Common use of Disbursements Without Warrants Clause in Contracts

Disbursements Without Warrants. For payments made with journal entries (without warrants) between state departments, the state will incur an interest liability between the time federal funds are deposited in the state account and the journal entry date. The federal government will incur an interest liability between the journal entry date and the deposit of federal funds. The funds are paid out for program purposes when transferred to the other state department's account. In this case, one state department is acting as a vendor for another state department. There is no redemption period for these payments because the journal entries between state departments occur simultaneously.

Disbursements Without Warrants. For payments made with journal entries (without warrants) between state 6 departments, the state will incur an interest liability between the time federal funds are deposited in the state account and the journal entry date. The federal government will incur an interest liability between the journal entry date and the deposit of federal funds. The funds are paid out for program purposes when transferred to the other state department's account. In this case, one state department is acting as a vendor for another state department. There is no redemption period for these payments because the journal entries between state departments occur simultaneously.