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Tennessee Housing Development Agency 2025 LIHEAP Policy Manual for Regular and Crisis Assistance 56

• Informing low-income and elderly applicants of LIHEAP assistance or other low- income programs. • Interagency agreements with other low-income program offices for outreach to target groups. • Other charges may be considered if submitted to THDA for approval before purchase.

7.9 Allowable Energy Conservation Expenditures (Assurance 16) Assurance 16 expenditures are capped at 2% of the total amount drawn down by the subgrantee. Examples of allowable Energy Conservation expenditures include: • Energy conservation education classes • Informational videos • Handouts/flyers promoting energy conservation • Energy conservation kits • Review and education of household energy usage and costs • Budget counseling related to energy management These Assurance 16 activities must be approved by THDA in the annual Operational Plan. Please refer to Section E for additional information on Assurance 16 activities.

7.10 Reimbursement of Expenses Expenditures will be reimbursed upon submission of appropriate documentation to support the expense, in accordance with the approved budget for the agency. Any questioned costs will not be reimbursable and will be subject to recovery for subsequent invoices or through other means. THDA will not reimburse for late fees. Only allowable expenses, as defined in 2CFR200. Advance Payment Advance Payment Policy for Fiscal Year 2026: In accordance with 2 CFR § 200.305(b)(1), subgrantees may request advance payments solely for the purpose of providing direct assistance to eligible applicants. Advance payments cannot be used for administrative or Direct Program Support (DPS) costs.