NSP FAQ
Q

How should grantees account, report, and monitor revolving loan funds?

Date Published: October 2012

Print ShareThis

A

Revolving loan funds (RLFs) are capitalized by the receipt of program income deposited into a separate fund (independent of other NSP program accounts) set up for the purpose of carrying out a specific eligible activity. RLF loans generate repayments and this income, both principal and interest, are considered program income, which must continue to be used for eligible activities. Revolving funds must be held in interest bearing accounts, and interest paid on revolving fund balances must be remitted to the U.S. Treasury not less than annually. Grantees need to monitor this fund on a regular basis to ensure that the money is actively being used for eligible activities. The DRGR Fact Sheet Overview of Major Functions - Release Version 7.3 details the steps related to how a grantee tracks revolving loan funds.

Additional information can be found in the NSP Policy Alert Guidance on Revolving Loan Funds Under NSP.


Tags: NSP Financial and Grants Management - Program Income

Links in This FAQ

FAQ ID:

697