16.5 Sponsored Programs Subawards
Policy Statement
The University of Illinois System may issue a subaward to a subrecipient for the purpose of performing a portion of the scope of work under an award for a sponsored project. In issuing a subaward, the university assumes responsibility for the oversight of programmatic and financial activities of the subrecipient throughout the life of the subaward, including but not limited to the determination of subrecipient versus contractor, assessing subrecipient’s capacity to perform, and subrecipient’s compliance with award terms. The Principal Investigator (PI) shall be responsible for confirming the subrecipient performs the awarded scope of work and all costs are reasonable and in accordance with the terms of the award. Once the invoice is determined to be proper, the applicable university will execute payment to the subrecipient in accordance with the terms and conditions of the award. For awards subject to the Federal Uniform Administrative Requirements, the applicable university should pay the subrecipient no later than 30 calendar days from receipt of invoice.
Reason for the Policy
As a recipient of an award, the system must comply with the requirements outlined in 2 CFR § 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards that require the system to manage and monitor each subaward to reasonably ensure that costs are allowable, awards are used for authorized purposes, and performance goals are achieved. Subawards must also be administered in compliance with applicable laws, regulations, and the provisions of the grant or contract agreement.
Applicability of the Policy
This policy applies to all sponsored programs and programs.
Related Policies and Procedures
16.5.1 Review and Pay Subrecipient Invoices
16.5.2 Close a Subaward
Additional Resources
16.5.3 Guidelines on Subrecipient Performance
16.5.4 Responsibilities to Monitor a Subrecipient
Uniform Guidance 2 CFR § 200
First Published: July 2015 | Last Updated: October 2025 | Last Reviewed: March 2024