---
kind: "section"
citation: "32 C.F.R. § 37.820"
title: "32"
number: "37.820"
heading: "Must I require a recipient to return interest on advance payments?"
url: "https://uscodex.org/cfr/32/37.820"
---

# §37.820. Must I require a recipient to return interest on advance payments?


If your expenditure-based TIA provides for either advance payments or payable milestones, the agreement must require the recipient to:

- (a) 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:
  - (1) The recipient receives less than $120,000 in Federal grants, cooperative agreements, and TIAs per year;
  - (2) 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
  - (3) 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.
- (b) **Remit annually the interest earned to the administrative agreements officer.**

## Notes

### Authority

Authority: 5 U.S.C. 301 and 10 U.S.C. 113.

### Source

Source: 68 FR 47160, Aug. 7, 2003, unless otherwise noted.