Program Income

Op4.02-11 Program Income

Introduction

Program income is the gross income earned that is directly generated by a supported activity or earned as a result of a sponsored award during the period of performance.

Examples of program income are:

• Fees for services
• Use or rental on real or personal property acquired under awards
• Sale of commodities or items fabricated under an award
• License fees and royalties on patents and copyrights

Policy

Depositing program income

Grants and Contracts Accounting should be contacted at the time it is recognized program income will be generated. They will assist in establishing the proper method of accounting for the income. Since program income has the same accountability requirements as federal grant funds, Grants and Contracts will select a mechanism which will account for program income in accordance with federal requirements.

Reporting program income

Program income, in accordance with specific agency requirements, is reported to the sponsoring agency on financial reports which are prepared periodically.