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DEO LIHEAP Policies and Procedures Manual Page 13

.03 Advances A. If a subrecipient receives an advance, then advance expenditure tracking is based on ninety percent (90%) of two months of reported expenditures. B. DEO Staff will calculate and track the following: (1.) Total Amount of Advance (2.) 90% of the Amount of Advance (3.) Expenditures per month as reported on the FA (4.) Calculation of two months’ worth of expenditures (5.) Calculation of two months’ worth of expenditures less than 90% of the Advance C. The calculation of two months’ worth of expenditures is a rolling target, i.e., March & April, April & May, May & June, etc., until the subrecipient has received all available reimbursement and starts expending their advance only. This should occur no later than the beginning of the 4th quarter of the agreement. D. If the calculation of two months’ worth of expenditures less than 90% of the Advance is positive, the subrecipient’s expenditures have exceeded 90% of the advance amount. The full amount requested on the FA may be reimbursed (unless there are other issues to clarify prior to submitting the FA for reimbursement). E. If the calculation of two months’ worth of expenditures less than 90% of the Advance is negative, the subrecipient’s expenditures have NOT exceeded 90% of the advance amount, and full reimbursement cannot be made. F. If the subrecipient does not expend a minimum of 90% of the advance amount in any two consecutive months, the pending reimbursement request will be reduced by the difference between 90% of the advance amount and the total sum of the two-month expenditure. This can happen more than once during an Agreement period. G. In the event that the amount of the advance is reduced; DEO staff will recalculate the advance amount and 90% calculation based on the reduced amount.

.04 Designation Process

If any geographic area of the state is not, or ceases to be served through the Low- Income Home Energy Assistance Program (LIHEAP), the Florida Department of Economic Opportunity (DEO) shall solicit applications and designate a LIHEAP provider subrecipient using the following procedure: