SA Accounts

4700 - SA Accounts (Rev. 1, 05-21-04) It is the responsibility of the State to ensure that all estimates and reports of expenditures and other reports are prepared timely and in accordance with appropriate budgetary and accounting methods and administrative practices adopted by DHHS. It is the desire and intent of CMS to accept State practice in the manner in which funds received from the Federal government are handled and accounted for, and in a State’s choice of a depository, subject to the general accountability required under Article IX, Cost of Administration, of the §1864 Agreement. However, funds advanced to a State must be identifiable in a State’s records. This is usually achieved by use of a separate account. The policies and instructions established by CMS for States’ receipt of funding advances and submission of reports have been drafted with a view to following State patterns to the fullest extent possible.