SOM Cost Share Policy Statement

Last updated: April 2024

Introduction

Cost share commitments in the School of Medicine (SOM) are funded in two ways:

1. Cost share commitments funded by SOM
2. Cost share commitments funded by Department resources

This document outlines the different types of cost share commitments, the party (SOM or Department) responsible for funding each, and when school-level approvals are required for department funded commitments.  

Cost Share Commitments Funded by the School of Medicine

SOM will provide salary cap cost share funding for SOM Faculty for all programs with mandated salary caps. 

• This includes:
  • Salary restriction on Department of Health and Human Services (DHHS) award mechanisms that impose a salary cap equivalent to the Federal Executive Level II pay scale. [aka NIH cap]
  • Other sponsor salary caps documented and published in sponsor guidelines, such as: Cystic Fibrosis Foundation, Michael J. Fox Foundation, Patient Centered Outcomes Research Institute (PCORI), etc.

• SOM salary cap cost share for Faculty is provided for both direct and flow-through sponsored awards with salary limitations imposed by the originating sponsor.
• SOM salary cap cost share is provided for the effort level committed in the sponsor proposal/award or the actual effort charged to the project, whichever is lower. 
• Departments and Centers should estimate and budget for salary cap cost share during the annual SOM budget process. SOM will use budget data for planning purposes. 

• SOM will fund salary cap cost share indexes based on actual expenses incurred/forecasted during the final quarter of each fiscal year.
• For more info on the budget process contact SOM Finance Office; SOMFinance@vcuhealth.org

NOTE CHANGE IN PRACTICE: 

• Effective April 15th, 2024, the determination of ALL NEW salary cap cost share index types for faculty will be based on their respective home departments from where they are appointed. All faculty researchers from Clinical Departments should be assigned a 4-Ledger cost share index, while those from BHS Departments should be assigned a 2-Ledger cost share index.
• Active existing cost share indexes do not require any modifications and should remain funded as previously established.

Cost Share Commitments Funded by Department Resources:

SOM Department resources provide cost share funding for the following types of cost share commitments; no advanced SOM approval required if non-E&G department sources are used:

• Any program required matching or cost share requirement. Cost share or matching requirement must be in sponsor published guidance.
• Any other program mandated salary or trainee funding cap, Example: K award cost share; where trainee must devote 75% effort, but funding is capped at $100k.
• Any department or investigator election to devote a higher amount of effort than officially committed to a project with a sponsor salary cap. [See above SOM will fund up to committed effort on record/approved by sponsor]
• Department cost share of the VCU required minimum PI 1% effort, when PI effort on the project is minimal due to the nature of the project.

Advanced Approval by SOM required for these types of Department voluntary cost share:

• Voluntary use of NIH cap or other cap when not required: Voluntary use of the Federal Executive Level II pay scale salary limit for programs and/or sponsors that do not require it.
• Any other voluntary cost share commitments proposed, including cost sharing salaries when it is an allowable expense or cost sharing additional effort when there is no mandatory requirement to do so.
• All F&A waivers, which are a form of voluntary cost share; must be approved in advance by SOM.

Requesting an Exception to Policy or Advance Approval for Department Voluntary Cost Share:

• Departments may submit to SOM an advance request for SOM to help provide funds to support a cost share commitment typically expected to be funded by department resources.
• Departments must submit an advance request for SOM review and approval when a department intends to provide voluntary cost share on a project.
• See process details in: SOM Process for Cost Share Exceptions or Advanced Approval

For help interpreting this policy, please contact somresadmin@vcuhealth.org