Policies & Procedures

About Research Administration at GSU

Policies and Procedures for Research and Sponsored Programs

Policies and Procedures for Research and Sponsored Programs

Administration of Fixed-price Agreements

Background

Fixed-price agreements are sometimes used in procurement situations.  Like all other agreements for sponsored programs, the agreements are processed through the proper channels of the ORSSP.  Fixed-price agreements are only acceptable when the work statement is sufficiently broad, or when the costs can be accurately estimated. 

When the University accepts a fixed-price agreement in support of a sponsored project it is guaranteeing delivery of any item outlined within the scope of work in exchange for fixed funding.  Since there may be considerable financial risk if the budget estimate at the time of proposal submission is inadequate, the academic unit must accept the risk that the deliverable can be met.

Remaining residual balance(s) earned from Fixed Price/Fee-for-Service restricted fund projects/accounts are closed and maintained in the Georgia Southern University Research and Service Foundation following completion of project (see grant/contract close-out procedure). Residual balances may be expended by request to the Research Foundation or establishment of a sponsored residual balance budget by department or center through Georgia Southern University of funds held by the Research Foundation. Georgia Southern University invoices the Research Foundation monthly for residual fund expenditures incurred.

Process

Remaining residual balance(s) earned from Fixed Price agreements are maintained in the Georgia Southern University Research and Service Foundation following completion of the project.  Residual balances may be expended by request to the Research Foundation or establishment of a sponsored residual balance budget by department or center through Georgia Southern University of funds held by the Research Foundation. Georgia Southern University invoices the Research Foundation monthly for residual fund expenditures incurred.

For more information on process, see the Residual Balance Policy maintained by the Office of the Controller.