Corporate Budget Development

Budgets should contain information on all of the various categories that comprise the entire project. This includes funds the University is allocating to the project, those that might be in-kind services and then all outright dollars. It is important that you review your budget with your chair, dean and academic vice president so that any commitments are made up front in the grant seeking process. In other words, there are no surprises! Typically corporations do not support overhead, salaries, endowments and brick and mortar.

As the budget is prepared, the office of Corporate Relations will work closely with you to ensure that all possible expenses have been included. The office of Human Resources is also used as a resource to determine appropriate salaries and benefits.

Categories for Which Funding is Often Requested

1. Professional Staff Salaries – Summer stipends, and course release time for key personnel involved in the leadership of the project, can be requested. While corporations do not typically fund salaries, this area should be included. It is possible that through discussions with the donor funding will be made possible.

2. Support Staff Salaries – Budgets on occasion contain funding for secretarial and administrative support to the project. The Fair Labor Standards Act requires that all non-exempt employees be paid a specified hourly wage for all hours worked up to 40 hours in a week, and “premium” rate for all hours worked in excess of 40 per week. The premium rate is usually 1.5 times the base hourly rate. This law also states that all work performed for a single employer, regardless of what department, division or segment of the organization may benefit, must be treated in this manner. Therefore, if the non-exempt employee is performing work for the grant, and it is being done during normal working hours, no extra compensation can or should be paid to that person. If, because of the work of the grant, the employee is required to work extra hours, those hours should be turned in to payroll and the employee will be compensated in accordance with normal payroll practices, which are in line with the law. Mark Guglielmoni in Human Resources will provide interested staff with estimated wages for support staff, should this be required to calculate expenses for a grant application.

3. Benefits – Fringe benefits are calculated based on the kind of salary that is being presented in a project. Stipends and course release time generally include 7.65% of benefits related to FICA. Salaries for support staff as well professional staff are calculated by the Office of Human Resources and are provided to the Office of Foundation Relations upon request. This information is considered highly confidential and is handled accordingly.

4. Consultants – Consultants involved in the evaluation of the project as well as other aspects of its implementation are often included in the budget. Cost considerations related to consultants include their fee for service as well as travel expenses. Conferences – Some projects include the implementation of conferences in which case costs for special guest speakers can include their travel, honoraria, food and lodging. If a conference is being conducted utilizing grant funding, then all of the costs associated with the event can be considered.

5. Travel – Travel can include attendance at conferences for educational purposes as well as dissemination of the work. Typically, conference registration fees, airfare, meals and lodging are included.

6. Equipment – Some budgets request support for computer equipment, phones, faxes, copy machines, etc. If there are restrictions related to funding for this category, the foundation will include this information in their funding guidelines.

7. Student Research Assistants – Funding can be requested for student stipends, summer housing costs, food and travel.

8. Administrative Costs – This category includes supplies, printing, postage, telephone and materials.

9. Library Resources – Funding in this category includes the purchase of books, journals, software and other educational tools for the project or the University’s library. Often Considered as Part of the University Support Section of the Budget: Salaries - Generally, a project will require the time and commitment of a number of people from a particular school or department. Rarely can the foundation grant cover all of the costs associated with the extended team. Therefore, budgets generally show that a certain percentage of the dean, other faculty and support staff will be devoted to the project. This information is itemized and includes the base salary as well as the benefits. The Office of Human Resources will provide this information.

10. Housing for Student Research Assistants – This cost on occasion and with approval from the dean and the academic vice president, is sometimes included as a financial commitment on the part of the University.

11. Travel – If a department has a travel budget that may partially cover costs associated with a particular project, list in this section of the budget.

12. Space – When appropriate, the use of space for project staff or special events can be included in this portion of the budget.

13. Administrative Costs – Information related to administrative costs are calculated based on the commitment of a particular department to the implementation of a project.

14. Revenue – Some projects, such as the Quick Center, generate revenue which off sets the costs associated with fundraising. This information is included as part of the project.

Other Cost Considerations:

Estimated Computer Costs:

While individual costs will vary depending on the sophistication of the computer package, here are the base costs for various products that might be of interest.

• New computer desktop $1,300

• New computer laptop $1,900

• Inkjet printer $ 350

• Laser printer $ 695 +

• Additional software required for special applications will need to be determined and purchased separately.

• Dedicated Computer Server – Cost will be determined based on specifications of the server.

• Server Security: Only secured servers can be connected to the campus network. The security certificate required to connect to the campus network is approximately $900 per year or $1,650 for a two-year price.

• Microsoft Office (including Word, Excel, PowerPoint) is purchased via site license and is considered overhead. Departments are not charged back for this license.

Equipment Replacement – Equipment purchased with grant funding will need to be Replaced on approximately a three year cycle. This is not an automatic process. Therefore, principal investigators should discuss with their dean and the academic vice president so that they are aware of the need and consider this in relation to other priorities during the budget cycle.

Estimated Office Space Costs:

The following is an average cost of office space. Figures should be confirmed with the appropriate grants officer.

• $600.00 - Square footage (heat, electricity, etc.)

• $1,500 - Basic furnishings

• $1,300 - Computer

• $350 - Printer

• $250 - Data network connection

• $195 - Network card

• $150 - Telephone installation

• $100 - Phone

Estimated Wiring Costs:

Wiring costs are dependent upon a locations capacity for data and telephone services.

Capacity available for data/network connection but no data jack exists: Approximately $250 per additional drop for wiring. Estimate not valid for some locations (e.g. Pepsico Theatre)

1. A PC requires 100Mb/s network card (assuming an academic building). Approximately $195 per network card.

2. No available open port on building's network switch (e.g. DMH):
Approximately $350 per new port added.
PC requires 100Mb/s network card as above, approx. $195. each.
Office wiring would require $250 as in #1 above.

3. Spare telephone circuit available in office nearby:
$150 telephone installation.

4. No spare telephone circuit available nearby:
Cost depends on labor involved in installing added circuit and DiD

Are there faculty on campus with grant experience who would be willing to provide me with their perspective on the grant procurement process?
Corporate Relations – Dr. Judy Primavera, College of Arts and Sciences, Dr. Phil Greiner, School of Nursing

How do I know what expenses are allowed when writing a proposal? Corporate Relations Budget Example

What is involved in donor cultivation? Donor cultivation is especially important as part of the foundation and corporate fundraising process. Oftentimes, in the case of corporate fundraising, cultivation has to be done well before any grant submissions will be considered since they do not always have clear guidelines on how a grant will be awarded.

Once a specific project has been defined and the research on the donor has been reviewed conversations with potential donors early in the proposal development process are critical to the success of the grant award. This allows the project team to develop a submission that is crafted to meet those areas important to the funders while keeping the integrity of the program in tact.

The stewardship, reporting process, is another significant component of cultivation as it keeps funders aware of the good work made possible by their investments. In the event a proposal is denied, the contact is an excellent opportunity to build upon the relationship. Many times a declined award in one cycle can lead to a successful grant in a future submission.