Subaward

A formal, legally binding agreement between KSU (as the pass-through entity) and another organization (the subrecipient) to perform a substantive portion of the programmatic work under a KSU-administered sponsored project.

Subrecipient

An organization that receives a subaward from KSU to perform a portion of the sponsored project's scope of work. A subrecipient is responsible for programmatic decision-making and is subject to the compliance requirements of the prime award.

Subrecipient Monitoring

The ongoing process of reviewing a subrecipient's programmatic progress and financial management to ensure compliance with the terms of the subaward agreement and the prime award.

PROCESS:

A. Subrecipient vs. Contractor Determination

At the proposal stage, the Office of Research & Innovation (ORI) will work with the principal investigator (PI) to formally determine whether a collaborating entity should be classified as a subrecipient or a contractor, based on the criteria outlined in 2 CFR § 200.331. This determination dictates the type of agreement that will be issued.

B. Proposal Stage Requirements

When a subrecipient is included in a proposal, the PI must provide the following documentation to ORI from the collaborating institution:

  • A detailed Statement of Work.
  • A detailed budget and budget justification.
  • A formal Letter of Commitment signed by the subrecipient's Authorized Organizational Representative (AOR).
  • A copy of the subrecipient's federally negotiated Facilities & Administrative (F&A) rate agreement, if applicable.

C. Award Stage: Risk Assessment and Agreement Issuance

Upon receipt of the prime award, ORI will:

  • Conduct a Risk Assessment: Perform and document a formal risk assessment of the subrecipient to determine their ability to manage the award, as required by 2 CFR § 200.332. This includes reviewing their financial stability. administrative systems. and prior audit history.
  • Issue the Subaward Agreement: Draft and negotiate a formal subaward agreement that includes all required federal and sponsor flow-down terms and conditions, including project scope, budget, reporting requirements, and compliance obligations (e.g., FCOI, IRB, IACUC). The agreement must be signed by the AORs of both institutions before the subrecipient may begin work or incur costs.