A subaward is a binding legal agreement that is required when an institution or organization outside of the University is conducting a defined portion of the programmatic aspects of a sponsored project first awarded to the University. The terms of the UAA-subaward relationships are documented in the Grants & Contracts Manual, on Subawards, Chapter 8.
Key characteristics of a subaward include:
- The subrecipient’s performance is measured against whether the objectives of the overall sponsored program are met (subrecipient carries out a portion of the programmatic effort of the project).
- The subrecipient is responsible for programmatic decision making relative to the subrecipient’s portion of the work.
- The subrecipient must adhere to sponsored compliance requirements (IRB, IACUC, rebudgeting restrictions, publication, IP rights).
- The subrecipient must use the sponsored funds awarded under the subaward to carry out their portion of the programmatic effort of the project.
Note: For more information on determining if work conducted by an institution or organization outside of the University should be procured under a subaward or other mechanism, such as a Purchase Order, see the Statewide Accounting Administrative Manual D-07, or the for additional information. Services not requiring a subaward are covered by the financial policy of the Procurement Department.
