Program Co-Chairs Peggy Hannon and Gayle Lee invite you to
join your NAVREF colleagues for the 2007 Annual Conference on Sunday,
November 4, through Wednesday, November 7. The program provides timely
general sessions on CRADAs, VHA auditor and IG reviews of NPCs and
federal ethics as well as breakouts on human resource management, staff
succession planning, and NPC operations. In addition to numerous all
important networking opportunities, we are presenting an Internal
Controls Workshop by Gerald Zack, CPA, CFE.
On August 9, registration materials were mailed to all NPC
member contacts and previous NAVREF conference attendees. Please contact
the NAVREF office (amurakami@navref.org) if you do not receive your
packet within a reasonable time. As soon as our web master returns from
vacation, electronic versions of all these materials will be posted on
the NAVREF web site at
http://www.navref.org/development/2007_AC/conference_2007.htm
As in previous years, NPCs are encouraged to support
Regional Counsel (RC) attorneys’ participation in the NAVREF Annual
Conference. We recommend contacting the RC office to determine which
attorney(s) will attend and to share the costs among NPCs served by that
RC office.
The widely distributed table that illustrates how clauses
in the model Phase I&II and Phase III&IV CT CRADAs comply with AAHRPP
standards regarding human subject protections in sponsored study
agreements has been updated to reflect minor changes in CT CRADA wording
since the table was first created. Please discard any outdated versions
you may have and go to
http://navref.org/library/pdf/AAHRPP_CT_CRADA_Requirements-8-2007.pdf
for the updated table.
An NPC found itself in a bit of a mess when a
long time executive director retired and was entitled to compensation
for many years of earned, but unused vacation time. The NPC had failed
to accrue for the cost of vacation time as it was earned and had not
established a cap on the amount that could be carried forward each year.
The payout put such a significant hole in the funds the board had
planned to use to hire a new executive director that it has been forced
to postpone efforts to recruit a permanent new executive director.
A similar problem occurred in a situation
involving VA employees. For many years, an NPC reimbursed the VA
medical center for the cost of salary and fringes for a VA research
nurse. However, the VA billing clerk compiling the reimbursement
invoices did not include the cost of accrued vacation which in the
case of this type of VA employee was not subject to the normal
federal carryover cap of 240 hours. Nor did the invoices include the
cost of sick time which for this employee was compensable at
retirement.
When the nurse retired, the VA sent the
NPC an invoice for over $30,000 to cover the cost of accumulated
vacation and sick time. To some extent, the error on the VA billing
clerk’s part was understandable because VA does not accrue for
vacation and sick time. These amounts are drawn from current year
funds at the time they are paid out. However, the NPC executive
director also failed to address in advance how to handle these
costs.
The lesson to be learned from these
situations is that in the private sector, at a minimum it is
essential for an employer to accrue the cost of vacation time as it
is earned and to reflect these amounts as a liability on its
financial statements. It is also advisable for an NPC to think
through issues related to accrual of sick time even if it is not
compensable at termination. Problems can occur when an employee
shifts from one research project, or from one supervisor’s account,
to another and then falls ill. The later account may be liable for
the full payout unless an arrangement has been made to accommodate
the accrued sick time. Additionally, accrual of vacation and sick
time for VA and NPC employees serving on IPA assignments should be
thoroughly discussed with VA and detailed in an MOU.
Also, NPCs should establish caps on the
amount of unused vacation time that can be carried forward from one
year to another. A cap on earned sick time is also advisable,
preferably established to coordinate with the waiting period
(usually 60-90 days) required before the NPC’s employee long term
disability policy kicks in.
NAVREF will hold a conference call for staff
of those NPCs that are submitting or anticipate submitting proposals for
the DOD TBI/PTSD funds. We encourage executive directors and staff of
NPCs experienced in federal funds management to participate as well as
those new to federal grants. This call will be focused on administrative
matters and is not intended for PIs planning to submit research
proposals.
The call will be unstructured in order to
allow for questions and an open exchange of information about
administration of the TBI/PTSD funds. Also, this will be an
opportunity to identify administrative issues that may be in need of
clarification by DOD.
Date: Wednesday, August 15
Time: 1:00 p.m. East Coast time
Dial Up: 973-935-2013
Passcode: 586-668 followed by the # sign.
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Questions or comments about this Update may be directed to:
Email:
navref@navref.org
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Phone: 301-656-5005 |
Fax: 301-656-5008 |
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