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At the time of proposal, the budget is based on anticipated, estimated costs. Can you update the budget after the award has been made?
Some awards allow flexibility in reallocating funds from one budget category to another, and some budgets must be expended as estimated unless sponsor approval is obtained. At UMB, budget modifications are required to ensure that sufficient funds are in the equipment category or the contractual services category before a requisition can be approved for equipment purchase or for a subrecipient agreement.
Sponsor approval is required when restrictions in spending categories are part of the terms and conditions of the award.
PI writes a letter to the sponsor to request the budget modification. The letter should include the budget categories and dollar amounts to be increased and decreased, and a justification for the requested changes. The letter to the sponsor must be signed by the PI and a Sponsored Programs Administration (SPA) authorized official. Emailed or electronic requests should be initiated by the PI and approved by a SPA official.
Requests for budget modification are initiated and signed by the Principal Investigator (PI) and forwarded for authorization and signature in the following order:
1) Department Administrator
2) Department Chair
3) Dean (not required for School of Medicine and School of Pharmacy)
Submit to Sponsored Project Accounting and Compliance. When required, attach documentation of sponsor approval.
The Principal Investigator must document the request for budget modification by explaining the reason for the reallocation of funds. Explain why the change is needed and how it will benefit the project.