University of South Alabama Division of Academic Affairs
Faculty Grant Incentive Pilot Plan (FGIPP)
USA Faculty members employed in the Division of Academic Affairs may earn a
supplement to their salary through the USA Faculty Grant Incentive Pilot Plan
in accordance with the policy, eligibility criteria and other provisions as
described herein. The Plan will be implemented on a pilot basis and will be
reviewed two years following implementation to determine any adjustments that
may be necessary. While the plan is directly linked to the Universitys
strategic goal in research, increased research funding will directly benefit
all aspects of the University including teaching and service.
The FGIPP is intended to meet the following goals:
- To enhance the Universitys research programs by increasing the level
of extramural funding to the institution;
- To stimulate accomplishments in research, scholarship, instructional effectiveness,
and service associated with increases in externally funded grant activity;
- To stimulate increased grant and contract submissions and awards by faculty
members thereby enhancing the reputation of the University.
- To improve the institution=
s ability to recruit and retain faculty members who are capable of competing
successfully for externally funded grants and contracts.
- To stimulate the economic development of the community, state and region
through the development of the research enterprise.
To qualify for a salary supplement, a faculty member must include part, or
all, of his or her base salary and applicable fringe benefits in a grant or
contract budget (base salary = 9 months salary except for those faculty specifically
employed on 12-months contracts). This salary supplement is restricted to the
redistribution of available unrestricted funds generated by a faculty member
from current lapsed salary revenues that are derived from competitively funded
extramural grants and contracts. Funds from gifts and Federal direct appropriations
are not eligible. No other source of funds may be used to fund this incentive
Once each fiscal year, the salary support for each faculty member holding grants
will be evaluated to determine if such funds are available and all eligibility
criteria have been fulfilled. The salary supplement will be paid in a one-time
lump sum payment to eligible faculty once each year on the first working day
of December for eligible salary that accrued in the previous fiscal year
(October 1 through September 30).
The lapsed salary accumulated for that faculty member=
s activity on the grant or contract for the preceding fiscal year will be distributed
according to the following formula:
- Costs associated with the project such as equipment, supplies, cash match,
and costs for any faculty unfunded non-administrative reassigned time based
on a 12 credit full-time teaching load and any replacement costs, will be
deducted from the total lapse salary recovery amount prior to calculation
of an incentive salary distribution. Typically, the amount deducted for reassigned
time costs will be equivalent to the salary paid to a Ph.D. level part-time
faculty member to teach courses needed to replace the full-time faculty member,
whose time has been reassigned to non-administrative duties. In some cases,
replacement costs may exceed the normal rate paid to part-time instructors.
In these cases, actual replacement costs will be deducted.
- The investigator may be eligible to receive up to 50% of the remaining
funds in the lapsed salary pool (after deducting all replacement and other
costs as described above). The remaining lapsed salary funds will be distributed
to the college. A maximum of 30% of the annual base salary may be earned from
the grant incentive plan.
Summary: Distribution of Lapsed Salary Funds
- Amount Available for distribution to college/school and to investigators:
Total amount of lapsed salary minus (1) any cash match for the grant;
(2) instructional replacement costs for the investigators(s)
reassigned time for the project and any unfunded non-administrative
reassigned time based on a 12 credit full-time teaching load; and (3)
any other direct costs associated with the project such as equipment,
- Distribution of available funds after deductions
- Fifty percent (50%) to college/school
- Fifty percent (50%) to investigator(s)*.
A maximum of 30% of the annual salary base may be earned from the
grant incentive plan
- Completion of FGIP Form #1 and a memorandum requesting a salary supplement
under the plan must be submitted as attachments to the "Transmittal Sheet
for Proposals" during internal review of the application/proposal. Also,
requests for payment must be documented on the "Request for Faculty Grant
Incentive Payment" form and must be approved by the departmental chair,
the college or division dean, and the Senior Vice President for Academic Affairs,
and must be accompanied by a current copy of the individual=
s Federal Time and Effort Certification, if applicable.
- With the exception of those research track faculty as defined below in Number
3, all members of the full-time faculty in the Division of Academic Affairs
are eligible to file a request to participate in the FGIPP if their base university
salary and benefits are charged to a grant or contract, and if they are principal
investigators or co-principal investigators on the project. Administrators
may be eligible to participate only when they are the principal investigator.
Support staff and research assistants are not eligible to participate in the
- Some faculty have research appointments with contracts that require that
they receive external funding to pay a percentage of their base salary. Faculty
in this situation must first recover that contracted portion of their base
salary before being eligible for incentive pay. After repaying the university
the amount or percentage specified, research faculty are entitled to receive
incentive pay in accordance with the FGIPP. For example, consider a research
faculty member who by contract must recover $20,000 of his/her base salary.
If that faculty member recovers $50,000 of his/her base salary, the university
gets the first $20,000. If there are no other deductions for cash match, etc.,
the incentive for the faculty member is $15,000, and the college gets $15,000.
Consider the same situation but the faculty recovers only $30,000 of his/her
base salary. The university gets the first $20,000 and the maximum incentive
to the faculty member is $5,000. Those faculty who are appointed in a full-time
research track and who are expected to generate 100% of their salary from
grants are excluded from this incentive plan. Their salary cannot be supplemented
by grant support.
- The salary support must be derived from competitively funded extramural
grants or contracts. Funds from gifts and from direct federal appropriations
will not apply.
- The grant must include F & A costs at the maximum rate allowed by the
- Faculty members may request to participate in the plan for all competitive
grants or contracts that generate lapsed salary revenues, and to which applicable
fringe benefits are charged, including research, service, and training grants
and contracts. Investigators lapsed salary funded via direct appropriations
from the U.S. Congress will be excluded from the Incentive Plan (FGIPP).
- Prior to the payment of any incentive, the departmental chair, dean and
Senior Vice President of Academic Affairs must certify that the faculty member
has exhibited satisfactory performance in all assigned duties. Included are
the responsibilities of providing good performance of teaching, service and
administrative duties as assigned and good fiscal and administrative management
of all extramural funds, completion of necessary reports in a timely and effective
manner and the grant or contract account must be in good standing.
- The plan will not apply retroactively. Any salary charged to a grant or
contract for work performed after the date the plan is implemented may be
eligible for the plan. Salary charged to a grant or contract for work performed
prior to the date the plan is implemented is not eligible for the plan.
- Full-time faculty, upon initial appointment to the University, will be eligible
to participate in this plan in accordance with the terms of the FGIPP. However,
in all cases, all eligibility criteria must be met and salary supplement can
only be derived from funds accrued while employed at the University of South
Alabama and payment of supplement is made only on funds accrued in the previous
- Faculty members who terminate employment at USA will be entitled to an incentive
payment in accordance with all terms of the FGIPP accrued to the date of employment
termination. However, such payment will not be made until at least 90 days
following termination of employment and certification of satisfactory performance
in all assigned duties, as defined in # 7 above, is provided. Faculty members
who die or who transfer within the University into a position that would not
entail securing extramural research funding would be entitled to an incentive
payment accrued to the date of death or transfer.
Other Policy Provisions
- Salary supplements paid under authority of this plan constitute one-time-only
income. Such payments will not affect the base salary of the participating
faculty member. Base salary refers to the 9 month salary for all faculty members,
except for those explicitly appointed to 12 month contracts, e.g. those in
- Salary supplements paid under authority of this plan are subject to federal
and state tax withholding and Alabama Retirement Systems contribution requirements.
- Any participating faculty member may elect to assign all, or a portion,
of the incentive payment into an account to support professional development
in lieu of a salary supplement. Such deposits into professional development
accounts are not personal income, and therefore normally are not subject to
tax withholding or required retirement system contributions. Unobligated
balances in professional development accounts are subject to review by the
college at the end of each fiscal year and subject to withdrawal if plans
for their use are not approved annually by the respective department chair
- Faculty members participating in this plan, who currently receive unfunded
reassigned time from teaching to research, should not expect further reductions
in teaching load until all such reassignments are funded via grants or contracts.
- The grant incentive payment would be a supplement to the recipients
regular annual compensation and is not payment for additional work. The grant
incentive payment would not affect a recipients eligibility for merit
or other salary increases.
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