§37.820. Must I require a recipient to return interest on advance payments?
32 C.F.R. § 37.820
If your expenditure-based TIA provides for either advance payments or payable milestones, the agreement must require the recipient to:
Maintain in an interest-bearing account any advance payments or milestone payment amounts received in advance of needs to disburse the funds for program purposes unless:
The recipient receives less than $120,000 in Federal grants, cooperative agreements, and TIAs per year;
The best reasonably available interest-bearing account would not be expected to earn interest in excess of $1,000 per year on the advance or milestone payments; or
The depository would require an average or minimum balance so high that it would not be feasible within the expected Federal and non-Federal cash resources for the project.
Remit annually the interest earned to the administrative agreements officer.
Notes, amendments, and revision history
Authority
Authority: 5 U.S.C. 301 and 10 U.S.C. 113.
Source
Source: 68 FR 47160, Aug. 7, 2003, unless otherwise noted.