Grant Terms & Concepts

An IRS designated organization with a “non-profit” focus. Some foundation and corporate sponsors require that grants be awarded to a non-profit organization. Towson University is not a non-profit organization (TU is a state-controlled institute of higher learning), and therefore cannot accept funds that must go to a 501(c)(3) organization. In such cases, the Towson University Foundation is the primary applicant on behalf of the University.

Cash contributed to a project from a party other than the sponsor (can be a third party, or Towson University). Some grants may require cash match under cost sharing guidelines.

Refers to research administration that assists faculty with complying with university, state and federal research regulations. For more information, please see Comply with Research Regulations.

 A consultant, or "contractor" in federal terms, is anyone working on a sponsored program who does not work directly under the auspices of Towson University. Their work on the program can be providing either goods or services that are ancillary to the operation of the program.

The Uniform Guidance, defines a contractor as "an entity that receives a contract as defined in 2 CFR 200.1 “Contract”.

A Contract is "a legal instrument by which a recipient or subrecipient purchases property or services needed to carry out the project or program under a Federal award."

For someone associated with an organization (for example, another university or corporation), please view subrecipient.

Co-Principal Investiator/Co-Project Director

See PI/PD below for definition.

The portion of the proposed project that will not be covered by the sponsor. Some grant opportunities and sponsors may require cost sharing for a proposal – the amounts, ratios, and allowed types of sharing will typically be outlined in the RFP. Cost share can take the form of either cash match or in-kind support.

NOTE: It is Towson University's standard practice to not allow voluntary cost sharing on a proposal.

Course release time, also referred to as a "course buy-out," is time during the academic year where Towson University faculty are released from one or more course units of teaching for the purposes of working on a sponsored program.

Per the Faculty Member Course Buy-Out Guidelines (PDF), course release is calculated on the basis of an eight-course annual teaching load. One course release is 1/8, or 12.5%, of that academic year's effort.

Direct costs

Those cost items on the proposed budget that directly relate to the project, including but not limited to the following: salaries and wages, fringe benefits, consultant fees, travel, subcontracts and equipment.

Defined in 2 CFR 200.413.

Equipment

Tangible non-expendable property having a useful life of more than one year and an acquisition cost of $5,000 or more per unit.

F&A Costs

Facilities and administrative costs — see the entry for indirect costs.

Flow-through funding

When Towson University receives an award from an entity (such as another university, a non-profit organization, or corporation) and the entity's source of funding for that award is from the federal government.

In most cases, the terms and conditions of the original funding to the entity follow the money and "flow-through" down to Towson University.

FOA

Funding opportunity announcement – a notice of a federal grant funding opportunity, similar to an RFP, but found on the grants.gov site. Most commonly found in NIH and NSF submissions.

Fringe Benefits

Typically used in budget development in relation to grants.

Benefits are calculated as a percentage of the salary or wages paid to an individual, dependent on their employment status at Towson University and the time they will be working on the program or project.

For more information on how to calculate fringe benefits, please see Develop Your Proposal.

Incidental effort

Effort performed on a grant, contract or project during the academic year that is infrequent or small enough to not warrant getting a full course release.

Indirect costs

As defined in 2 CFR 200.1 “Indirect (facilities & administrative (F&A)) costs”, indirect costs are "those costs incurred for a common or joint purpose benefitting more than one cost objective, and not readily assignable to the cost objectives specifically benefitted, without effort disproportionate to the results achieved.”

In other words, indirect costs can be viewed as "overhead" that are charged based on applicable direct costs.

Indirect cost recovery is shared between the Provost's Office, Division of Administration and Finance, OSPR, PI's  college and department, and the PI.

Please see Developing your Proposal for more details on what costs are applicable, what Towson's University's rates are, and how to account for these costs in your budget.

Towson University has federally negotiated indirect cost rates.

Cognizant Audit Agency: U.S. Department of Health and Human Services

Effective Dates of Agreement: 7/1/2012 - 6/30/2026

Responsible Federal Party: Wheatford Ashby, Phone: (301) 492-4855

Downloadable copy: Towson University F&A Agreement (PDF)

A form of cost sharing that counts as a donation of goods and services (such as labor, equipment use, supplies or use of facilities) that could exist without the funding of the grant and distinct from cash match. Typical in-kind support will take the form of donated effort on the part of Towson University's faculty or staff on the project, the waiving of space rental fees or waived indirect costs.

NOTE: In-kind "volunteer" effort cannot take place during a period of time that would be eligible for supplemental pay (e.g., during summer).

IP (Intellectual Property)

Intellectual property – defined by the World Intellectual Property Organization as “creations of the mind, such as inventions; literary and artistic works; designs; symbols, names and images used in commerce . . . protected in law by patents, copyright and trademarks.”

Key Personnel

This term is commonly used to refer to individuals who make a critical contribution to a project and agencies often include personnel other than PIs and Co-PIs as Key Personnel.

In the Kuali system, TU distinguishes between PIs and Co-PIs who are responsible for the project’s scientific direction and other personnel who make  other important contributions. In Kuali, Key Personnel are often responsible for activities such as program evaluation, serving as mentors for curricular initiatives, providing workshops. 

MTDC

MTDC stands for Modified Total Direct Costs.

 It is a term typically used when describing how indirect costs will be calculated for a grant.

MTDC indirects are all direct costs minus the items below multiplied by the indirect cost rate:

• Equipment
• Participant or human subject costs, as applicable
• Graduate Assistant tuition and fees
• Subrecipient costs over $25,000

On-/off-campus research

Off-campus projects are defined as those to which rent can be charged as a direct expense; all other projects are considered on-campus. Typically, off-campus projects are those that take place at a location which, because of distance, does not have the use nor aid of Towson University's campus or resources.

PI/PD

The Principal Investigator or Project Director refers to the individual(s) designated by the grantee and approved by the agency to be responsible for the scientific or technical direction of the project. When there are multiple scientific leads, these individuals may be referred to as PIs or Co-PIs.

Some agencies, such as NIH, do not use the term Co-PIs, but designate a Contact PI. PIs and Co-PIs typically are recognized on award notices while other personnel are not. The lead PI generally is the primary contact for the project and may bear primary responsibility for the project’s science or technical direction. 

Typically the lead PI is a tenured or tenure-track faculty member or a full-time staff member serving at the rank of Director or above. In other cases, OSPR staff will confirm eligibility of other full-time regular personnel to serve as lead PI. Other individuals, including emeritus faculty members and part-time personnel may serve as Co-PIs.

Pre-Award

Part of the OSPR team that assists faculty with developing and submitting proposals.

Some of the team's typical duties include, but are not limited to: complying with sponsor guidelines, budget development, proposal preparation, negotiation of contracts and subrecipient agreements.

Post-Award

Part of the OSPR team that assists faculty with managing awarded grants.

Some of the team's typical duties include, but are not limited to: administration of the award funds, preparing and submitting invoices and financial reports, and receiving and tracking payments.

RFP

Request for proposals – a notice or “call” for proposal applications to a specific funding opportunity released by a sponsor.

Sponsor

The agency directly funding the opportunity and to whom the proposal will be submitted. For an explanation of prime sponsor agencies, view flow-through funding.

Sponsored Program

A program, project or research that is paid for either in full or in part by a sponsoring agency outside of Towson University or through the Faculty Development and Research Committee (FDRC).

Subrecipient

Towson University, as the "prime" recipient of a grant or contract, may allocate a portion of the work to another organization to complete. This is usually done if the organization or an individual at that organization has expert knowledge of the related field and will be a significant contributor to the project. For individuals unaffiliated with an organization, or being paid independently of an organization, see consultant.

Subrecipients of a grant are referred to as "subawards." Subrecipients of a contract are referred to as "subcontracts."

Most sponsors will require documentation during the proposal stage to provide approval for a subrecipient. Typical required documentation includes a subrecipient budget, scope of work and signed letter of intent.

The Uniform Guidance 2 CFR 200.1 “Subrecipient” defines a subrecipient as "a non-Federal entity that receives a subaward from a pass-through entity to carry out part of a Federal program; but does not include an individual that is a beneficiary of such program. A subrecipient may also be a recipient of other Federal awards directly from a Federal awarding agency."

Total Direct Costs - compared to Modified Total Direct Costs (MTDC).

It is a term typically used when describing how indirect costs will be calculated for a grant. TDC indirect costs are a total of direct costs multiplied by the indirect cost rate, with no exclusions.