6.2 - Budget Negotiation and Proposal Modification


Occasionally a sponsor will express interest in supporting a proposed project provided that certain changes are made. These may include:

  • changes in the budget (usually a reduction);
  • addition, modification, or deletion of objectives; or
  • change in performance period.

The PI/PD should review the proposed revisions and determine whether the revised project would be in the best interest of the university. For instance, if a sponsor wishes to reduce the amount of a budget without a comparable reduction of objectives, the project will probably not be in the best interest of the university and the PI/PD.

If the sponsor-suggested changes can be made and the PI/PD revises the overall proposal, the revised proposal should be transmitted through the usual transmittal process (see Section 5.5), with “Revised” checked on the UM Transmittal Sheet.

In cases in which only the budget is revised, the revision should be transmitted through the usual transmittal process, but with a Proposal Budget Revision Transmittal Sheet (posted on the ORSP Budget Forms page) instead of the UM Transmittal Sheet for Sponsored Projects.

Note: Negotiations regarding the programmatic or technical content of the proposal are the responsibility of the PI/PD. However, all questions relating to fiscal and administrative aspects of the proposal should be referred to ORSP staff, who will, in close collaboration with the PI/PD, negotiate on behalf of the university. Researchers are reminded that they do not have the authority to commit the university contractually.