Thanks to a rough election season as well as a fumbling American economy, many people are now scrambling to make ends meet by cleaning up their finances…This includes the government as well. And after USA Today published a series of articles that showed a growing salary gap between private-sector and federal workers, officials from the Office of Personnel Management (OPM) were quick to defend themselves.

In August, USA Today reported that civil servants were receiving an average pay and benefits amounting to approximately $123k for 2009 while private workers were making $61k in total compensation. This same report used data released by the Bureau of Economic Analysis to conclude that the aforementioned compensation had grown from $30,415 in 2000 to $62,000 in 2009.

According to a statement obtained from John Berry, the government’s personnel chief,

These stories have compared apples to oranges…We should be applauding these hard-working civil servants, not mischaracterizing them. [source]

Further, according to article published in TWSJ, the data critics are using includes jobs and careers that are tipped in favor of highly educated employees. Tad DeHaven, a budget analyst and blogger for the Cato Institute may have had a point when he was recorded as stating,

The numbers are in the eye of the beholder..[source]

(Via: The Washington Post)

The grant, known as the Clinical and Translational Science Award (CTSA), is a five-year grant and is one of several that is being awarded to at least eight other research centers this year. Thus far, the CTSA has supported 55 programs since 2003. In addition to the Medical College of Wisconsin, other institutions that are participating in the award include:

• Marquette University
• Milwaukee School of Engineering
• University of Wisconsin-Milwaukee
• BloodCenter of Wisconsin
• Children’s Hospital and Health System
• Froedtert Hospital
• Clement J. Zablocki VA Medical Center

The grants are significant because the NIH is

…awarding them to centers it believes will be best at translating research advances into treatment, training researchers and engaging communities in their research efforts. [source]

Opening doors for southeastern Wisconsin

For a period of time, there has been a longstanding concern in southeastern Wisconsin that while there are numerous projects at smaller research institutions, no effort has been made to pool together resources in order to take on more complex, rewarding work. Upon receiving the grant, relationships have now been sparked between the region’s largest research institutions, which will hopefully lead to a more powerful research effort in the near future.

(Via: JS Online)

Though Michigan has a long standing relationship with the manufacturing industry, the state is now turning its attention to improving chances as well as opportunities for single parents to pursue a college degree so that more doors of opportunity may be available to them should they choose a non-manufacturing route, something which may be the result of so many jobs lost within that industry.

According to an article published on Helium, Michigan competitiveness scholarship programs are:

…open to student who can demonstrate both financial need and merit. However it is only open to those students who have been out of high school for ten years or less. The maximum award granted under the scholarship is currently $510 per annum at a public college or $1610 at an independent college. Students must maintain a grade point average of 2:0. [source]

Single parents and college grants

A large part of the problem with regards to college grants and the single parent student population is that often, single parents find the thought of raising money to support themselves through college incredibly intimidating. However, what even more students fail to realize is that there are several financial programs aimed at helping out with the costs of a college education.

One example of such a financial program is the federal Pell grant. This grant is non repayable and is awarded to those students who demonstrate the most financial need. Single parents are first encouraged to fill out an application through the Free Application for Federal Student Aid (FAFSA).

Another option available to single parents in Michigan is the Michigan Tuition Grant, which doles out a maximum of $1,610 per academic year to those students who can demonstrate financial need, which most single parent students are already eligible to do. With such financial options available to single parent students in the form of grants, scholarships and federal loans, obtaining a college education is most certainly attainable.

(Via: Helium)

No doubt, college administrators, staff and students are excited about being awarded the training grant, as it will allow the university to forge ahead in new and exciting areas of study that will only seek to improve USF’s nursing program.

The federal grant was issued by the Department of Health and Human Services Health Resources and Services Administration. And according to the news article, using part of the program funded through the grant, USF will:

…study how the use of emerging technologies can supplement nursing students’ clinical experiences, reduce the pressure on over-stressed hospitals that serve as settings for hands-on learning, and create nurses better prepared to enter today’s high-tech health care field. [source]

For more information about college administrator software or grant management, contact IT Works today at 919-232-5332.

However, recently, this same group of people have been targeted, “victimized” and insulted upon receiving notification of special college grants and scholarships that President Obama had created specifically for single mothers.  As it turns out, women were receiving ads via email where they would see a picture of the President as well as a link which, when clicked on, took them into a new window where they were then asked to enter their age as well as other specific information related to the kind of college degree they sought. This same website then produced a list of schools that matched up with the email recipients choices.

Within a short period of time, recruiters from popular universities such as Kaplan University and the University of Phoenix would send out emails and phone calls. In one case, a woman by the name of Nicole Massey, started asking these colleges about the Obama loans as well as money for single moms, in which recruiters responded that they would contact her with more information regarding her question. The only problem was that they failed to contact her.

When ProPublica attempted to follow up on this apparent scam by following several lead generators linked to the Obama mom ads, all either declined to comment or did not return calls/e-mails. That’s when they took matters into their own hands. Using volunteers from the ProPublica Reporting Network to click on the links and fill out the online forms, ProPublica hoped to determine which schools were buying leads. Just as Massey had it happen to her, all of the volunteers received dozens of emails and phone calls within no time from the following schools:

• Walden University
• Golden Gate University
• Kaplan University
• Ashford University
• American InterContinental University
• Capella University
• Colorado Technical University
• University of Phoenix
• University of Southern California Rossier School of Education

Of the aforementioned colleges, only one was a non-profit university. When volunteers asked lead generators and college recruiters about the Obama grans or scholarships for moms, none of the recruiters claimed that these grants actually existed however, none disputed that they existed either.

(Via: ProPublica)

Recently, Jim Wrenn, President and CEO of IT Works and Rebecca Vandall, Director of New Program Development and Strategic Partnerships at SRA International, held a seminar entitled Managing Re-charge Centers and Research Service Facilities. The next several blog posts will provide an outline of material that was covered during the seminar.

Accounting and financial management play an integral role in the overall management of a recharge center. Colleges, universities, research centers as well as other healthcare administrators operate in a complex and often demanding financial environment, which is why it is important that there be a solid accounting solutions program in place. Often, financial management reporting can be broken down by the following items.

For more information about Facility/Re-Charge Center Management or for questions regarding this seminar, contact Rebecca at rvandall@srainternational.org or Jim Wrenn at wrennj@itworks-inc.com.

Understanding the Center

When discussing the recharge center and its overall role, it is important to remember that the recharge center is a business. According to recent statistics, businesses with fewer than twenty employees only have a 37% chance of surviving more than four years. Additionally, only four percent of businesses in the United States will gross above $1 million in revenue each year. That said, what is the main item separating the successful businesses from those that are unsuccessful?

Successful businesses have financial plans.

Other questions to keep in mind when thinking about recharge centers include:

• What goods and services are being provided?
• Who provides the service? (There are some self operating centers where people operate machines, but these people need to be trained, etc.)

Capital Equipment Needed

When discussing the type and quantity of equipment needed, the following items need to be taken into consideration:

• Risks to the research project (to people..safety issues, HIPAA, etc.)
• Seasonal (i.e. environmental labs, marine biology groups, etc.)
• Identifying Costs (in order to set billing rates)
• Production Costs (can be divided into time and materials)
• Time (i.e. equipment operation, identifying the steps, accurate time estimates, preparation, training, scheduling issues, etc.)
• Materials (i.e. supplies, losses, expiration, theft, non-billable work, etc.)

For more information about Facility/Re-Charge Center Management or for questions regarding this seminar, contact Rebecca at rvandall@srainternational.org or Jim Wrenn at wrennj@itworks-inc.com.

Establishing and Revising Billing Rates

• Defining cost recovery: “The recoupment of the purchase price of a capital or qualified asset through depreciation over a prescribed period” [source]
• How long would it take the work to reach its maximum level?
• How much work will be performed by that facility? (This will depend on the type of research being done at the facility.
• Look at what your budget expenses are (prior year under/over recoveries) divided by expected volume of work performed.
• Billing units may be expressed in units of output, labor hours, machine time or other measurement.
• Rates for external users may include costs associated with facilities and administrative (indirect costs).
• Track internal versus external charges separately in order to avoid the perception of overcharging.
• Use a separate Direct Charge account for subsidized users.

Standard Billing & Collection Procedures

• Complete invoice only after work is completed.
• Work is charged according to predefined billing rates: University Rates; Outside University Rates; Track Rates Historically.
• A detailed invoice should be generated, including the following: Itemized list of charges and rates; Track who received the work; How to pay for it: info@b5media.com
• A monthly billing cycle should also be generated.

Example of How to Track Billing Rates:

Item/Service | Rate Group | Rate | Start Date | End Date

Invoices Should Include the Following:

• Billing address for facility
• Date invoiced
• List of items or services that were performed
• Instructions on how to pay for invoice (which will vary from university to university, regarding how the accountant will pay for work that is charged)
• Identifying direct account prior to purchase
• Past due invoice collection: [Frequency; Who collects (better to have administrator collect because he has better access to the university accounting system, and  it also has to do with a quality assurance issue); Discontinuation of services

Dates to Monitor

• Work scheduled, started, and completion dates (month that invoice is completed is what is going to drive the invoice)
• Invoice date
• Payment date
• Past due date (Unpaid invoices are an audit problem!)

Managing money is a critical factor in any Re-Charge Center structure, and one which should not be overlooked. Establishing billing rates will assist recharge centers in retaining accurate documentation as well as assist them in processing any billings in a timely manner. Setting up a system that supports any charges that are made, including documentation of various expenses and uses should be retained by the recharge center in the even of an audit.

For more information about Facility/Re-Charge Center Management or for questions regarding this seminar, contact Rebecca at rvandall@srainternational.org or Jim Wrenn at wrennj@itworks-inc.com.

Justifying a Re-Charge Center

In order to justify whether or not a recharge center needs to exist, the following questions must be addressed:

• Does the service fit the mission of your organization?
• Are there other units providing the same or similar services?
• How long will the products/services be in demand?
• What is the expected level of activity, and when will it be reached?
• What is the financial plan for the center?
• Can your organization survive without it?

University Requirements

• Complex and specific services not otherwise readily available
• Minimum annual billing requirements and charges to grants

Government Requirements

• Billing rates should recover direct and indirect costs of providing products or services
• Billing rates cannot discriminate between federal and non federal sponsors. Outside customers may be billed more.
• Operate on fiscal year basis
• Calculation and review of billing rates
• Establishment of operating accounts

Operating the Center

• Department administrator responsibilities (typically responsible for coordinating with Principal Investigators, the Department Head/Chair and other administrative personnel in order to provide financial and administrative advice on various projects.)
• Preparing and administering budgets
• Developing and supporting billing rate schedules
• Record keeping
• Determining allowable costs
• Invoicing requirements
• Support audit requests
• Allowable working capital
• Separation of multiple services (i.e. You cannot take the profits from one recharge center and use it to supplement losses from another one. You cannot merge one with the other.)

For more information about Facility/Re-Charge Center Management or for questions regarding this seminar, contact Rebecca at rvandall@srainternational.org or Jim Wrenn at wrennj@itworks-inc.com.