Common use of Measuring Time Funds Are Held Deposit to Clearance Clause in Contracts

Measuring Time Funds Are Held Deposit to Clearance. To determine the total time Federal funds are held, the State shall measure the time between the date Federal funds are received and credited to a State's account and the date those funds are debited from the State's account. For programs using non-interest neutral Payment Schedules funding techniques where Federal funds are received and credited to a State's account before the date those funds are debited from the State's account, the State interest liability shall be based on the difference in whole days between the date the Federal funds are received and credited to a State's account and the date those related State funds are debited from the State's account as specified in Section 6.2.4 (non-interest neutral Payment Schedules funding techniques) of this Agreement. With Federal-State matching programs, interest shall be calculated on the State percentage of the disbursement.

Measuring Time Funds Are Held Deposit to Clearance. To determine the total time Federal funds are held, the State shall measure the time between the date Federal funds are received and credited to a State's account and the date those funds are debited from the State's account. For programs using non-interest neutral Payment Schedules funding techniques where Federal funds are received and credited to a State's account before the date those funds are debited from the State's account, the State interest liability shall be based on the difference in whole days between the date the Federal funds are received and credited to a State's account and the date those related State funds are debited from the State's account as specified in Section 6.2.4 (non-non- interest neutral Payment Schedules funding techniques) of this Agreement. With Federal-State matching programs, interest shall be calculated on the State percentage of the disbursement.