This section provides important information concerning those “major” federal programs which are subject to Subpart A (interest calculations) of the Treasury-State Agreement (FY TSA 2023) that governs the State’s cash management of federal funds.

Federal Funds – Major Program Threshold

The Cash Management Improvement Act of 1990 (CMIA) was enacted by the federal government to ensure efficiency, effectiveness and equity in the exchange of funds between the states and the federal government, for most federal assistance programs. The CMIA regulations (31 CFR Part 205) require the State annually to amend its TSA, updating the terms of CMIA implementation by revising the list of major Federal assistance programs subject to the TSA. For SFY 2022-23, the State’s CMIA major program threshold is $434,783,509, which was calculated based on data contained in the State’s Single Audit for the fiscal year ended 3/31/2021.

While all federal funding is, in fact, subject to the cash management principles embodied in CMIA, those larger programs with annual disbursements in excess of the CMIA threshold will also be subject to CMIA interest calculations. Prior to the start of the State fiscal year, DOB and/or OSC, which jointly manage the State’s response to most CMIA requirements, will notify affected State agencies regarding changes in CMIA program coverage during the upcoming SFY.

30-Day Notices

The State is required to notify the federal government within 30 days of becoming aware of any changes to federal programs that may need to be reflected in the TSA. State agency CMIA contacts, therefore, are required to notify CMIA staff in DOB and OSC immediately of any such change, or potential change that comes to their attention. Types of changes that require notification include changes to a program’s funding technique, changes in check clearance patterns, and the addition of a program to the TSA because program disbursements exceeded the CMIA program threshold for a given TSA period.

The State is legally bound by the terms of the TSA until those terms are changed, by mutual consent of both federal and state CMIA officials, through amendment(s) to the TSA. If an agency CMIA contact believes an action must be taken which arguably might be deemed as ignoring or violating any of the terms of the TSA, however minor, the agency contact cannot independently undertake such action. First the agency contact must advise DOB and OSC CMIA staff of the recommended action. DOB and OSC, usually with input from the state’s CMIA consultant, will determine that the recommended action either (1) does not violate terms of the TSA, or (2) will need to be approved by Treasury Department CMIA staff, and the TSA possibly amended. If the recommended action leads to TSA negotiations between DOB/OSC and Treasury Department staff, the agency CMIA contact will be fully involved in all discussions and may represent the State as the federal program subject matter expert.

New York’s Federal Program Listing for FY 2023 TSA (SFY 2022-23)

Direct questions on this bulletin to:

[email protected] (OSC) or Mary Ryan (DOB) at 518-486-3273.

Guide to Financial Operations

REV. 01/24/2023