Baylor > Office of Sponsored Programs > Pre-award Services > Supplemental Compensation
Supplemental Compensation on Sponsored Programs
Overview

Active participation in research projects and other sponsored programs may require additional efforts beyond those dedicated to the normal faculty workload of teaching and scholarship activities. It is presumed that a regular full-time faculty appointment includes teaching, scholarship/research and other departmental activities, and for such the faculty member is compensated according to the University-approved base salary.

Supplemental compensation on sponsored programs (grants, contract, etc.) is strongly discouraged, as remuneration using sponsor funds may be in direct conflict with federal regulations governing the use of these funds. OMB Circular A-21 (Cost Principles for Educational Institutions) states

Charges for work performed on sponsored agreements . . . are allowable at the base salary rate. In no event will charges to sponsored agreements, irrespective of the basis of computation, exceed the proportionate share of the base salary for that period. This principle applies to all members of the faculty at an institution. Since intra-university consulting is assumed to be undertaken as a university obligation requiring no compensation in addition to full-time base salary, the principle also applies to faculty members who function as consultants or otherwise contribute to a sponsored agreement conducted by another faculty member of the same institution."

The only exception to this directive appears as follows:

However, in unusual cases where consultation is [1] across departmental lines or involves a separate or remote operation, and [2] the work performed by the consultant is in addition to his regular departmental load, any charges for such work representing extra compensation above the base salary are allowable provided that [3] such consulting arrangements are specifically provided for in the agreement or approved in writing by the sponsoring agency.
Requests for Supplemental Pay

Any request for supplemental compensation on sponsored programs, whether on active awards or within proposals, will be closely examined by the Office of Sponsored Programs (OSP) to ensure that all of the following criteria are met:

  1. The OSP has reviewed and subsequently approved a request from the sponsor for supplemental compensation in a proposal submitted to the OSP in advance of an award.
  2. The OSP has received written approval from the sponsor authorizing payment of supplemental compensation as part of the award documents.
  3. Funds are available as a separate line item in the budget on a grant, contract, etc., that has been awarded to the University through the OSP.
  4. The faculty member is providing consultation to a sponsored program that is in addition to his/her regular departmental load and that is across departmental lines from the faculty member's home department or involves a separate remote operation.
  5. Supplemental compensation may not exceed 20% of the faculty member's institutional base salary during the period of the faculty member's academic appointment.
  6. Supplemental compensation is not permitted during any period in which the faculty member devotes 100% effort to sponsored programs.
  7. All effort for the faculty member (departmental and overload) is documented and certified as needed to satisfy University and/or sponsor requirements.

Requests for supplemental compensation on sponsored programs funds should be made through Baylor's secure website with approved login at https://bearquest.baylor.edu/.


Please contact the Office of Sponsored Programs and Contracts with questions.