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05-027 Research and Innovation Center Policy and Procedures

Last Update: February 9, 2026

Approved: February 6, 2026 by President Zvi Szafran

Policy Contact: Director of Research and Sponsored Programs

Supersedes:


I. SCOPE

The policy herein applies to all SUNY Canton employees wishing to use the College’s facilities and/or equipment for any commercial purpose.

II. POLICY STATEMENT

Any faculty or staff member wishing to use College facilities and/or equipment (inclusive of equipment purchased through a college grant) for consulting or any other commercial purpose is required to contact the Research and Sponsored Programs (RASP) Office, located in MacArthur Hall 602, to determine the proper process and requirements for doing so.

The RASP Office has established the SUNY Canton Research and Innovation Center (RIC), specifically for the purpose of helping faculty and staff who wish to:

  • Create a business operated through the College’s auspices.
  • Offer their professional services associated with their research.
  • Use College facilities and/or equipment.

As an example, an engineering faculty member wanting to establish a company to test materials using facilities and instrumentation available at the College and to provide an analysis of what the test revealed to outside entities, would be required to do so through RIC, following the procedures delineated in this Policy.

III. POLICY

The College’s RASP Office works in partnership with the SUNY Research Foundation (RF) and follows RF policies and guidance to ensure compliance with sound business practices, federal and state laws and regulations, and cost accounting and financial reporting principles, including funds pertaining to the Research and Innovation Center (RIC). RIC is defined as a Specialized Service Facility (SSF) with respect to SUNY RF. Its financial activities will be administered by SUNY RF and maintained through a service and facility award (see Service and Facilities and Third-party Recharge Award Administration). As a recipient of federal funding, SUNY RF must comply with the U.S. Office ofManagement and Budget’s (OMB) cost principles (2 CFR Part 200). These principles govern cost allocation for specialized service facilities such as RIC.

This policy outlines the requirements for complying with OMB rules. There will likely be additional principles and requirements if the contracting party is a Federal or State agency. Non-compliance with any applicable policy could result in government-imposed fines or disallowed costs.

IV. DEFINITIONS

Facilities and Administrative Costs (F&A) – For all grants or contracts involving use of College facilities and/or equipment, F&A costs must be determined, grouped according to cost categories, and allocated to the relevant functions. The result of this determination is a list of costs that must be incorporated into the grant or contract budget or terms. The charging of F&A costs supports the College’s research effort, by identifying and covering costs that might otherwise be overlooked. These costs fall into two broad categories: “facilities” and “administration.”

  • Facilities’ costs include depreciation allowance for buildings and equipment, operation and maintenance expenses, library costs, and interest on debt.
  • Administrative cost includes general administrative and general expenses associated with the operation and oversight of a grant or contract, departmental administration, sponsored project administration, and student administration and services.

V. OTHER RELATED INFORMATION

Types of Accounts:

SUNY Canton’s RIC will consist of one main account that accepts all incoming payments for all services conducted by the businesses within the Center. Each business and F&A recipient will have an individual subaccount within the main account. The SUNY Canton RASP Office will work with SUNY RF central office on all incoming receivables to ensure that distribution to the proper subaccounts occurs. The sub accounts will allow for accurate tracking of receivables and expenditures.

Determining F&A Rates:

The F&A costs for services provided by various College offices will be charged directly to applicable businesses and are based on actual usage of the services. In some cases, at early stages in a company’s history, they may be charged F&A at below actual costs.

Actual Cost Recovery (Billing):

Determining the amount the company operating at the College can charge for its services is complicated, as it depends on who is being billed – if funding for the company has been obtained from the Federal Government, for example, F&A costs may not be billable, or may be restricted to a particular percentage. In general, billing rates are set to recover only actual costs – those paid through a State-appropriated account, a State income fund reimbursable account, a campus-based foundation, or a Research Foundation Service Facilities account.

There are some costs that are always inappropriate or unallowable and must be excluded from the billing rate calculation. These include:

  • Costs identified as unallowable in OMB Cost
  • Costs already covered by being included in the federal negotiated indirect (F&A) cost
  • Costs that are separately funded by the federal
  • Costs that are unrelated to the company itself.
  • Costs that are related to equipment or its replacement, other than

Year-End Balances:

Year-end balances (i.e., deficits and surpluses) should be carried forward to ensure that service centers do not recover less or more than their aggregate costs. It is not necessary that the billing rates charged for services are equal to thecost of providing the services during any one fiscal year. However, the rate should be reviewed and adjusted (if necessary) at least every two years for consistency with the long-term plan to recover costs.

VI. PROCEDURES

  1. Faculty and/or staff who are interested in developing a business operated through the College’s auspices should create a proposal that includes the following elements:
    1. The name of the proposed business.
    2. List of faculty and staff who will initially be involved in operating the business, including who will be designated as the principal contacts. The principal contacts are those persons best able to represent the business’ interests.
    3. The service(s) that the business will provide.
    4. The market or agencies that the business will serve.
    5. The facilities and equipment that the business will use, with the understanding that use of said facilities and equipment will only be possible insofar as it does not interfere with classes and student needs.
    6. The salaries or charges for services that arise from the business.
    7. The proposed date that the business will begin operation.
      Send this document to the RASP Office at grants@canton.edu.
  1. The RASP Office will conduct a preliminary review of the proposal and set up a meeting with the business’ principal contacts to discuss any questions that may have arisen, explain any additional information that may be necessary, and state any changes that may be necessary for the proposal to be implemented.
  2. The revised proposal will be reviewed by the relevant Department Chair, Dean, and Provost (if a faculty proposal) or Supervisor and Vice President (if a staff proposal) to ensure that the proposal is in the College’s best interests and will not unduly interfere with its operations. As a result of this review, the proposal may be moved forward for full development or rejected for stated cause. A proposal rejection can be appealed to the College President, whose decision will be final.
  3. If moved forward, the Research and Innovation Center (RIC) will work with the business’ principal contacts to establish the terms under which the business may operate. These terms include, but are not limited to:
    1. Determination of the F&A costs associated with the business.
    2. Developing a schedule of charges to those employing the business and the process by which those charges will be collected.
    3. Determination of the accounts to which the F&A portion of revenues from the business will be distributed.
    4. Determination of the amount and how the principals of the business will be compensated, including any limitations that may arise due to SUNY or State policies.
    5. Determination of when the relevant facilities and equipment associated with the business will be available for its use.
  4. A final document related to the business, its terms, and its operation will be created. The document will be considered final when signed by the Director of RASP, Vice President for Strategic Relations and Communications, Vice President for Administration, and President.
  5. The administrative structure of the Research and Innovation Center retains authority to ensure that the terms applying to the business and its principles are followed and to take appropriate action if this is not the case.
  6. The following general information will apply to businesses within the Research and Innovation Center.

Roles and Responsibilities:

While all parties should be familiar with the regulations and policies that govern SUNY RF service centers, there are specific responsibilities for various individuals and offices. RASP is the primary administrative office responsible for assistance and oversight of the SUNY Canton Research and Innovation Center policies and procedures.

The following table outlines the responsibilities for compliance with this policy:

Responsible Party

Responsibility

Research and Innovation Center Area Managers & RASP Office
  • Ensure that expenditures are appropriately coded.
  • Ensure that revenues are properly recorded and include charges as appropriate.
  • Invoice users frequently (preferably monthly), so that service center balances can be accurately assessed.
  • Prepare financial plans annually to ensure that expenditures and revenues are in balance.
  • If gross revenues exceed $50,000/year, perform an annual review of revenues and expenditures, adjusting the service center rates so that projected revenues for the next fiscal year fall within the 15% margin of break-even operation.

Department Administrators
  • Monitor the operations of each department within the Research and Innovation Center to ensure compliance with the Federal regulations and this SUNY Canton RASP policy.
  • Act as liaison between departmental Research and Innovation Center and RASP.

VII. FORMS

VIII. AUTHORITY

None

IX. HISTORY

None

X. APPENDICES

These policies, procedures, and regulations were created based upon the current position of the Research and Sponsored Programs Office at SUNY Canton.

SUNY RF policies and procedures:

Additional Information:

XI. FREQUENCY OF REVIEW AND UPDATE

Policies will have a normal review period of every five (5) years unless required otherwise.