Policy Section |
Change(s) |
Description |
Applicability/Purpose |
Added language about ARS Titles 15 & 35, AZ Constitution Article 9, Section 7. |
The overall purpose of this policy has been lost over time. It has become a policy about cash flow/backstopping and not about subsidizing for-profit companies. |
Applicability/Purpose |
Added minimum dollar amount to trigger applicability of the policy |
The minimum amount will capture the vast majority of projects where this policy applies, and will reduce administrative burden for the smallest awards. |
Applicability/Purpose |
Reduced sponsor definition to business/industry sponsors; removed non-profits, sub-federals, etc. |
This change reflects ASU and NAU non-federal payment term policies, and narrows the applicability to for-profit sponsors. The change aligns our policy with other state universities. The change also eliminates small business and sub-federal agreements from this policy. |
Acceptable Payment Terms |
Revised to require a minimum advanced payment amount, and details acceptable payment schedules beyond the initial advanced payment. |
This change represents a blend of ASU/NAU and UA Non-Federal Payment policies. |
Unacceptable Payment Terms |
New Section added to detail unacceptable payment terms. |
The existing policy does not provide information on terms that will be rejected. Listing unacceptable payment terms in the policy should help departments, faculty, and colleges better understand the policy’s application. |
NFPP Waiver |
Added language to clarify the terms of requesting a waiver of this policy. |
The original purpose of this policy has been obscured by cash flow concerns. While positive cash flow is very important, the policy exists to protect the use of state funds. Departments secured waivers of the policy based only on their statements that they understand their financial responsibility in the event of sponsor default or cash deficit. That responsibility exists regardless of sponsor type, and is not created by virtue of this policy. The waiver should indicate why a project is compelling enough to allow potential state funds subsidy of a non-federally funded project. |
Budget Authority |
Minor language clarifications |
|
NFPP Waiver Request Form |
New form |
We often receive requests for a form/format to request waivers of the NFPP. |
