Industry and Private Funding
Description
Industry and Private Funding Matrix
This matrix identifies typical attributes associated with a variety of industry and private funding contracts. The matrix also seeks to clarify the nature of gifts, grants and contracts from industry for our campus units, and to provide guidance for prospective industry partners. Contact SPA with any questions.
Attribute |
Charitable Contribution or Gift |
Affiliations1 |
Grant |
Facilities Use (Research Facilities and Equipment) |
Technical Testing |
Negotiated Contract: Revenue Generating |
Negotiated Contract: Research and Sponsored Activity |
---|---|---|---|---|---|---|---|
Intellectual Property Terms (Inventions, Copyrightable Works) |
UIUC owns; sponsor gains no free rights to use |
UIUC and/or partner institution owns; members have rights to license |
UIUC owns |
Sponsor owns |
Sponsor owns |
No rights granted to customer unless specified in the contract deliverables |
UIUC owns with license option to sponsor |
Publication Terms |
No restrictions; may acknowledge donor support in publications |
No restrictions, but publications may be reviewed by members before release to the public |
No restrictions |
Not applicable |
Sponsor can prohibit publishing of test results |
Not applicable |
UIUC retains publication rights with sponsor review |
Scope of Work |
May be unrestricted or targeted toward donor intent |
No specific direction by member except as generally allowable under grant |
Investigator-defined project scope |
Defined research purpose for use of university-specialized equipment or facilities |
Services requested as described by customer or unit |
Detailed work statement defining commodity or service |
Detailed work statement defining project or activity; PI or sponsor defined |
Materials |
None |
May be exchanged among members |
Sponsor may provide |
Sponsor may utilize |
Sponsor will provide |
Other party/customer generally will not provide |
Sponsor may provide |
Deliverables |
None; gift acknowledgement or summary report |
Progress reports/copies of publications and invention disclosures |
Financial and progress reporting; no expectant tangible results |
Not applicable |
Specified proprietary test results; no analysis |
Tangible products or service |
Reports, work product, or other deliverable on specific dates |
Typical Payment Mechanism |
Check in advance |
Membership Agreement: Check in advance Subaward/Re-Grant: Cost reimbursement or fixed price |
Cost-reimbursable |
Billable rate |
Billable rate, fixed price or cost reimbursement |
Billable rate |
Cost reimbursement or fixed price |
Agreement Mechanism |
Letter stating gift or charitable contribution |
Membership Agreement and Research Project Agreement/Subaward/Re-grant |
Grant agreement |
Facilities Use Agreement2 |
Technical Testing Agreement2 |
Revenue generating template or negotiated terms and conditions2 |
Sponsored Research Agreement template, or negotiated terms and conditions |
Facilities and Administrative Costs |
None |
Membership Agreement: 15% unless otherwise restricted by underlying grant Research Project Agreement/Subaward: 15% unless agreed upon otherwise |
Full negotiated rate based on underlying activity |
Other sponsored activities rate is allowed based on the table below |
Other sponsored activities rate is allowed based on the table below |
F&A is not assessed, but rates charged to customers are fully loaded with all applicable costs |
Full negotiated rate based on underlying activity |
Institutional Review |
UIF |
SPA |
SPA |
Purchasing and Contracts Management Office |
Purchasing and Contracts Management Office |
Purchasing and Contracts Management Office |
SPA |
Banner Fund Type |
|
4 or 5 |
4 or 5 |
3 |
3 |
3 |
4 or 5 |
Account Management |
UIF, college/unit |
SPA, college/Unit |
SPA, college/unit |
College/unit |
College/unit |
College/unit |
SPA, College/unit |
Signature Delegation |
UIF |
SPA |
SPA |
Purchasing and Contracts Management Office |
Purchasing and Contracts Management Office |
Purchasing and Contracts Management Office |
SPA |
1Federally supported affiliations, such as those funded under an NSF I/UCRC award, represent exceptions to this process. For example, F&A may be further restricted, as according to program guidelines.
2Section 1.3.2 of OBFS policy, Initiation, Review, and Approval of University Contracts and Leases, provides unit heads the authority to sign certain unaltered, pre-approved contract templates under $10,000 on behalf of the University Comptroller. These contract templates and rules for their use can be found in the noted policy.
Customer Base | Include Overhead Assessment in Rates Charged to External Customers? | Max Overhead Assessment Allowed in the Rate Charged to External Customers? |
---|---|---|
Only Internal Customers, Including Grants Funds | N/A - no sales to external customers | N/A - no sales to external customers |
Only External Customers | Allowed, but not required | Any amount not exceeding the applicable fiscal year's Other Sponsored Activities (OSA) rate |
Mixed Customer Base, Not Including Grant Funds | Allowed, but not required | Any amount, not exceeding the applicable fiscal year's Other Sponsored Activities (OSA) rate |
Mixed Customer Based, Including Grant Funds | Required, since external customers cannot be given preferential pricing when compared to grant funds | Overhead assessment charged to external customers must equal the applicable fiscal year's Other Sponsored Activities (OSA) rate |
Industry and Private Funding Matrix FAQs
- Who is responsible for invoicing for memberships fees generated by grant-based affiliations?
-
SPA Award Managment generates and submits invoices for grant-based affiliations. Invoice schedules and amounts must follow the terms of the related affiliation agreement.
- What type of funds may my unit use to incur expenses related to grant-based affiliations?
-
A grant-based affiliation funded agreement is administered in a Ledger 5 (Grant) Fund. The administration of grant-based affiliation funding must comply with all applicable federal administrative requirements, awarding agency regulations, and university policy.
- What is the difference between a Technical Testing Agreement (TTA) and a Facility Use Agreement (FUA)?
-
Customers external to the university use Technical Testing Agreements (TTA) and Facility Use Agreements (FUA). An FUA is the appropriate contractual vehicle when an external customer employee is physically present and making use of University of Illinois-owned facilities (space) or a specialized piece of equipment. A TTA is utilized when the external customer is requesting a test be completed by University of Illinois staff on their behalf. In both cases, any test results are proprietary to the external customer.
- What facilities and administrative (F&A) costs should be assigned to a Facility Use Agreement?
-
Included in the charges of a facility use agreement are all operating costs of the building or space the external customer will be using, as well as the applicable calculated rate for use of any equipment. The F&A rate that is appropriate to the activity must be included in these agreements, typically the OSA rate.
- How do you determine if an activity is representative of revenue generating or sponsored activity?
-
The main distinction between grant and contract revenue and educational activity or other revenue lies in the nature and the purpose of the agreement. Sponsored activity is representative of scientific research, whether basic, fundamental or applied, or a unique non-recurring service, whether in the nature of research, instruction, or public service.
In addition, agreements involving human participants, laboratory animals, radioactive or hazardous materials, biohazards (including recombinant DNA), or export-controlled materials are typically considered sponsored activity. Moreover, agreements involving instructional activities (e.g., corporate or executive education), services not requiring novel intellectual explorations, or the routine sale of goods or services are normally NOT considered to be revenue generating activity. (See Section 22—Self-Supporting/Revenue Generating Activities).
- What are typical examples of Urbana-based revenue generating activities and the processing office?
-
- The Purchasing and Contracts Management office processes professional services, such as consulting, educational programs, health care services, counseling, and training. This office will process entertainment and other events held on university premises.
- Purchasing and Contracts Management, in conjunction with the University of Illinois Foundation, processes sponsorships for which the university provides acknowledgment opportunities or other considerations in return for contributions or donations, such as athletic sponsorships.
- Purchasing and Contracts Management processes leases or rentals of university or other property, agreements for short-term use of space for a specific purpose, (i.e., a wedding or a birthday party), through Real Estate Services.
- Purchasing and Contracts Management processes Technical Testing (TTA) and Facilities Use (FUA) agreements. A TTA is utilized when the external customer is requesting a test be completed by University of Illinois staff on their behalf. An FUA is the appropriate contractual vehicle when an external customer employee is physically present and making use of University of Illinois-owned facilities (space) or a specialized piece of equipment.
- What templates are available for revenue generating activities?
-
There are two revenue generating templates available in Urbana:
- Revenue Generating Services Agreement (Less than $10,000, Other than Healthcare-Related Services). If unaltered, do no submit this template to OBFS. Unit heads can execute it in the name of the comptroller. Print unaltered templates and sign them by hand. Unit heads will sign the comptroller's name and their own name on these standard contract templates. Only unit heads have signature delegation. Note: Download this template—browser PDF readers are not compatible with it.
- Revenue Generating Services Agreement ($10,000 or More, Other than Healthcare-Related Services). Submit this template to OBFS, along with the appropriate, signed CARF, or routed via a checklist in iCS, for the comptroller's signature. Note: Download this template—browser PDF readers are not compatible with it
OBFS and Counsel work with individual units to create contract templates when there is a documented business need. For additional information, see:
Related Documents and Resources
- Revenue Generating Services Agreement ($10,000 or More, Other than Healthcare-Related Services)
- Revenue Generating Services Agreement (Less than $10,000, Other than Healthcare-Related Services)
Related FAQs
- Who is responsible for invoicing for memberships fees generated by grant-based affiliations?
- What type of funds may my unit use to incur expenses related to grant-based affiliations?
- What is the difference between a Technical Testing Agreement (TTA) and a Facility Use Agreement (FUA)?
- What facilities and administrative (F&A) costs should be assigned to a Facility Use Agreement?
- How do you determine if an activity is representative of revenue generating or sponsored activity?
- What are typical examples of Urbana-based revenue generating activities and the processing office?
- What templates are available for revenue generating activities?