1. (a) Leveraging Local Funds. The Commission encourages Boards to secure local public and private funds for match to the extent possible to leverage all available resources for child care needs in the community.

   1. (1) A Board may secure local funds for match in the form of one or more of the methods in order to leverage (match) against federal funds available through the Commission:

      1. (A) donations of funds from a private entity;
      2. (B) transfers of funds from a public entity; or
      3. (C) certifications of expenditures by a public entity that represent expenditures eligible for federal match.
   2. (2) A Board's performance in securing and leveraging local funds for match may make the Board eligible for incentive awards.

2. (b) Securing Local Funds to Access Federal Matching Funds from the Commission.

   1. (1) A Board shall manage the securing of funds, including the selection of pledged and completed donations, transfers, and certifications that are used by the Board to receive federal matching funds through the Commission.
   2. (2) A Board shall ensure that federal matching funds are maximized by securing local funds for match in an amount that may exceed the amount required to match available federal funds.

3. (c) Documenting Pledged Donations, Transfers and Certifications. A Board shall maintain written documentation of pledged donations, transfers and certifications that contain, at a minimum, the following:

   1. (1) the signature of the representative of the Board;
   2. (2) the signature of the potential contributor;
   3. (3) the potential contributor's commitment to fulfill the pledge of the donation, transfer or certification by paying or certifying the funds to the Commission for use in a specific workforce area on a set payment or certification schedule;
   4. (4) the Board's commitment to use the donated or transferred funds as requested by the contributor, as long as it is consistent with federal regulations at 45 CFR §98.53; and
   5. (5) sufficient information to determine that the funds will be used in a manner consistent with 45 CFR §98.53.
4. (d) Submitting Pledged Donations, Transfers and Certifications for Acceptance by the Commission. A Board shall submit pledged donations, transfers, and certifications to the Commission for acceptance.

5. (e) Completing Donations, Transfers and Certifications.

   1. (1) A Board shall ensure that donations of cash and transfers of funds are paid to the Agency and that certifications are also submitted to the Agency.
   2. (2) Donations and transfers are considered complete to the extent that the funds have been paid to the Agency.
   3. (3) Certifications are considered complete to the extent that a signed written instrument is delivered to the Agency that reflects that the public entity has expended a specific amount of funds on eligible child care services.
6. (f) Reporting. A Board shall report information relating to pledged and completed donations, transfers and certifications as referenced in subsections (d) and (e) of this section and §800.72. Reporting Requirements.
7. (g) Monitoring. A Board shall monitor the funds secured for match and the expenditure of any resulting funds to ensure that expenditures of unmatched federal funds available through the Commission do not exceed an amount that corresponds to the donations, transfers, and certifications that are completed by the end of the program year.

Source Note:The provisions of this §809.20 adopted to be effective August 3, 2000, 25 TexReg 7202; amended to be effective September 3, 2001, 26 TexReg 6724.