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Policy for supplemental faculty compensation

Adopted by the Faculty Senate January 2002

A. Purpose

Establishes policy regarding summer salaries paid from grant and contract funds, salary supplements paid from grants during the regular academic year, and fees for consultative services paid to faculty.

B. Scope

Applies to all grant and contract funds and all fees for consulting services paid to faculty through the university, regardless of the source of funds or associated reporting requirements. Although this policy is based on OMB Circular A-21, which states that the federal requirements outlined in this publication do not apply to “awards under which the institution is not required to account to the Federal Government for actual costs incurred,” the University of North Carolina at Wilmington has adopted these principles to apply to all of the funding sources noted above.

C. Policy

1. General Statement
   
   The following policy is separated into three parts:
   1. Salary rates paid to full-time faculty performing work under sponsored agreements during the regular academic year
   2. Salary rates paid to full-time faculty performing work under sponsored agreements outside of the regular academic year
   3. Salary rates paid to part-time faculty performing work under sponsored agreements
       
2. Policy Detail
    
   1. Salary rates paid to full-time faculty performing work under sponsored agreements during the regular academic year
      
      Charges for work performed on sponsored agreements by faculty members during the academic year will be based on the individual faculty member's regular compensation (excluding stipend amounts) for the continuous period which constitutes the basis of his or her UNCW salary. Charges for work performed on sponsored agreements during all or any portion of such period are allowable at the base salary rate. In no event will charges to sponsored agreements, irrespective of the basis of computation, exceed the proportionate share of the base salary for that period. [The proportionate share is the base annual salary (excluding stipends) divided by the length of the annual contract period in months (normally nine for a faculty member), and multiplied by the number of months of that contract period devoted to work performed on the sponsored agreement.] This principle applies to all members of the faculty at UNCW. Since intra-university consulting is assumed to be undertaken as a university obligation requiring no compensation in addition to full-time base salary, the principle also applies to UNCW faculty members who function as consultants or otherwise contribute to a sponsored agreement conducted by another UNCW faculty member. However, in unusual cases where consultation is across departmental lines or involves a separate or remote operation, and the work performed by the consultant is in addition to his or her regular departmental load, any charges for such work representing extra compensation above the base salary are allowable provided that such consulting arrangements are specifically provided for in the agreement or approved in writing by the sponsoring agency.
       
   2. Salary rates paid to full-time faculty performing work under sponsored agreements outside of the regular academic year
       
      1. Except as otherwise specified for teaching activity in subsection 2, charges for work performed by faculty members on sponsored agreements during the summer months or other period not included in the base salary period will be determined for each faculty member at a monthly rate not in excess of the base salary divided by the length of the annual contract period in months (normally nine for a faculty member), and will be limited to charges made in accordance with other parts of this section. The base salary period used in computing charges for work performed during the summer months will be the number of months covered by the faculty member's official academic year appointment.
      2. Charges for teaching activities performed by faculty members on sponsored agreements during the summer months or other periods not included in the base salary period will be based on the normal UNCW policy governing compensation to faculty members for teaching assignments during such periods.
          
   3. Salary rates paid to part-time faculty performing work under sponsored agreements
       
      Charges for work performed on sponsored agreements by faculty members having only part-time appointments will be determined at a rate not in excess of that regularly paid for the part-time assignments. For example, suppose UNCW pays a faculty member $5,000 for half-time teaching during the academic year, and that one-half of the faculty member’s remaining time was devoted to a sponsored agreement. In this case, the additional compensation, chargeable by UNCW to the agreement, would be one-half of $5,000, or $2,500.
       
3. Procedures
    
   1. Implementation of this policy is effective immediately; enforcement is the responsibility of the Office of Sponsored Programs.