Table of Contents>Clinical Trial Residual Balance Closeout
· To establish a procedure for the distribution and transfer of residual balances from industry sponsored clinical trials to a designated department fund.
· Research Services is able to make the residual balance transfer regardless of the status of the fund. If the fund is frozen, the transfer overrides the lock on the fund.
· The residual balances are transferred to the SOM Designated Fund (014001), in each department's ORG, using the PI's CREF unless other departmental procedures exist.
· If the PI has left Penn, the residual balance or deficit will be transferred to the SOM designated account at the discretion of the chair, division chief or director.
· ORSS will provide a quarterly summary of funds that have been transferred and funds that were then disabled upon request.
· The School of Medicine will collect the active F&A rate currently being charged to the clinical trial/sponsored research agreement fund on the residual balance.
· The cash balance of the fund can be determined by calculating the total Cash Received from the Sponsor and subtracting the project to date expenditures. This should also match the negative receivable (i.e. cash surplus) as shown on the fundsummary report in Webi.
· If you are closing out a clinical trial fund which has a deficit, you must go through the regular process for closing out a grant with your department designated research accountant.
· Once the clinical trial fund has reached its end date determine the status of the trial to be communicated to ORSS as indicated in the instructions above. The 60 day adjustment period is available and the 120 day window to communicate to ORSS is to allow for ample time to collect all final billings even after the fund has frozen.
If ORSS has not received a status communication within 120 days of the account end date, ORSS will initiate and process the transfer request with only School approvals notated. An additional processing fee will be taken from the available residual to reimburse the School.
It is very important to be sure ALL cash has been received prior to initiating the residual balance transfer process because once a clinical trial fund has been disabled, it must be re-enabled if additional payments are received. The Institution must be able to document and create an audit trail for all funds received from a sponsor. The above procedure is required again in those instances where additional cash is received on the trial.