University of Rochester
EMERGENCY INFORMATIONCALENDARDIRECTORYA TO Z INDEXCONTACTGIVINGTEXT ONLY

Office of Research and Project Administration

SPONSORED PROGRAMS COMPLIANCE


Examples of Unallowable Activities and Objects

OMB Circular A-21 identifies certain ACTIVITIES (think of these as something you DO - represented by an Account Number) and OBJECTS (think of these as something you BUY - represented by a Subsidiary Ledger Subcode) as unallowable for reimbursement by the Federal Government.

UNALLOWABLE ACTIVITIES
Identified as UNALLOWABLE by the ACCOUNT NUMBER

  • Fund raising
  • Lobbying
  • Commencement and convocation
  • General public relations and alumni activities
  • Certain student activities, e.g., intramural activities, students clubs, etc.
  • Managing investments solely to enhance income
  • Prosecuting claims against the Federal Government
  • Defending or prosecuting certain criminal, civil or administrative proceedings
  • Housing and personal living expenses of University Officers
  • Selling or marketing of goods or services (does not apply to selling goods or services internal to the university by its Service Centers)

UNALLOWABLE OBJECTS
Identified as UNALLOWABLE by the SUBSIDIARY SUBLEDGER CODE

  • Advertising (only certain types are allowable)
  • Alcoholic beverages
  • Entertainment
  • Fines and penalties
  • Memorabilia or promotional materials (allowable if · used for "Employee Morale")
  • Moving costs if employee resigns within 12 months
  • Certain recruitment costs, e.g., color advertising
  • Certain travel costs, e.g., first-class travel
  • Cash donations to other parties, such as donations to other universities, except for small contributions for purposes "Employee Morale," e.g., a donation in lieu of flowers at a memorial
  • Costs in excess of University severance policy
  • Interest payments, except certain interest specifically coded as paid to outisde parties and authorized by the Controller's Office
  • Memberships in civic, community or social organizations, or dining or country clubs
  • Goods or services for the personal use of employees, including automobiles

If you have any questions about the allowability of a particular expense, check the GENERAL LEDGER CODE, talk with your local financial administrator, or contact the Office of Sponsored Research.

In addition to defining unallowability, OMB Circular A-21 also presents other Cost Principles.

 

 

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