PERSONNEL ACTIVITY REPORTS (PARS)

Table of Contents

1. What is a PAR?
2. Who gets a PAR ?
3. Approving the PAR
4. Changes to the PAR
5. Timeliness
6. Returning the PAR
7. PAR Schedule
8. Hilltop PAR Procedures
9. Medical School PAR Procedures
10. Outstanding PARs

I. What is a PAR ?:

Washington University must follow federal regulations set forth by the Office of Management and Budget's Circular A-21. A-21 requires payroll costs to be documented to ensure that external sponsors reimburse Washington University only for the time and effort actually expended on their behalf. The University uses the Personnel Activity Report (PAR) to meet this requirement in accordance with Section J.8.b. of A-21. 

The Personnel Activity Report (PAR) is a measure of the total effort for which an employee is compensated by Washington University regardless of the number of hours actually worked. 

Since the primary purpose of PARS is to allocate compensation cost, total effort is always 100% whether a person is employed on a full-time basis by the University *Full-Time Equivalent or FTE of 1.00) or on a part-time basis (FTE less than 1.00).

II. Who gets a PAR ?:

The following employees will receive a PAR: 
• Non-faculty that charge time to a sponsored agreement during a PAR period.
• All Faculty (instructors and above). Some departments are classified as "excluded" because they only charge grants in unusual circumstances and generally use only one payroll source. Faculty in these departments will continue to receive a PAR only if they charge a grant.

III. Approving the PAR:

After reviewing the information on the PAR, the employee should sign and date the form and return it to the department's PAR Coordinator. Two signatures are not required on the form. PARs signed by the employee do not require the signature of a supervisor or departmental administrator. If the employee is not available to sign the form, a supervisor or administrator with first hand knowledge of the employee's compensated effort should sign the form and include a brief explanation of why the employee was not able to sign. 

 The signed PAR certifies the accuracy of the PAR, as required by A-21. The certification confirms that the effort allocation reported on the PAR is a reasonable estimate of effort for the compensation received from Washington University. 

 Once signed, the PAR is a legal document. The information on the PAR is subject to independent audit and review by the federal government as well as the University. 

IV. Changes to the PAR:

The preprinted form is prepared with information from the Payroll/Personnel system. The percentages of effort are calculated based on the sources of an employee's compensation during the period. In some cases, calculations may include Payroll Cost Transfers processed during the PAR period that apply to prior periods. If the PAR does not reflect a reasonable estimate of effort, the recipient should revise the PAR by crossing out the incorrect data and writing in the correct information before signing it. Federal guidelines recognize that it is often not a simple task for an individual to determine how his/her total work time was occupied. Adjustments to the preprinted form are appropriate if percents of effort on a specific project vary by 6% or more of the total effort. A Payroll Cost Transfer should be completed and sent to Payroll if the PAR is revised. A copy of the Payroll Cost Transfer sent to Payroll should be attached to any revised PAR. A Payroll Cost Transfer is not necessary for variances less than or equal to 5% of the total effort. 

V. Timeliness:

Washington University's agreement with the Federal Government requires that the PAR is signed within thirty (30) days and returned to the Sponsored Projects Accounting (SPA) within sixty (60) days from the date of the PAR. 

VI. Returning the PAR:

One copy of the signed PAR is returned to the Sponsored Projects at Campus Box 1034. The second copy of the PAR is for department records. If necessary, PARs can be faxed to the SPA at (314) 935-4309. It is recommended that PARs be returned to SPA as soon as they are signed and received by the department business office, and not accumulated for the entire department.

VII. PAR Schedule

 

Status	Period Ending	Campus	Reporting Period
Academic	December	Hilltop (Excluding Engineering)	Semester
Academic	December	Medical School	Semiannual
Academic	December	Engineering	Semiannual
Non-Academic	December	Hilltop / Medical School	Quarter
Non-Academic	March	Hilltop / Medical School	Quarter
Academic	May	Hilltop (Excluding Engineering)	Semester
Academic	June	Hilltop (Excluding Engineering)	Semester
Academic	June	Medical School	Semiannual
Academic	June	Engineering	Semiannual
Non-Academic	June	Hilltop / Medical School	Quarter
Academic	August	Hilltop (Excluding Engineering)	Summer Research
Non-Academic	September	Hilltop / Medical School	Quarter

VIII. Hilltop PAR Procedures:

The following describes the Payroll/Personnel Activity Reporting System (PARS) and its application at the Hilltop Campus. 

A. Definitions

· Instruction & Departmental Research - Object Code 10

"Instruction means the teaching and training activities of an institution. Except for (organized) research training...(see Object Code 20), this term includes all teaching and training activities, whether they are offered for credit toward a degree or certificate or on a non-credit basis, and whether they are offered through regular academic departments or separate divisions..." (OMB No. A-21 B.1.a) 

Instruction includes training activities as follows:
 
(a) Teaching - all activities related to teaching scheduled and unscheduled courses. These include activities such as lecturing, tutoring, supervising independent study, supervising laboratory course work, supervising assistants, preparing for scheduled teaching, preparing theses, grading papers, etc.

(b) Course and curriculum development - preparing outlines and reference lists for teaching future courses, devising and developing new instructional techniques, preparing or revising manuals, tapes, slides, etc.

(c) Departmental research means research development and scholarly activities that are not organized research and, consequently are not separately budgeted and accounted for. Departmental research for the purposes of this document, is not considered a major function, but as a part of the instruction function of an institution.

(d) Patient care services - (other than those associated with grants) - Effort spent on treating patients as an attending physician. Effort spent on clinical laboratory procedures, rounds and grand rounds.

· Organized Research - Object Code 20

"Organized research means all research development activities of an institution...that are sponsored by Federal and non-Federal agencies and organizations. This term includes activities involving the training of individuals in research techniques (commonly called research training) where such activities utilize the same facilities as other research and development activities..." (OMB No. A-21 B.1.b(1))

Organized research projects will have:

- a defined scope of work,
- a work plan (including scientific methodology),
- a time frame (a recognizable beginning and end),
- reporting requirements to the sponsor,
- a separate account within the University accounting system.

Research activities that do not meet these criteria would be considered departmental research.

· Other Sponsored Activities - Object Code 30

"Other sponsored activities means programs and projects sponsored by Federal and non-Federal agencies and organizations which involve the performance of work other than instruction and organized research. Examples of such programs and projects are health service projects, and community service programs. However, when any of these activities are undertaken by the institution without outside support, they may be classified as other institutional activities." (OMB No. A-21 B.1.c.)

· Departmental Administration - Object Code 40

"The expenses under this heading are those that have been incurred for administrative and supporting services that benefit common or joint departmental activities or objectives in academic deans' offices, academic departments and divisions, and research centers." (OMB No. A-21 F.4.a.)

Departmental administration duties may include, but are not limited to, preparation of departmental budgets and/or payroll, review of departmental accounts and financial statements, preparation of grant applications, selection and recruitment of faculty, selection of graduate students and house staff and medical students, selection and training of staff, planning for building projects and renovations, editing professional journals, supervision of shops, and preparation and review of Personnel Activity Reports. Supporting staff reported as departmental administration may include secretaries, bookkeepers, stockroom attendants, machinists, electricians, and office managers.

· Other - Object Code 50

May include sabbatical leave or leave of absence. If this category is used, an appointment letter requesting a University leave of absence must be submitted to the Human Resources and Payroll offices.

· Incidental Work - Object Code 60

An activity that constitutes an insignificant part of the overall activities of the University employee and the effort devoted to it must clearly be in addition to, and unrelated to, the employees regular assignments.

Such "work" includes teaching a continuing education or summer school course, those rare instances where payments are made for internal consulting which meet University and/or School policy, and payments to blood donors who are employees.

· Operation and Maintenance of Physical Plant - Object Code 70

"The expenses under this heading are those that have been incurred by a central service organization or at the departmental level for the administration, supervision, operation, maintenance, preservation, and protection of the institutions physical plant. They include expenses normally incurred for such items as janitorial and utility services, repairs and ordinary or normal alterations of buildings, furniture and equipment; and care of ground and maintenance and operation of buildings and other plant facilities." (OMB No. A-21 F.2.a.)

· Student Administration & Services - Object Code 80

Student administration and services means activities "for the administration of student affairs and for services to students, including Dean of Students, Admissions, Registrar, counseling and placement services, student advisors, student health and infirmary services, catalogs, and commencements and convocations." (OMB No. A-21 F.7.a.)
 
 

B. Purpose
The Office of Management and Budget, in its Circular OMB A-21, provides principles for determining the costs applicable to grants, contracts, and other agreements with educational institutions. (Under the "terms of acceptance" of grants from the federal government, the college or university agrees to comply with the provisions of such OMB circulars.) The Office of Management and Budget assigned the Department of Health and Human Services as the single federal agency responsible for the auditing of Washington University.

The Department of Health and Human Services follows the cost principles set forth in OMB A-21 in establishing the acceptability of charges to grants and contracts. Section J.8.b. of the document requires that payroll distribution be supported by either a Monitored Workload System or an after-the-fact Personnel Activity Reporting System. The University elected to include the Personnel Activity Report (PAR) as an integral part of the payroll distribution system, and the PAR will reflect the total activity (100%) of an individual for which compensation is received from Washington University.
 
 

C. Requirements for completion and submission of Payroll/Personnel system documents
1. The initial payroll appointment document for each academic or fiscal year will include the anticipated activity distribution in the object code location of the account coding. (Refer Attachment A for definitions.) This document must be approved by the department head or his duly delegated alternate after appropriate processing and review.

2. Future changes in the activity distribution will be input to the Payroll/Personnel system by the initiation of a payroll change document which will include appropriate object codes.

3. The activity distribution information captured in the Payroll/Personnel System will be the basis for the Personnel Activity Report.
 
 

D. Personnel Activity Report
1. General 
The Personnel Activity Report and the supporting system is designed with as much automation as possible to reduce the amount of handwritten data required.
2. Distribution 
The Personnel Activity Report will be distributed to the primary appointment departments of all individuals on the following schedule:
a. Academic, administrative, and professional -- one report for each semester. 
b. Engineering academic, administrative, and professional - semiannually. 
c. Nonprofessional staff - quarterly 
3. Requirements for completion and submission of Personnel Activity Report 
The individual will review the Personnel Activity Report and determine if it reflects a reasonable estimate of his/her activity effort for the period covered. If the effort percent is reasonable, the individual will sign and date the report, by the date indicated on the PAR, and return it to his/her responsible department officer, who will assemble the reports and transmit them to the SPA. (The PAR system does not require reporting of changes to percentages of effort of 5% or less.) 

If an individual is unavailable to sign his/her Personnel Activity Report within the required time period, a signature from the supervisor/administrator with first-hand knowledge of the individual's effort, along with a brief explanation of the individual's absence, is sufficient. 

If the Personnel Activity Report does not reflect a reasonable estimate of the activity effort for the period, the individual will consult with his/her responsible department officer. Assuming this discussion results in an agreed upon adjusted effort, the PAR should be adjusted manually to reflect the adjusted effort, the PAR certified by the individual, and approved by the responsible department official. 

Upon changing a PAR, the individual should prepare a Payroll Cost Transfer to transfer charges to the proper accounts in accordance with the certified actual activity effort. The PCT form should be sent directly to the Payroll Office (adjusted Personnel Activity Report and a copy of the Payroll Cost Transfer request form) should be transmitted to the SPA. (Refer to Policy and Procedure B.1 Payroll Cost Transfer). 
 
 

4. Retroactive changes
Changes in distribution of workload involving federally sponsored projects may not normally be made for any prior pay period after the Personnel Activity Report has been certified. This makes it very important that these reports be carefully reviewed before being certified.

In the very exceptional situation in which it is later found that the original certification was not correct, retroactive changes may be requested by the use of a memo which fully explains (1) how the error occurred, (2) why it was not corrected earlier, and (3) who made the error. This new change also requires re-certification for correctness, with signatures from the same individual or department head who signed the original Personnel Activity Report. Such exceptional retroactive changes on grant and contract accounts are also subject to the concurrence of Sponsored Projects Accounting. 

E. Departmental summary -- Payroll detail
With each Personnel Activity Report distribution, the office of SPA will furnish to the department, or division head, a summary of payroll transactions for each individual for whom a Personnel Activity Report is received. If the department, or division, does not want to receive the summary, they can make arrangements with SPA. The summary contains confidential information, but should assist the primary department when changes are required. 
 
F. Timeliness
In accordance with the University's formal agreement with the Department of Health and Human Services, the Personnel Activity Report must be signed and dated by the individual promptly, but no later than 30 days after it was mailed by the SPA department. The Personnel Activity Report should be returned to the SPA department no later than 60 days after it was mailed.
 

IX. Medical School PAR Procedures:

A. For Definitions, Link to Medical School Finance Office: Personnel Activity Reporting System

B. Purpose 

The Office of Management and Budget, in its Circular OMB A-21, provides principles for determining the costs applicable to grants, contracts, and other agreements with educational institutions. (Under the "Terms of Acceptance" of grants from the Federal Government, the college or University agrees to comply with the provisions of such OMB circulars.) The Office of Management and Budget assigned the Department of Health and Human Services as the single Federal Agency responsible for the auditing of Washington University.

The Department of Health and Human Services follows the cost principles set forth in OMB A-21 in establishing the acceptability of charges to grants and contracts. Section J.8.b. of the document requires that payroll distribution be supported by either a Monitored Workload System or an after-the-fact Personnel Activity Reporting System. The University elected to include the Personnel Activity Report (PAR) as an integral part of the payroll distribution system, and the PAR will reflect the total activity (100%) of an individual for which compensation is received from Washington University.
 
 

C. Requirements for completion and submission of Payroll/Personnel system documents: 
1. The initial payroll appointment document for each academic or fiscal year will include the anticipated activity distribution in the object code location of the account coding. (See attachment A for definitions.) This document must be approved by the department head or his duly delegated alternate after appropriate processing and review.

2. Future changes in the activity distribution will be input to the Payroll/Personnel system by the initiation of a payroll change document which will include appropriate object codes.

3. The activity distribution information captured in the Payroll/Personnel System will be the basis for the Personnel Activity Report.
 
 

D. Personnel Activity Report 
1. General 

The Personnel Activity Report and the supporting system is designed with as much automation as possible to reduce the amount of handwritten data required.

2. Distribution 

The Personnel Activity Report will be distributed to the primary appointment departments of all individuals on the following schedule:

(a) Academic, administrative, and professional -- semiannually.

(b) Nonprofessional staff -- quarterly.
 
 

3. Requirements for completion and submission of Personnel Activity Report 

The individual will review the Personnel Activity Report and determine if it reflects a reasonable estimate of his/her activity effort for the period covered. If the effort percent is reasonable, the individual will sign and date the report, by the date indicated on the PAR, and return it to his/her responsible department officer, who will assemble the reports and transmit them to the SPA. (The PAR system does not require reporting of changes to percentages of effort of 5% or less).

If an individual is unavailable to sign his/her Personnel Activity Report within the required time period, a signature from the supervisor/administrator with first-hand knowledge of the individual's effort, along with a brief explanation of the individual's absence, is sufficient.

If the Personnel Activity Report does not reflect a reasonable estimate of the activity effort for the period, the individual will consult with his/her responsible department officer. Assuming this discussion results in an agreed upon adjusted effort, the PAR should be adjusted manually to reflect the adjusted effort, the PAR report certified by the individual, and approved by the responsible department official.

Upon changing a PAR, the individual should prepare a Payroll Cost Transfer to transfer charges to the proper accounts in accordance with the certified actual activity effort. The Payroll Cost Transfer form should be sent directly to the Payroll office. The adjusted Personnel Activity Report should be returned to the SPA, with a copy of the Payroll Cost Transfer form attached. (Refer to Policy and Procedure B.1 Payroll Cost Transfers ).

4. Retroactive changes 

Changes in distribution of workload involving sponsored projects may not normally be made for any prior pay period after the Personnel Activity Report has been certified. This makes it very important that these reports be carefully reviewed before being certified.

In the very exceptional situation in which it is later found that the original certification was not correct, retroactive changes may be requested by the use of a memo which fully explains (1) how the error occurred, (2) why it was not corrected earlier, and (3) who made the error. This new change also requires re-certification for correctness, with signatures from the same individual or department head who signed the original Personnel Activity Report. Such exceptional retroactive changes on grant and contract accounts are also subject to the concurrence of Sponsored Projects Accounting.
 
 

E. Departmental summary -- Payroll detail 
With each Personnel Activity Report distribution, the office of SPA will furnish to the department, or division head, a summary of payroll transactions for each individual for whom a Personnel Activity Report is received. If the department, or division, does not want to receive the summary, they can make arrangements with SPA. The summary contains confidential information, but should assist the primary department when changes are required.
 
F. Timeliness 
In accordance with the University's formal agreement with the Department of Health and Human Services, the Personnel Activity Report must be signed and dated by the individual promptly, but no later than, 30 days after it was mailed by the SPA department. The Personnel Activity Report should be returned to the SPA department no later than 60 days after it was mailed.
 

X. Outstanding PARs (21and 35 day letters):

At 21 and 35 days from the Personnel Activity Report (PAR) system preparation date, outstanding PARs are identified and a reminder letter is sent to the department PAR contact responsible for PAR receipt, distribution, and return.

With each letter is a list of all outstanding PARs for the current period for the department.

The reminder letter is as follows:

(Date) TO: Department Administrator, PARS Contact FROM:  Manager of Sponsored Projects Accounting / Indirect Cost  Box 1034 RE: Outstanding Personnel Activity Reports (PARs) As of (Date), twenty-one (21) [thirty-five (35)] days have passed since Sponsored Projects Accounting (SPA) distributed Personnel Activity Reports to your area. The attached exception list contains the names of individuals for whom SPA has not yet received a signed PAR form. Our agreement with the Department of Health and Human Services requires the PAR form be signed and dated by the receiving individual no later than thirty (30) days after the SPA department mailed it. Further, this agreement requires departments return all signed reports to SPA within sixty (60) days of mailing. Your timely return of the signed PAR reports is essential if the University is to meet the terms of this agreement. Our external auditors, as part of the annual OMB Circular A-133 audit, test the timeliness of our PAR process using the above guidelines. Our auditors report any exception to the above timeline to the Department of Health and Human Services. We need your cooperation in returning the outstanding reports. If you have any questions, please call Carla Reed at 935-7939.             Washington University  Campus Box 1034  St. Louis, Missouri 63130