Situations may arise during award performance that cause the sponsor to issue a stop work order/suspension or termination.
Stop Work Orders/Suspensions
Upon receipt of a stop work order or suspension the university shall immediately comply with its terms and take all reasonable steps to minimize the incurrence of costs allocable to the work covered in the order. This includes:
- Cancellation of travel, equipment, supplies and services.
- Issuance of stop work orders to subrecipients. Division of Sponsored Programs (DSP) Subcontract team will issue.
- Issuance of stop work orders to consultants. Unit is responsible for issuing.
- Shifting of staff to other work and sources of funding where possible. Consideration of furlough where not possible.
- Retain detailed supporting documentation including attempts to cancel or minimize costs.
Resumption of Work
If the sponsor cancels the stop work order (SWO) or otherwise communicates that the university should resume work the university may seek reimbursement for reasonable costs that could not be mitigated during the SWO/suspension period. Consideration should be given to impact of the SWO on the period of performance or cost of completion. Requests for time extensions and/or additional funds should be submitted at this time.
Termination
If the stop work order is not cancelled and the work is terminated for convenience the university may seek reimbursement of certain termination related costs.
Examples of termination costs generally eligible for reimbursement include:
- Staff termination costs. For employees who cannot be shifted to other work, costs associated with layoff and mandatory notice periods as required by university policy. Work with your local HR to determine the mandatory notice period. *The costs associated with mandatory notice periods cannot exceed the original end of the award.
- Graduate student costs. Graduate student support through the end of the current semester. Units should work with the student on transition to a new project, advisor, and/or source of funding.
- Equipment, services (including consulting), supplies and materials on order. These should be canceled wherever possible. The unit is responsible for communicating with consultant or service providers regarding termination/cancellation.
- Travel and shipping for materials and equipment that need to be returned to UF from a remote site.
- Travel. Costs associated with return of staff on travel or temporarily headquartered abroad.
- Subrecipient costs. Subrecipients must estimate their termination costs ASAP and provide a detailed list of eligible termination related costs to UF. The DSP Subcontract team will notify the subrecipient of termination. The termination clause in the subaward will drive the allowability of costs.
- Cancellation costs. Cost of cancelling equipment/supply orders, services (including consulting), and travel.
- Indirect costs on items above, as appropriate.
To assist Contracts and Grants in providing an accounting of costs:
- Immediately process any outstanding payments (e.g., subaward invoices, equipment or supplies received, travel reimbursements).
- Compile a detailed list of eligible termination-related costs, as described above.
- Retain detailed supporting documentation including calculations for every financial obligation and attempts to cancel or minimize costs. This includes documenting HR determinations for mandatory notice periods.
- Note that requests for final reimbursement and other closeout reports may have expedited timelines.
*Always refer to the termination clause in your agreement as that will drive the allowability of termination costs.
To assist with employee notifications:
- The university should take appropriate employment action within ten (10) business days of receiving a termination notice.
- The unit’s local HR should immediately notify UFHR Employee Relations (EmployeeRelations@hr.ufl.edu) to coordinate necessary workforce reductions, which may involve reassignment, time-limited ending, furlough, layoff, or non-reappointment/nonrenewal.