Common use of Description of Funding Techniques Clause in Contracts

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Actual Clearance, ZBA - Same Day Payment ACH The State shall request funds such that they are deposited by ACH in a State account on the same day it pays out funds, settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that dayon the settlement date. This funding technique is interest neutral. Average Composite Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day number of clearance days required for the disbursementfunds to be paid out for a series of disbursements, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact sum of the payments issued in the series of disbursements. This funding technique is interest neutral. Estimated Clearance The State shall request funds such that they are deposited in a State account in accordance with the clearance pattern specified in Exhibit II - EC (Estimated Clearance). The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of that each request will be a percentage of the disbursement, according to the State's clearance pattern specified in Exhibit II - EC. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Modified Pre-Issuance The State of Ohio's accounting system requires funding to be available prior to initiating a disbursement. In addition, disbursements take two business days to produce a payment. Given this fact pattern, State of Ohio agencies are typically unable to meet the three business day requirement and an eight business day requirement is necessary for agency compliance with this agreement. The State shall request funds such that they are deposited in a State account not more than eight business days prior to the day the State makes a disbursement. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be the amount the State expects to disburse. This funding technique is not interest neutral. Reimbursable The State shall request funds such that they are deposited on a weekly, monthly, or quarterly basis. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be equal to the amount of the reimbursement requested by each respective state agency for allowable administrative and program costs. The State of Ohio voluntarily waives its right to claim federal interest liability. This funding technique is not interest neutral.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-dollar- weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no programs listed for Section 6.2.4.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual ClearanceThere are currently no funding techniques listed in Section 6.2.1. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Capitalization Grants for State Revolving Funds The State shall request funds to minimize the time between the drawdown of funds from Treasury and their deposit into the revolving fund. The timing of the drawdown of Federal funds for deposit to the revolving fund is subject to the interest provisions of 31 CFR Part 205, however there is an interest exemption for the interest the State earns once the funds are deposited into the revolving fund. The request for funds shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of the funds to be used for immediate program purposes. The State will not incur an interest liability for interest earned on revolving fund loans. This funding technique is interest neutral. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Admin/Tech Grants for State Revolving Funds The State shall request funds such that they are deposited by electronic payment to the State Revolving Fund Trustee, which in turn deposits the funds by electronic payment in a State account. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be based upon expenditure reports from State's accounting system and the State Revolving Fund grants. This funding technique is interest neutral. Allocated Administrative Costs - Weekly The State, for the Department of Labor, shall request funds on Tuesdays for expenditures posted the previous Friday, and shall request funds on Fridays for expenditures posted the previous Tuesday. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The State, for the Department of Social Services, shall request funds on the first business day of the week, such that they are deposited ACH in a State account on the second business day of the week, to fund the allocated costs charged to the program during the prior week. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be 1/13 of the actual cost allocation of the prior quarter(s). If necessary, the State shall adjust the drawdown to the actual allocation at the end of the quarter. This funding technique is interest neutral. Direct Costs - Weekly The State shall request funds on the first business day of the week, such that they are deposited ACH in a State account on the second business day of the week, to fund the actual direct costs charged to the program during the prior week. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. This funding technique is interest neutral. Modified ACH The State shall request funds such that they are deposited by ACH in a State account. The State shall request funds on the second business day of the week such that funds are deposited on the third business day of the week to fund all non-cash transactions with a settlement date the prior week. The State shall request Administrative ACH transactions on Tuesdays and Fridays such that they are deposited the following business day. The request shall be based on payment reports issued by the State's accounting system. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of funds that clear the State's account on the settlement date. The settlement date of payments issued by the State is the effective date of interagency transfers, journal vouchers, or other accounting system transactions made by the State to pay out funds for program purposes. This funding technique is interest neutral. Modified Average Clearance The State shall request funds such that they are deposited by ACH on: * The dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II; or, * The effective date of interagency transfers, journal vouchers, or other accounting system transactions made by the State to pay out funds for program purposes. The request for funds shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be rounded to the nearest dollar or the exact amount of the disbursement. This funding technique is interest neutral. Modified Electronic Benefit Transfer eFunds, under a contractual agreement with the Department of Social Service, shall request funds via Fedwire as a same day, cash drawdown for Electronic Benefit Transfers. The funds will be deposited directly to the account of eFunds. The drawdown of funds shall be the same day that retailers are paid for transactions made at electronic point of sale machines. The funds shall always be drawn on the same day that settlement funds are paid out. This funding technique is interest neutral. Modified Weekly Costs CFDA 17.225 The State, for the Department of Labor, shall request funds on Fridays to be received on the following Monday to cover expenditures from the prior week. Draws will only be made when the expenditures from the week are over $5,000. This funding technique is interest neutral. Modified ZBA - ACH The State shall request funds such that they are deposited by ACH in a State account on the settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of funds that clear the State's account on the settlement date. The settlement date of payments issued by the State is: * The settlement date of ACH payments (also called Direct Deposit payments) made by the State to pay out funds for program purposes; or, * The effective date of interagency transfers, journal vouchers, or other accounting system transactions made by the State to pay out funds for program purposes. The State shall request funds on the first business day of the week, such that they are deposited on the second day of the week, to fund all non-cash transactions with a settlement date during the prior week. This funding technique is interest neutral. Modified ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day, less the amount of returns received on the prior banking day. This funding technique is interest neutral. Average Clearance National Guard Reimbursable Costs The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit IIelectronic payment. The request shall be made in accordance with the appropriate Federal agency cut-cut off time specified in Exhibit I. The amount request for reimbursable expenses shall be based off the monthly expenditure report and shall not be requested prior to the issuance of the monthly expenditure report. The request for reimbursable expenses shall be for based on the exact amount of that disbursementexpenditure report issued by the State's accounting system and shall be made on a monthly basis. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual and Adjusted Estimate Administrative costs for all programs will be drawn at the same time as payroll. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The draw will consist of an amount to fund the actual expenditures of the prior week and an amount to fund the estimated expenditures of the current/upcoming week based on year to date actual expenditures. The estimated draws will be adjusted for variances between the most recent estimate and actual expenditures each time a draw is made. This funding technique is interest neutral. Actual at Fixed Intervals The State shall request funds at a fixed interval, i.e., bi-weekly, monthly, quarterly, etc., for the actual program expenditures of the period prior to the draw. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of the previous period's disbursements. This funding technique is interest neutral. Allocation of Payroll and Administrative Costs The State will request funds on a bi-weekly basis. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. Administrative costs for all programs are to be drawn at the same time as payroll costs. The draw will be completed to meet the cash requirements based on the most recent certified cost allocations with subsequent adjustments completed pursuant to the actual allocation of costs. This funding technique is interest neutral.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Actual Clearance, ZBA - ACH The State shall request funds such that they are deposited by ACH in a State account on the settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of funds that clear the State's account on the settlement date. This funding technique is interest neutral. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-dollar- weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.. Funding Technique Name Description

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.. There are no funding techniques listed in Section 6.2.4

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - ACH The State shall request funds such that they are deposited by ACH in a State account on the settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of funds that clear the State's account on the settlement date. This funding technique is interest neutral. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance ACH The State shall request funds such that they are deposited by ACH in a State account on the dollar-weighted average day settlement date of clearance for payments issued by the disbursement, in accordance with the clearance pattern specified in Exhibit IIState. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of funds that disbursementclear the State's account on the settlement date. This funding technique is interest neutral. Payment Schedule - Weekly The State shall request funds such that they are deposited in a State account on the median business day of the week. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be a prorated share of the lesser of (1) the annual grant divided by 52, or (2) the total amount of Federal funds expected to be paid out for program purposes during the year divided by 52. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There Funding Technique Name Description Direct Administrative Costs - Drawdowns on a Payroll Cycle The State shall request funds for all direct administrative costs such that they are no deposited on the dollar-weighted average date of clearance of payroll. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of funds requested shall be based on the amount of liabilities recorded for direct administrative costs since the last request for funds. This funding techniques listed in Section 6.2.2technique is interest neutral. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no programs listed for Section 6.2.4.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment ACH The State shall request funds such that they are deposited by ACH in a State account on the same day it pays out funds, settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that dayon the settlement date. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. Pre-Issuance The State shall request funds such that they are deposited in a State account not more than three business days prior to the day the State makes a disbursement. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be the amount the State expects to disburse. This funding technique is not interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.. There are no funding techniques listed in Section 6.2.4

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. Estimated Clearance The State shall request funds such that they are deposited in a State account in accordance with the clearance pattern specified in Exhibit II - EC (Estimated Clearance). The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of each request will be a percentage of the disbursement, according to the State's clearance pattern specified in Exhibit II - EC. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment ACH The State shall request funds such that they are deposited by ACH in a State account on the same day it pays out funds, settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that dayon the settlement date. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Automatic Payment Distribution Revenue from Public (Federal) land leasing will trigger automatic payment distribution from the Federal Government. The payment distributions are computed in accordance with Federal Law. Funds are not requested. Automatic payment distributions are sent by the Federal Government. This funding technique is interest neutral.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. Payment Schedule - Weekly The State shall request funds such that they are deposited in a State account on the median business day of the week. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be a prorated share of the lesser of (1) the annual grant divided by 52, or (2) the total amount of Federal funds expected to be paid out for program purposes during the year divided by 52. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - ACH The State shall request funds such that they are deposited by ACH in a State account on the settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of funds that clear the State's account on the settlement date. This funding technique is interest neutral. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Actual Clearance, ZBA - Same Day Payment ACH The State shall request funds such that they are deposited by ACH in a State account on the same day it pays out funds, settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that dayon the settlement date. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-dollar- weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no programs listed for Section 6.2.4.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cutPost-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance Issuance The State shall request funds such that they are deposited by ACH on in a State account after the dollar-weighted average day of clearance for State issues checks, but before the disbursement, in accordance with the clearance pattern specified in Exhibit IIchecks clear. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that the disbursement. This funding technique is not interest neutral. Pre-Issuance The State shall request funds such that they are deposited in a State account not more than three business days prior to the day the State makes a disbursement. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be the amount the State expects to disburse. This funding technique is not interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.. There are no funding techniques listed in Section 6.2.4

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Actual Clearance, ZBA - ACH The State shall request funds such that they are deposited by ACH in a State account on the settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the amount of funds that clear the State's account on the settlement date. This funding technique is interest neutral. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollarDocuSign Envelope ID: 5B58DBBB-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cutFD9D-4337-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral.814F-A4681EFBA60C DocuSign Envelope ID: C3293439-0D6E-4500-A659-0B75F3840700 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Funding Technique Name Description Composite Clearance - Modified The composite average clearance day shall be calculated by combining the average clearance days for each cash flow component within the program. The State shall multiply the average clearance days for each cash flow component by the percentage of the total program costs represented by each cash flow component to yield the composite average clearance day. Cash flow components include: Child Care Payments - Check, Home Energy Assistance Payments, W2 Payments - Checks, Accounts Payable - Checks, Accounts Payable - ACH, Provider Payments Fiscal Agent - Gainwell Technologies, Provider Payments Fiscal Agent - WPS, WIC Food Costs, and Allocated Costs. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The State will request funds 0 to 3 days, depending on the average clearance days for that program, prior to when funds will debit the State's bank account. The amount of the request shall be for the exact amount of the disbursement. This funding technique is interest neutral. Composite Clearance - Modified for Highway Planning and Construction-CFDA 20.205 The State shall request funds weekly such that they are deposited on the dollar weighted average number of days required for funds to be paid out for a series of construction and payroll disbursements (i.e. for the composite average clearance day, see description below). The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be the sum of the payments issued in the series of disbursements. The composite average clearance day shall be calculated by combining the average clearance days for the construction and payroll cash flow components within the Highway Planning and Construction Program. The State shall determine the average clearance day for construction costs by analyzing the actual construction costs billed to highway projects during state fiscal year 2019 and applying the average clearance pattern listed in Exhibit II of this Agreement. The State shall multiply the average clearance days for each cash flow component by the percentage of total program costs represented by each cash flow component to yield the composite average clearance day for the Highway Planning and Construction Program. The State shall not use allocated costs in determining the composite average clearance day. This funding technique is interest neutral.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Description Funding Technique Name Actual Clearance, ZBA - Same Day Payment ACH The State shall request funds such that they are deposited by ACH in a State account on the same day it pays out funds, settlement date of payments issued by the State. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that dayon the settlement date. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-dollar- weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.2. 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no funding techniques listed in Section 6.2.3. 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are currently no programs listed for Section 6.2.4.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 6.3 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, There are no funding techniques listed in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral.Section 6.2.1 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 6.3 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 6.3 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 6.3 of this Agreement. Modified Pre-Issuance Funding (DOE, VDH, DRS, DBVI, DMAS) The Commonwealth shall request Federal funds so that they are deposited not more than three business days prior to the day on which the related expenditure is recorded in the Commonwealth's Accounting and Reporting System (CARS), and not later than the day the related payment is issued by the Commonwealth. The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. The amount of the request should be the amount that the State expects to disburse. Under this modified pre-issuance funding technique, Federal funds may be deposited after the related expenditure recording date in CARS, provided sufficient Federal cash was on hand at the time the related expenditure was released into CARS. This funding technique is not interest neutral. Actual Base Monthly (DRS, DBVI) The State shall request funds once each month, such that they are deposited at the end of the month. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be determined by applying the indirect cost rate to the appropriate direct cost base (usually salaries and wages) of the prior month. Indirect costs are excluded from interest liabilities and calculations per Section 3.5 of this Agreement. This funding technique is interest neutral. Actual Base Modified Monthly (DOE) The State shall request funds once each month, such that they are deposited not earlier than the 25th of the month, and not later than the end of the month. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be determined by applying the indirect cost rate to the total prior month cost of salaries, fringe benefits, travel, materials, supplies, freight and express services, postal services, printing and reproduction, organization memberships, and convention and education services. Indirect costs are excluded from interest liabilities and calculations per Section 3.5 of this Agreement. This funding technique is interest neutral. Post Expenditure Funding (DSS, VDOT, DRPT) The State shall request Federal funds only after related expenditures have been recorded in the Commonwealth's Accounting and Reporting System (CARS). The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. When using this funding technique, neither the State nor the Federal government shall be required to calculate or incur an interest liability. The State voluntarily waives Federal interest liabilities resulting from the post expenditure funding technique. This funding technique is interest neutral. Actual Costs - Estimated Allocation (Semi-Monthly) (DSS) The State shall request funds at semi-monthly intervals, such that funds are deposited on or about the 1st and the 16th of the month. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be an estimated allocation derived from prior quarter data as allocated based on the Cost Allocation Plan. Each quarter, after actual costs have been determined, the State shall adjust the estimated allocations to actual allocations based on an approved cost allocation plan. Indirect costs are excluded from interest liabilities and calculations per Section 3.5 of this Agreement. This funding technique is interest neutral. Annually (DMAS) The Commonwealth shall draw down statewide indirect costs once a year, upon receipt of the federally approved amount from DOA. The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. An interest liability shall not be incurred per Section 3.5 of this agreement. This funding technique is interest neutral. Actual Base Quarterly (VDH) The State shall request funds once a quarter, such that they are deposited on or about the middle of the first month, following the quarter and not later than the end of the same month. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be determined by applying the indirect cost rate to the appropriate direct cost base (usually salaries and wages) of the quarter. Indirect costs are excluded from interest liabilities and calculations per Section 3.5 of this Agreement. This funding technique is interest neutral. Proportionate Share (VEC) The State shall include a proportionate share of the indirect cost allowance in each request for funds by applying the indirect cost rate to the appropriate direct cost base (usually salaries and wages) of each drawdown. The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. Indirect costs are excluded from interest liabilities per Section 3.5 of this Agreement. This funding technique is interest neutral. Payment Schedule (Semimonthly Nonpersonal Services) (VEC) The State shall request funds such that they are deposited in a State account on the median business day between semimonthly paydays. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request for funds shall be the estimated nonpersonal services portion of the annual grant award divided by 24 with the exception of automation money which will be requested when expended. The estimate of the nonpersonal services portion shall be based upon the actual proportion of nonpersonal service costs to total grant costs in the previous quarter. At the end of each quarter, the agency recalculates its quarterly drawdown schedule. This schedule compares the cumulative year to date and quarterly expenditures. Any overage/shortage is taken into consideration during the recalculation of the schedule and is adjusted on the first drawdown of the quarter. The Federal Cash Transaction Report PSC 272-E Report is reconciled to the VEC's internal reports and submitted electronically to the Department of Labor. This report contains the amount advanced by transaction, date, and grant identification number. An interest liability will not be incurred by using this technique. This funding technique is interest neutral. ZBA (EBT IN VIRGINIA) (DSS) Electronic Benefit Transfer (EBT) Funding: Affiliated Computer Services, Inc. will draw down federal funds from the food stamp letter of credit through ASAP to cover the amount of EBT transactions being settled that day. Funds from the ASAP payment request are wired by Federal Reserve Bank of Richmond (FRB Richmond) to the VA EBT Clearing account. The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. EDS provides an auto-reconciliation file to Affiliated Computer Services, Inc. on a daily basis that is used to reconcile the draw down against the amount of the ACH debit, and adjustments are netted against the next subsequent payment request. This funding technique is interest neutral. Average Clearance Technique for Current Projects (VDOT) The State shall request funds for deposit on the dollar weighted average number of days required for funds to be paid out after each daily disbursement. The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. This drawdown deposit date is: (1) the average number of days, if any, from the expenditure voucher submission date to CARS to the CARS expenditure posting date, plus (2) the dollar weighted average number of days from the CARS expenditure posting date to the related check clearance date. VDOT shall calculate time period (1), and add it to time period (2), which will be periodically, estimated and transmitted to VDOT by DOA using the most recent 12-month average monthly statewide general warrants and payroll check clearance patterns adjusted by the latest 12-month average system float, and by the most recent 12-month average estimated proportion of funds paid out by EDI and direct deposit. This funding technique is interest neutral. Average Clearance Technique for Maintenance Payments to Beneficiaries (DSS – TANF & LIHEAP) For the direct cost components in the TANF and LIHEAP programs (CFDA #'s 93.558 & 93.568), the State shall request funds for deposit on the dollar weighted average number of days required for related funds to clear the bank. The request shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. The check issuance dates are set by DSS. The monthly dollar weighted average number of days from the check issuance date to the bank clearance date for social service benefits is calculated by the bank, and distributed to DOA. DOA shall prepare and advise DSS of the dollar weighted average clearance days to be used for timing the drawdown of Federal TANF and LIHEAP funds. This estimate shall be based on not less than three consecutive months of disbursement data provided by the bank. This funding technique is interest neutral. Actual Costs-Estimated Allocation Monthly (DSS) The State shall request funds once a month such that the funds are deposited on the fifth business day before the end of the month to fund the activities of the prior month. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of each monthly request shall be an estimated allocation derived from prior quarter data as allocated based on the Cost Allocation Plan. Each quarter, after actual costs have been determined, the State shall adjust the estimated allocations to actual allocations based on an approved cost allocation plan. This funding technique is interest neutral. Fixed Administrative Allowance (Semi-monthly Payroll)(VEC) The State shall make semi-monthly requests for payroll funds such that they are deposited by ACH on the average day of clearance for the payroll in accordance with the statewide payroll check clearance pattern, modified by the percentage of payroll direct deposits for the VEC. The request for funds shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request for funds shall be the estimated payroll portion of the annual grant award divided by 24. The estimate of the payroll portion shall be based upon the actual proportion of payroll costs to total grant costs in the previous quarter. At the end of each quarter, the agency recalculates its quarterly drawdown schedule. This schedule compares the cumulative year to date and quarterly expenditures. Any overage/shortage is taken into consideration during the recalculation of the schedule and is adjusted on the first drawdown of the quarter. The Federal Cash Transaction Report PSC 272-E Report is reconciled to the VEC's internal reports and submitted electronically to the Department of Labor. This report contains the amount advanced by transaction, date, and grant identification number. This funding technique is interest neutral. Average Clearance Funding Technique for the Medicaid/CHIP Combined Account (DMAS) The Medicaid/ Children’s Health Insurance Program (CHIP) programs use a combined bank account for weekly remittance checks issued on a fixed weekly schedule by the Department of Medical Assistance Services’ (DMAS) Fiscal Agent. Checks issued by the DMAS Fiscal Agent exclude DMAS Fiscal Agent manual remittance check payments and EFT transfers. For weekly remittance checks issued each Friday by the DMAS Fiscal Agent, the State shall request funds as a single weekly drawdown request for deposit on the dollar-weighted average day of check clearance. The request for Federal funds shall be made in accordance with the appropriate agency cut-off time specified in Exhibit I. Per §205.12 (3) of the Federal CMIA regulations, the dollar-weighted average day of clearance is the day when, on a cumulative basis, 50 percent of the funds have been paid out. To comply with §205.12 (3), DMAS shall determine the dollar-weighted average day of check clearance, Department of Accounts (DOA) concurring, from the latest three consecutive months of bank float reports for the Combined Medicaid/CHIP bank account. The bank provides monthly float reports to the DMAS Fiscal Agent who forwards them to DMAS and DOA. This funding technique is interest neutral.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in accordance with the clearance pattern specified in Exhibit II. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that disbursement. This funding technique is interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement.

Description of Funding Techniques. 6.2.1 The following are terms under which standard funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Actual Clearance, ZBA - Same Day Payment The State shall request funds the same day it pays out funds, in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. A Federal agency will deposit funds in a State account the same day as requested. The amount of the request shall be for the amount of funds that clear the State's account that day. This funding technique is interest neutral. Average Estimated Clearance The State shall request funds such that they are deposited by ACH on the dollar-weighted average day of clearance for the disbursement, in a State account in accordance with the clearance pattern specified in Exhibit IIII - EC (Estimated Clearance). The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of each request will be a percentage of the disbursement, according to the State's clearance pattern specified in Exhibit II - EC. This funding technique is interest neutral. Post-Issuance The State shall request funds such that they are deposited in a State account after the State issues checks, but before the checks clear. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The amount of the request shall be for the exact amount of that the disbursement. This funding technique is not interest neutral. 6.2.2 The following are terms under which funding techniques for administrative costs shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.2 6.2.3 The following are terms under which miscellaneous funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. There are no funding techniques listed in Section 6.2.3 6.2.4 The following are terms under which State unique funding techniques shall be implemented for all transfers of funds to which the funding technique is applied in section 6.3.2 of this Agreement. Post-Issuance Pursuant to Federal Highway Administration (FHWA) Regulations The State shall submit the Federal bill to the FHWA at least once a week. On the day the bill is submitted, (a) the State will also request funds totaling the amount of that bill, and (b) the funds will be transferred by FHWA for deposit in the State account. The request shall be made in accordance with the appropriate Federal agency cut-off time specified in Exhibit I. The funds transfer will reimburse expenditures recorded in the State's Statewide Financial System which were (a) related to that specific bill, and (b) posted by the State during the usually one- to six-day period immediately prior to the date of that bill. This funding technique is not interest neutral.