§ 1942.523 - Grant closing and disbursement of funds.

(a) Grants will be closed in accordance with instructions received from the Office of the General Counsel (OGC).

(b) Form FmHA or its successor agency under Public Law 103-354 1942-31, “Association Water or Sewer System Grant Agreement,” will be executed by all applicants. District Directors and State Directors are authorized to execute the agreement on behalf of FmHA or its successor agency under Public Law 103-354.

(c) The grant will be considered closed on the date Form FmHA or its successor agency under Public Law 103-354 1942-31 is signed by FmHA or its successor agency under Public Law 103-354. The Finance Office will be notified of the grant closing date. FmHA or its successor agency under Public Law 103-354 will retain the original of the Grant Agreement.

(d) FmHA or its successor agency under Public Law 103-354's policy is not to disburse grant funds from the Treasury until they are actually needed by the applicant. Grant funds will be disbursed by using multiple advances in accordance with § 1942.17(p)(2) of subpart A of part 1942 of this chapter.