Maine Center for Disease Control and Prevention WIC Nutrition Program Effective: October 1, 2011 Policy No. FM-2 Revised: October 1, 2023 State Agency WIC Expenditures and Drawdown Procedures Authority 7 CFR §246.13(i) 31 CFR §205 The Cash Management Improvement Act of 1990 (CMIA)

Policy

1. The State Agency shall drawdown NSA funds as close as is administratively feasible to actual disbursements. Generally, the drawdown of federal funds will occur after the corresponding disbursements.

2. The State Agency will maintain federal funds at hand no greater than needed to cover five (5) business days of related expenses.

3. The Financial Manager shall be responsible for ensuring that funds are available to reimburse vendors/farmers for redeemed food benefits. 4. Food funds shall be wired from the State of Maine account to the WIC Food account based upon need and to minimize funds that are held in the account, while ensuring that benefits are paid and not returned for insufficient funds. 5. The State Agency shall manage its NSA grant on a cash basis.

Procedure 1. Wires shall be initiated when the Maine CDC WIC Nutrition Program bank account balance falls below five (5) days of average redemptions. Holidays, state government closings due to weather and temporary layoff days must be taken into consideration when determining the amount to transfer. 2. The State Agency shall ensure that NSA program receipts are auditable by obtaining the State Agency Director (or designee)’s approval on all draw downs, attaching the appropriate documentation for the draw, and maintaining the records for a minimum of seven (7) years.

Financial Management (FM) FM-2_Drawdowns_2024.docx 1