommitted Carryover |
Represents funds available at the end of a given fiscal year that has not been expensed or committed (encumbered) which is then carried over via the fiscal year end budget process for use in the following fiscal year. |
| Vacation
Liability |
Vacation accruals,
earned in accordance with UCAR's policy, less vacation hours
used
|
| Vacation
Used |
Vacation hours taken
|
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