Ohio Admin. Code 3358:5-11-28 - Cash management, grant and contracts policy

(A) Clark State College receives external funding from various sources for grants and contracts, with the largest source being the Federal Government. The College will comply with federal regulations including those from the office of management and budget (OMB's 2 CFR 200 Uniform Administrative Requirements), and the Electronic Funds Transfer Act (15 U.S.C. 1693-1693r). Cost principles and audit requirements will be adhered to as specified in any governmental award.

(B) Clark state college requires complying with the college's policies and procedures as well as the grant's and contract's terms and conditions, and any regulations regarding the charging and reporting of costs on the award(s).

(C) Clark state college will provide accurate, timely, and complete disclosure of the financial results of grants and contracts. Timely recording of transactions required and final reporting of required reporting and closeout requirements.

(D) The purpose of this policy is to provide guidance for the monitoring and collection of cash and accounts receivable on sponsored awards in accordance with federal and other non-federal sponsor requirements. The objective is to ensure consistent and timely processing of grant and contract revenues as well as reducing the college's exposure to delinquent or uncollected funds.

(E) This policy applies to all grants and contracts and must be followed by all individuals involved operationally or in administering grants and contracts on behalf of the college.

Standards for cash advance payment method

(1) The drawdown reimbursement request mechanism is preferred over the payment-in-advance mechanism for receiving grant/contract award payments. Drawdown requests for cash reimbursement of allowable grant expenditures will be as determined by the grant agency or the business office monthly, unless an alternative longer interval is specified and permitted under a specific grant award.

(2) Drawdown reimbursement requests must be substantiated by sufficient support to justify the request, including general ledger reporting that reconciles (a) recorded grant expenditures and (b) recorded grant revenues to (c) the drawdown amount requested.

(3) Clark state college shall make timely payment to contractors in accordance with contract provisions.

(4) Clark state college shall account for all receipts, obligations, and expenditures of grant and contract funds.

(5) Advance payments will be deposited and maintained in insured accounts whenever possible.

(6) Advance payments will be interest-bearing accounts unless the following apply:

(a) The best reasonable available, interested bearing account would not meet required guidelines as noted in the grants and contracts;

(b) The depository would require an average or minimum balance so high that it would not be feasible within expected federal and non-federal cash resources;

(c) The banking system prohibits the type interest bearing requirement in the grants and contracts.

(d) Pursuant to federal law and regulations, Clark state college may retain interest earned for administrative costs as allowed. Any additional interest earned on advance payments deposited in interest-bearing accounts must be remitted according to the government contract as prescribed in the grant and contract and federal law. Remittances shall include pertinent information of the payee and nature of the payment.

(7) Applicable laws, regulations, and guidance

2 C.F.R. 200.305

Notes

Ohio Admin. Code 3358:5-11-28

Effective: 11/15/2022
Promulgated Under: 111.15
Statutory Authority: 3358.
Rule Amplifies: 3358.