Grant A grant is type of financial or other assistance awarded to an organization for the conduct of research or other program as specified in an approved proposal. A grant is used when the sponsor anticipates no substantial programmatic involvement with the recipient during the performance of the project. Terms and conditions on grants are flexible, including fiscal management of awards. Grants are the most commonly used type of sponsored agreement. Terms and conditions on contracts usually are strict, and fiscal management normally is not flexible.
Many types of contracts exist.
The campus rarely accepts fixed-price contracts, in which the awarding agency pays a predetermined amount rather than reimbursing actual expenditures. Fixed-price contracts can create serious financial burdens. A cooperative agreement is used when the purpose of the agreement is similar to that of a grant, but substantial programmatic involvement of or coordination by the funding agency is anticipated during the project. These agreements, commonly referred to as subcontracts, can be in the form of a subgrant, subcontract, or subagreement. SPO is responsible for issuing collaborative awards.