Sponsor Invoicing

A cost-reimbursable grant is a type of sponsored award where the sponsor reimburses the institution for the actual allowable costs incurred while performing the project. Instead of receiving a fixed payment, the university first incurs expenses related to the project(such as salaries, supplies or travel) and then reports those expenses to the sponsor for reimbursement. Only costs that comply with federal cost principles and the terms of the award can be charged to the grant.

Cost-reimbursable grants ensure accountability and proper use of sponsored funds. Since reimbursement is based on actual expenses, institutions must carefully review expenditures, maintain documentation and ensure that all costs are reasonable, allowable and directly related to the project. This process helps protect both the sponsor and the institution by ensuring that funds are used appropriately and in compliance
with federal regulations.

When a new award is received, Research Accounting reviews the Notice of Award to determine how funds will be received for cost-reimbursement awards, either cost-reimbursement invoicing or a draw down process. Reimbursement requests are based on actual expenditures that have posted to the university’s general ledger for the sponsored project during the billing period. Only recorded transactions are included in the request. Encumbrances are not billed. Departments are responsible for ensuring expenditures are allowable, reasonable and allocable to the project before they are invoiced.

For awards requiring invoicing, the Research Accounting team prepares and submits invoices or financial reports to the sponsor according to the billing schedule defined in the award agreement. These invoices reflect the cumulative or period of expenditures recorded in the university’s financial system. Research Accounting will not submit invoices if certain conditions exist, including:

  • when the award agreement has not been fully executed,
  • the budget period has ended without an extension,
  • the billing period has no expenditures,
  • or cumulative costs exceed the approved budget unless the sponsor authorizes it.

Fixed-price awards, such as milestone-based or fee-for-service agreements, are managed by the Research Accounting team in accordance with the payment schedule outlined in the Notice of Award. When necessary, the team will also collaborate with the Principal Investigator (PI) and departmental staff to determine appropriate timing for invoicing.

Fixed price awards require careful oversight to ensure that all deliverables are fully
completed, allowing the institution to collect payment in full. Failure to meet the agreed-upon deliverables may result in the need to refund the sponsor, particularly in cases where payments have been received in advance.

After invoices or draw down requests are submitted, Research Accounting monitors accounts receivable to ensure timely payment from sponsors. The team tracks outstanding balances, reviews aging reports and follows up with the sponsor, the PI and the department if payments are delayed.

If necessary, escalation procedures may involve notifying department leadership or university administration to assist with collection. This process ensures that UNT Health recovers allowable sponsored project costs in a timely manner while maintaining compliance with sponsor requirements and federal cost principles.

Make Checks Payable to:

UNT Health Fort Worth
Research Financial Services
3500 Camp Bowie Blvd.
Fort Worth, TX 76107-2699