Acquiring third-party funds
Contents
Third-party funds and other revenue – defining terms
Advice on third-party funded projects
Third-party funding applications
Third-party funding regulations
Funding bodies, research applications
The main duties and paid sidelines of professors
Responsibilities of institutes and central research institutions
Responsibilities of the University Administration
Third-party funds and other revenue – defining terms
According to the state government’s third-party funding regulations, third-party funds are monetary grants, payments in kind and payments for services rendered under contracts, along with all other monetary advantages for duties in research and teaching under §2(1) LHG.
‘Other revenue’ under §13(1 and 6) LHG includes payments by third-parties for other university duties under §2 LHG. Third-party funding regulations apply to them. Other revenue, e.g. to support infrastructure, must not be accepted for purposes of individual members of the university; this does not apply to scholarships and other personal subsidies. Payment in kind includes not only physical objects of lasting value (investments), but also consumer objects (see also “Grants in kind” below). Other monetary advantages are all other services by third-parties that benefit the university or one of its members, e.g. the use of premises, facilities or staff, procuring tickets for public transport, air tickets, hotel accommodation etc, if they are provided by the third-party donor free of charge or at a considerably reduced price. Third-party funding that is handled via a business undertaking run by the university also fall under the third party regulations of the state of Baden-Württemberg.
The entitlement of §13(1 and 6) LHG to accept third-party funding does not cover
- funds for purposes outside the duties of the university;;
- grants given to a member of the university for private purposes, not for university duties; in such a case the latest version of the administrative regulation on accepting gifts must be respected;
- price reductions or benefits linked to sales revenue, as they only serve to reduce the cost of procurement;
- funds for purposes that are prohibited by law or immoral.
§ 13 LHG financial and reporting system 
Third-party funding regulations (PDF) (Ger)
Advice on third-party funded projects
Heidelberg Research Service advises on acquiring third-party funded projects. There is also a Department for Legal and Structural Issues of Research Funding, which is responsible for legal advice on research contracts and third-party funded research projects.
Advisory Service and Project Management
Third-party funding regulations
In addition to the state budgetary regulations, the third-party funding regulations (administrative regulations) of the state of Baden-Württemberg must be respected when it comes to acquiring and managing third-party funds. The third-party funding regulations set out in §13 and §41 LHG apply to grants and research contracts that public or private third-parties award the University or one of its members. They do not apply to income earned by a member of the university from an approved private sideline.
The statutory provisions on acquiring and accepting third party funds under §13(6) LHG and the supplementary third-party funding regulations aim to ensure that the members of the university concerned, when carrying out their duties in an orderly way, need not fear prosecution under public service law or the criminal code.
Support associations may also be third-party funders. If they (or similar associations) provide third-party funds or other grants (e.g. donations and sponsoring) the third-party funding regulations of the state of Baden-Württemberg shall apply without restriction.
Third-party funding regulations (PDF) (Ger)
Baden-Württemberg Universities Act (LHG)
Funding bodies, research applications
Federal ministries or the funding bodies they commission
Printed applications to the German federal government must be submitted via the Research Division. This also applies to applications that need to be submitted initially in electronic form via easy-Online, which is the portal for applying for federal government funds. In the University administration the application has to be signed by the Vice-President for Finance and Personnel, and in the case of applications up to €500,000 by authorized persons in the Research Division. The Research Division will pass on the application documents to the appropriate project funding body commissioned by the German federal government and to the Baden-Württemberg Ministry of Science, Research and the Arts.
German Research Council (DFG)
The DFG uses the ‘elan’ system for processing electronic proposals. In the case of applications for research grants, the Emmy Noether programme and priority programmes, the applicant sends them directly to the DFG. For other requirements, please consult the appropriate guidelines “Research Grants Programme”. A copy of the proposal must be sent to the Research Division. The Research Division must also receive notification of grants in good time and on fully completed forms. The DFG liaison professor at Heidelberg University must also be informed. Employer statements must always be issued by the Research Division.
Applications to set up special research units, graduate schools or research groups must be submitted via the Research Division. The DFG liaison officer at Heidelberg University must also be informed. Heidelberg Research Service advises on the application mode and possibilities of obtaining start-up finance.
DFG Liaison Officer at Heidelberg University
Prof. Dr. Jan Stievermann
Faculty of Theology / Heidelberg Center for American Studies (HCA)
Tel. +49 6221 54-3897 / +49 6221 54-3881
jstievermann@hca.uni-heidelberg.de
DFG's electronic prosposal processing system (elan)
Guidelines „Research Grants Programme“
European Union
In the case of proposals to the European Union, applicants usually submit the proposal documentation themselves, via the Funding & Tender Opportunities Portal of the European Commission. In the case of the European Research Council (ERC) grants, interview training is offered.
Employer statements must always be issued via the Research Division.
Furthermore, Heidelberg Research Service needs to be involved in the proposal. It also gives information about opportunities for start-up finance.
Checklist "Basic Steps for Project Proposals and Project Management in Horizon 2020" (PDF) (Ger)
Funding & Tender Opportunities Portal
Contract research, scientific services and cooperation research
Proposals or offers must be submitted via the Research Division.
Other funding bodies (e.g. foundations, the state of Baden-Württemberg)
Proposals are generally made directly to the respective funding body – as appropriate, via the faculty. In this case, multiple copies of the proposal must be presented to the Research Division. It is a good idea to involve Heidelberg Research Service.
Relations Division also gives advice on proposals in the area of international cooperation and exchange programmes (e.g. DAAD).
International Relations Division
The main duties and paid sidelines of professors
A research project in the field of the sciences or the arts may only be accepted and carried out uniformly in the course of duty or as a paid sideline (splitting is not allowed). If professors do research in the course of duty, they cannot involve their staff in it as though they were working on the side. If professors accept jobs to be carried out as a paid sideline they must declare to the Personnel Division in writing that this is their wish and they have received permission to work on the side. Furthermore, they must declare that an arrangement has been – or will be - made for a utilization fee to be paid for the use of facilities.
According to regulations on sidelines, professor may only take on research in the sciences or the arts if they themselves organize the essential administrative steps, supervise their implementation and bear personal responsibility for them. The income earned must not be directed to the University finance office or the Baden Württemberg finance directorate. If a member of the university employs staff during a paid sideline in the field of sciences or the arts, he or she must meet all employer obligations in respect of labour law and the fiscal and social code.
The professor is personally liable for an additional benefit payment that may have been promised to the employee in their employment contract. If these employees work in university institutes and facilities or if private equipment is to be set up and used there, approval by the university is required. The university administration must not give any administrative assistance going beyond information. The Personnel Division can provide further information in this respect.
Conflicts of interest
Third-party contracts with companies and other undertakings (e.g. associations) in any way financially involving members of the university need the express approval of the President’s Office. In such cases, the members of the university involved must disclose their involvement to the Research Division.
Grants in kind
Grants in kind for funding research or teaching and for other purposes shall basically go into the corporate assets of the University. An exception is only possible if the grant-donor decides that the grant in kind is to become state property. In this case it must be registered as property of the state of Baden-Württemberg.
Division for Foundations and Assets
Donations
Donations are grants of money by third parties pursuant to Chap. I section 2 of the Third-party funding regulations, which are to be managed according to state administrative regulations. Deviating from §45(2) LHO, the funds shall be available beyond the financial year as long as the donor does not determine otherwise. A distinction is made between donations to fund research and teaching, which are administered via the Research Division, and those earmarked for other purposes and administered via the Division for Foundations and Assets.
See also “Grants in kind”.
Third-party funding regulations (PDF) (Ger)
§ 45 (2) LHO (research and work-time restriction)
Division for Foundations and Assets
Sponsoring
Sponsoring contracts must be signed in the Research Division. The third-party funding regulations apply to the acquisition, acceptance and management of such funds, along with the use of funds for the company-related goals of advertising or public relations.
Sponsoring in the narrower, business administration sense means the granting of money or monetary advantages by companies to support persons, groups and/or organizations in sporting, cultural, church-related, academic, social, environmental or similar important areas of social policy; through these grants the sponsor also regularly follows its own entrepreneurial goals of advertising or public relations. The payments made by a sponsor are regularly based on contractual agreement between the sponsor and the recipient of the payments (sponsoring contract), which sets out the type and amount of the payments made by the sponsor and the recipient.
A model for sponsoring agreements may be obtained from the Department for Legal and Structural Issues of Research Funding. Under certain circumstances, sponsoring may be subject to value-added tax. Tax issues are dealt with in the Taxes Department.
Forms, guidelines, model contracts
Taxes Department (Finance Division)
Responsibilities of institutes and central research institutions
The University finance office has provided specific forms, which must be used for all payments. All institutes etc. must contact it to clarify any discrepancies regarding account management, ledger excerpts or notification of credit balances. University institutes and/or the grant recipient are responsible for the orderly management of the funds in the context of existing budgetary regulations (including the state budgetary regulations), the third-party regulations of the state of Baden-Württemberg and the respective terms and conditions for approving the third-party funds.
Supplementary to the state budgetary regulations, the acquisition and management of third-party funds entails compliance with the third-party funding regulations (administrative regulations) of the state of Baden-Württemberg. The third-party funding regulations set out in §13 and §41 of LHG apply to grants and research contracts that public or private third-parties award the university or one of its members. They do not apply to income earned by a member of the university from an approved private sideline.
The statutory rules on acquiring and accepting third party funds under §13(6) LHG and the supplementary third-party funding regulations aim to ensure that the members of the university concerned, when carrying out their duties in an orderly way, need not fear any prosecution under service law or the criminal code.
Support associations can also third-party funders. If they (or similar associations) provide third-party funds or similar grants (e.g. donations and sponsoring) the third-party regulations of the state of Baden-Württemberg shall apply without restriction.
Forms (University Finance Office)
State budgetary regluations (LHO)
Third-party funding regulations of the state of Baden-Württemberg (PDF) (Ger)
Responsibilities of the University Administration
Third-party fund management, legal and structural questions relating to research funding, congress and conference management (Research Division)
The Research Division is responsible for all questions in the context of applying for and managing third-party funds. Heidelberg Research Service advises on the acquisition of third-party funded projects. The Department for Legal and Structural Issues of Research Funding is responsible for legal advice in connection with research contracts and third-party funded projects (including IP and technology transfer). Its website lists the names of the Research Division administrative assistants responsible for project management (e.g. establishing accounts, checking evidence of use of funds). Congress and Conference Management (UniKT) is available to handle congresses and conferences in the context of third-party projects.
Department Legal and Structural Issues of Research Funding
Congress and Conference Management (UniKT)
Staff matters, acquiring large-size technical equipment, research buildings (University Administration)
The Personnel Division is concerned with staff matters in third-party projects. The Finance Division and particularly the central procurement office in the budgetary department are responsible for all procurement (€5,000 net) in the context of third-party projects, notably for scientific technical equipment for the 91b procedure (over €200,000 gross). The Division of Planning, Building and Safety is responsible for research premises.
Procurement manual (Central procurement office)
Large-size scientific equipment
Division of Planning, Construction and Safety
Publishing: open access and research data (University Library)
The University Library gives advice and support with publishing (particularly open access) and the publicizing of research data planned or arising in the context of third-party funded projects.
