Over the past few years, the Michigan Department of Education (MDE) has undergone several changes in its Cash Management System (CMS) to bring it more in line with federal regulations governing cash advances. As a result of MDE’s efforts to comply with these federal regulations, MDE must make the following changes, which will be effective December 1, 2008:
- The Cash Advance Request feature will not be displayed on the CMS Funds Request Screen. The one time 30-Day Advance option will only be approved by the Office of Grants Coordination and School Support through the grant application process on a project basis. You will no longer be given an option to draw federal funds 30 days in advance unless it has been included in your grant application and approved at that time. If you have met this requirement, your grant project will allow you to see and request a one-time 30-day cash advance.
- MDE will no longer offer the 3-Day Cash Advance option through the CMS. Payments to districts and recipients will be on a reimbursement basis only.
- MDE will begin reversing overpayments on federal grants immediately from current funds requests. In the past, MDE allowed for a three-week delay before overpayment funds were recovered. However, as a result of increased electronic efficiencies and on-line real time processing, it is no longer viable or necessary to allow three weeks to lapse before recovering overpayment of federal funds.
If you experience any difficulties in requesting funds on the CMS or have any questions concerning this federally required change in policy, please email your questions to MDE.