Office of Contracts and Grants

May 28, 2025

Uncancellable Costs When a Grant Is Terminated

Written by Justo Torres. When a grant is unexpectedly terminated—due to project changes, funding cuts or noncompliance—grantees often face financial obligations that cannot simply be canceled. These are known as uncancellable costs, and they refer to commitments that were made in good faith under the assumption that the project would continue as planned. Uncancellable costs…

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Apr 25, 2025

The Role of a Cognizant Agency

Written by Justo Torres. A cognizant agency plays a key oversight role in the administration of federal funding to organizations, particularly in higher education institutions, non-profits and other entities that receive significant government grants. Its primary responsibility is to act as the main liaison between the federal government and the recipient organization, ensuring compliance with…

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Mar 25, 2025

Grants Versus Gifts

Written by Justo Torres. In the context of universities, both grants and gifts provide essential financial support, but they differ significantly in purpose, requirements and use. What are Grants? Grants are typically awarded by government agencies, foundations or other organizations to support specific projects or research. These funds are usually tied to a set of…

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Feb 25, 2025

What Are “F&A” Costs?

Written by Justo Torres. Facilities and Administrative (F&A) costs, also known as indirect costs, refer to expenses that support research, projects or general operations but cannot be directly attributed to a specific project or activity. These costs are critical for organizations, particularly universities and research institutions, as they provide essential infrastructure and administrative support necessary…

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Jan 27, 2025

Contracts and Grants Celebrates Transformation

Written by Justo Torres. As we prepare to bid farewell to Chancellor Randy Woodson, we would like to join the university in Celebrating Transformation and reflect on the positive changes that have taken place in the Office of Contracts and Grants during his tenure. During the Chancellor’s tenure, externally-funded research and other sponsored projects have…

Three dice with words instead of numbers. The first di is being moved by a finger to say both "follow" and "know." The second di says "the," and the third di says "rules."

Dec 16, 2024

Believe It or Not, Contracts and Grants Have Rules

Written by Justo Torres, Director, Contracts and Grants. If you are involved in a federal grant awarded to NC State, you should familiarize yourself with the Uniform Guidance (UG), which is a set of regulations from the U.S. federal government designed to simplify the administrative requirements for federal grants and cooperative agreements. Issued by the…

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Nov 26, 2024

What Should I Know About the Fly America Act?

Written by Justo Torres, Director, Contracts and Grants. The Fly America Act (FAA) is a U.S. federal law that requires passengers traveling on government-funded flights to use U.S. flag carriers — airlines registered in the United States — for air travel. Enacted in 1974, the FAA promotes and supports U.S. aviation companies by mandating that…

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Oct 28, 2024

Cost Accounting Standards for Contracts and Grants

Written by Justo Torres, Director for Contracts and Grants. Cost Accounting Standards (CAS) are a uniform set of accounting principles issued by the U.S. government through the Cost Accounting Standards Board (CASB), an independent board within the U.S. federal government. Their goal is to achieve uniformity and consistency in the cost accounting practices governing the…

A screenshot of the Online Monthly Activitiy Recon, or OMAR, tool in the MyPack Portal.

Sep 23, 2024

OMAR as a Reconciliation Tool

Written by Stefanie Keto, Assistant Director Post Award (CNR). Recent discussions about the importance of account reconciliation within the realm of contracts and grants highlight the Online Monthly Activity Reconciliation (OMAR) tool. As an avid user of OMAR for over a decade, I can attest that this tool offers transparency and efficiency to the reconciliation process.…

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Aug 22, 2024

Foreign Currency Payments

Written by Justo Torres, Director, Contracts and Grants. When a sponsor declines to award funds in U.S. dollars (USD), a budget proposed in a foreign currency may not have the same value when awarded funds are paid in that currency and converted to USD. How currency conversion rates are used during the project life cycle: