Sponsored Project Cost Distribution Using Available Award Funding

Automatically determine the distribution set to apply to a sponsored project cost based on available funds. Sponsored projects with award funding patterns include new options to leverage the budgetary control settings to distribute the costs. This added flexibility reduces the need for project cost transfers and increases the accurate consumption of available funds ensuring contract obligations are met.

To accomplish this, the new options on the funding patterns are:

1. Perform Funds Check
   1. This controls whether the funding pattern will use the control budget to check for available funds for the cost being distributed.
   2. If this is enabled, two additional options become available.
2. Treat Advisory as Absolute
   1. Treating advisory as absolute allows for spend that is specific to an award and funding source to continue in an advisory manner, while ensuring that when the funding pattern is used to distribute a cost, it will treat advisory as if it was an absolute control level and apply the next distribution set in the funding pattern.
3. Prorate Across Distribution Sets
   1. Prorate across distribution sets will consume as much money as is available in the control budget and distribute the remaining amount to the subsequent distribution set or sets allowing for all the budgeted funds to be consumed in each set.

Funding patterns are created and maintained by grant administrators and are the core object of the functionality. The funding patterns can be created once the project is funded by one or more award and funding sources.

Funding Pattern Maintenance

Funding Pattern Maintenance

The image above illustrates where the new options are visible.

Project costs captured on requisitions, purchase orders, and accounts payable invoices can be distributed using applicable funding patterns and new funds checking options, by leaving the Contract Number and Funding Source fields blank.

Requisition with Blank Contract and Funding Source

The Distribute Project Costs action is used to distribute the costs entered using the funding pattern sets and rules to ensure accurate charging.

Requisition Distributed by Funding Pattern

Grant accountants and administrators can resolve errors by viewing failed distributions in the Project Cost Distribution Results page in real time with procurement staff or simulating the same action in the Manage Project Costs work area, with the Test Award Distribution functionality. The cause of the error can be viewed and resolved accordingly. In the Manage Project Costs work area, the Test Award Distribution function will also display successful distributions to simulate the results of error resolution. This is only a simulation. The Import Project Costs action continues to be the function that creates costs on a project.

Manage Project Costs Simulation

If you choose to view the results, the list of costs, funding patterns, distribution sets, and rules used will be presented with a simulated successful or failed distribution.

View Project Cost Distribution Results

Grant accountants can also manage third party cost integrations that will leverage the funding patterns on costs imported with blank contract / award and funding patterns. If active funding patterns exist, the costs will be distributed using the associated sets and rules and any errors can be managed and tested as illustrated above.

Manage Third Party Cost Import

The business benefit of funding patterns is that they reduce the complexity associated with manually splitting distributions at cost capture and increase the accuracy of meeting the funding requirements associated with awards from both external and internal funding sources. The new “Perform Funds Check” options further these benefits by reducing the need for project cost transfers due to incomplete use of available funds. 

Here's the demo of these capabilities:

Steps to Enable

You don't need to do anything to enable this feature.

Tips And Considerations

To use the new functionality in the funding patterns:

• Create / Duplicate Funding Patterns and set Perform Funds Check to Enabled
• Set Funding Patterns to Active

Key Resources

• To get a comprehensive overview of the funding pattern solution watch Project Cost Distribution Using Award Funding Patterns Readiness Training
• Related help:
  • Using Grants Management
• Based on Idea 679164 from the Project Management Idea Labs on Oracle Cloud Customer Connect

Access Requirements

To use this feature, you need these privileges and roles:

• Privilege Name and Code:
  • Manage Award Funding Patterns (GMS_MANAGE_AWARD_FUNDING_PATTERNS_PRIV)
    • Allows users to manage award funding patterns assigned to a sponsored project.
    • Rolled up to Duty Role - Award Management (ORA_GMS_AWARD_MANAGEMENT_DUTY)
  • Distribute Award Project Costs and Quantities (PJC_DISTRIBUTE_AWARD_PROJECT_COSTS_AND_QUANTITIES_PRIV)
    • Allows users to initiate the Award Distribution process, which matches the costs and quantities provided to available award funding patterns, distributes costs as appropriate, and displays the results.
    • Rolled up to Job Roles:
      • Grant Management
        • Grants Accountant (ORA_PJF_GRANTS_ACCOUNTANT_JOB)
      • Procurement
        • Buyer (ORA_PO_BUYER_JOB)
        • Purchase Order Authoring (ORA_PO_SPO_CREATION_DUTY)
        • Category Manager (ORA_PON_CATEGORY_MANAGER_JOB)
        • Procurement Contract Administrator (ORA_PO_PROCUREMENT_CONTRACT_ADMIN_JOB)
        • Advanced Procurement Requester (ORA_POR_ADVANCED_PROCUREMENT_REQUESTER_ABSTRACT)
        • Procurement Preparer (ORA_POR_PROCUREMENT_PREPARER_ABSTRACT)
        • Procurement Requester (ORA_POR_PROCUREMENT_REQUESTER_ABSTRACT )
        • Contingent Worker (ORA_PER_CONTINGENT_WORKER_ABSTRACT)
        • Employee (ORA_PER_EMPLOYEE_ABSTRACT)
        • Requisition Self Service User (ORA_POR_REQUISITION_SELF_SERVICE_USER_DUTY)