Cost sharing is defined as a financial commitment by GSU to share in the expense of conducting a project for which funding is being requested from an external agency. It is not the same as institutional support you might receive from the GSU internal grants programs or GRA support from your Department Chair or Dean.
The same cost sharing dollars can be used only once. Cost sharing cannot come from federal funds. When cost-sharing is met by contributing time and effort, the University will also claim as cost-sharing the fringe benefits and facilities and administrative costs (indirect costs) that it would have earned had that time and effort been charged as a direct cost to the grant. The University's share of cost-sharing commitment may come from several sources; however, the originating department is responsible for securing the required funds. A separate cost sharing budget and/or budget narrative must be included with a proposal.
There are two types of cost sharing, namely involuntary cost sharing and voluntary cost sharing.
Involuntary (mandatory or required) cost sharing is when a sponsoring agency requires the institution to share in the costs of doing the proposed project. Required cost-sharing will be included in the sponsor's guidelines for proposal submission. Some sponsoring agencies have a specific percentage requirement. It is not unusual for private foundations to require a dollar for dollar match or to require cost sharing for faculty salaries. Some agencies require a match for any equipment that may be budgeted. Whatever the requirement, it will be specified in their guidelines and must be met for the proposal to be accepted. The dollar amount should be identified on the Proposal Routing Form. Within the proposal itself, a budget detailing the budgetary areas used for match should be included. Because it is required by the agency and are so stated in their call for proposals, these types of cost sharing will typically be approved by OSP without question.
In contrast, voluntary cost sharing is where there is no stated requirement by the funding organization that there be any cost sharing. Agency directors emphasize that voluntary cost sharing will not increase the likelihood of a proposal being funded. Therefore, unless a program officer has specifically indicated that cost-sharing will increase the probability for funding you should not include cost-sharing in your proposal. Cost sharing that is mentioned in the budget narrative or in the research narrative is still considered a commitment to cost sharing, even if it is not included in the budget itself.
GSU discourages voluntary cost sharing. A letter of support signed by Department Chair and College Dean is required for all voluntary cost share. Include any documentation from the agency about the desirability of cost sharing (e.g., email from a sponsoring agency official).
Note that where cost sharing is committed on a subcontract, it will be the responsibility of the GSU Principal Investigator's department to cover this cost sharing if the subcontractor does not commit (and document) the promised cost sharing. Note that this may end up being in the form of a Fund Code 10 budget transfer.