Assigning Extra Service Policy

Effective Date:

December 26, 2014

Supersedes:

Salary Rules and Policies when Assigning Extra Service

Policy Review Date:

March 2017

Issuing Authority:

Research Foundation President

Responsible Party:

Vice President, Human Resources

Contact Information:

518-434-7080

hra@rfsuny.org

Reason for Policy

At times, employees are called upon to perform activities that are not directly related to their recognized institutional duties, or that significantly increases the recognized institutional duties for a fixed period of time, such as providing expertise outside the employee’s obligation, regular department, school or college. Extra compensation for these services not directly related to institutional duties may be permitted when certain conditions are met. In addition, it is important to ensure extra service compensation paid from federally funded awards complies with Office of Management and Budget (OMB) governing regulations:

Statement of Policy

The Research Foundation for The State University of New York ("Research Foundation" or "RF" policy for establishing salaries for extra service compensation follows established RF compensation policies and procedures for regular employees with some additional requirements. Refer to Salary Rules and Policies When Assigning Regular Employees for policy and responsibilities associated with establishing salaries for regular employees. The extra-service appointment of a State University employee may be subject to additional requirements and approval under SUNY and campus policies and procedures. Additionally, the extra service salary rate for a full time SUNY employee may exceed the maximum of the RF pay range without additional approvals when the rate is consistent with SUNY salary rules for the base obligation compensation.

All RF employment must be approved according to Research Foundation policies and procedures, comply with RF position titles and standards, and comply with federal and state laws and regulations. In addition, RF follows OMB governing regulations in charging allowable "Extra Service Compensation" to federally funded projects.

Requirements for Extra Services Compensation

Full-time, RF or SUNY exempt employees may be entitled to receive extra service compensation if all of the following conditions have been met:

  1. Work is different from or in addition to individual’s regular departmental load and must not interfere with the employee’s regular professional obligations.
  2. Extra service compensation that is paid from a sponsored award is disclosed and approved in accordance with sponsor requirements, if applicable.
  3. Payment is properly authorized in accordance with RF policy and procedures.

Additional Requirements for Extra Service on Federally-Funded Activities

OMB governing regulations place certain restrictions on extra service compensation for faculty members working on projects sponsored by federal funds. These federal regulations allow compensation above the Institutional base salary, as referenced in language from the regulations 2 CFR Part 200.430(h)(3): "in unusual cases where consultation is across departmental lines or involves a separate or remote operation, and the work performed by the faculty member is in addition to his or her regular responsibilities, any charges for such work representing additional compensation above IBS are allowable provided that such consulting arrangements are specifically provided for in the Federal award or approved in writing by the Federal awarding agency." This may be accomplished by itemizing extra service in the budget, in the proposal, in the agreement, or by other means that shows sponsor approval, if known.

Consultation as used above refers to the individual’s activities outside of and in addition to their full-time obligation.

In order to ensure compliance and proper stewardship of federal funds, these additional requirements shall apply to compensation for extra service performed by faculty on projects funded wholly or in part with federal funds:

Indications that work is across departmental lines may include:

Criteria for Determining the Amount for Extra Service Compensation

Limit on Payments

Extra service payments to SUNY or RF exempt employees are limited to 20 percent (20%) over the employee’s total (100%) Institutional Base Salary (IBS).

Exception

There may be occasions when circumstances and business need warrant a payment higher than 20% when extra service is paid from unrestricted funds. Exceptions for SUNY professional employees to this limit may be allowed on a case by case basis and require additional approvals.

Documentation

A request for extra service compensation form should generally be completed prior to commencement of work. If this does not happen due to business circumstances, the reasons why should be documented.

Documentation must include:

Extra service compensation funded by a sponsored award is disclosed and/or approved in writing in accordance with sponsor requirements. Expenses must be allowable, reasonable, allocable, and consistently applied. Additional documentation must be maintained:

Monitoring Extra Service Payments

Extra Service should be monitored in accordance with this policy and procedure.

Responsibilities

The following table outlines the responsibilities for compliance with this policy:

Responsible Party

Responsibility

Operations Manager or designee

Review and approve extra service compensation to ensure compliance with RF policy.

Campus President or designee

Review and approves extra service payments above 20% of annual IBS to ensure compliance with RF policy.

Campus President or designee to which the operations manager reports

Review and approve extra service payments to operations managers to ensure compliance with RF policy.

RF President or designee

Review and approve

a) extra service payments to operations managers

b) extra service payments above 20% of annual IBS

Central Office of Human Resources

Maintain corporate policy.

Definitions

Extra Service Compensation - Extra service compensation is a type of additional compensation paid to a full-time exempt employee of The Research Foundation (RF) or of the State University of New York (SUNY) for activities outside of and in addition to the employee’s full- time obligation and salary. The term additional compensation is not used in this document to refer to compensation for employment by any employer other than RF or SUNY.

Institutional Base Salary- Institutional Base Salary (IBS) refers to the annual salary paid to an individual for performance of all professional obligations required by the individual's primary appointment. These professional obligations may include, for example, research, teaching (SUNY employees), administrative functions, and/or other service activities, and are generally identified in the individual's appointment or reappointment letter, position description or other documents regarding employment expectations that are typically found in the HR file. Unless otherwise specified, the annual salary stated in the appointment or reappointment letter fully compensates the individual for all professional obligations required by his/her primary obligation. IBS excludes any income that an individual is permitted to earn outside of duties performed as part of their primary appointment.

Income Fund Reimbursement- Process to reimburse SUNY for salary and fringe benefit costs related to SUNY employees working on RF-administered sponsored projects.

Related Information

Salary Rules and Policies when Assigning Regular Employees

Salary Rules and Policies when Assigning Summer Employees

Oracle Input and Monitoring of Extra Service Procedure

Forms

The Extra Service Compensation Approval form or campus specific request form is used to document extra service payments and obtain appropriate approvals. Extra service forms and documentation will typically be retained in the employee’s personnel file.

Extra Service Compensation Approval Form

Change History

Date

Summary of Change

December 26, 2014

Added OMB reference to 2 CFR Part 200.

December 7, 2012

Strengthened requirements to meet an extra service appointments and the documentation requirements, additional rules for federally funded awards to comply with A-21 Effective 3/15/2013

 

 

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