Accounting Changes to HHS awards

The U.S. Department of Health and Human Services (HHS) has issued a directive to institutions, that HHS agencies including the National Institutes of Health (NIH) and Health Resources and Services Administration (HRSA) will transition payment for grant awards to Payment Management System (PMS) subaccounts by the end of the government’s FY 2014 (September 30, 2014). This is being done to enhance the financial data integrity and financial closeout of all awards. For these types of awards, PMS will establish subaccounts for each award made on or after October 1, 2013. All new awards and competitive renewals will be issued into subaccounts beginning October 1, 2013. No internal changes need to be made to accounts for payments on these awards.


The change to non-competing continuations will begin in October of 2014. Project period end dates will be shortened to the budget period end date and the award will be split into two shorter segments. To facilitate this change, new internal award and project numbers will be required.

The Office of Sponsored Projects (OSP) and Grants and Contracts Accounting (GCA) are working together to help facilitate this change to all HHS awards. The internal plans will be communicated as they are put into place. Below are links from the federal agencies with more information.