Interest earned on advances of grant funds

6.3 Interest Earned on Advances of Grant Funds

Except as provided in 45 CFR 75.302(b)(8), any NIH recipient subject to the requirements of 45 CFR 75 that receives advance payments must maintain those advances in an interest-bearing account.

Recipients are expected to promptly return any funds not spent within three business days. As provided in 45 CFR 75.305(b)(9) subject to the requirements of 45 CFR 75 and to the extent required by law, interest earned on Federal advance payments deposited in interest-bearing accounts must be remitted annually to the Department of Health and Human Services, Payment Management SystemThe HHS centralized grants payment system operated by the Payment Management Service, Program Support Center. Most HHS (and some other Federal government agencies') recipients receive grant payments through this system., Rockville, MD 20852. Interest amounts up to $500 per year may be retained by the non-Federal entity for administrative expense.