Proper Disposition of Interest Earned on Funds Which Chatfield Brass Band, Inc. Was Granted in 1976
B-149441: Apr 16, 1976
- Full Report:
GAO was asked to examine a matter concerning the proper disposition of interest earned on funds which Chatfield brass Band, Inc., was granted early in 1976 by the American Revolution Bicentennial Administration and the Minnesota Bicentennial Commission.
According to an individuals letter to congress, his company received $1500 from the Minnesota Bicentennial Commission and $1500 from the American Revolution Bicentennial in early 1976. Apparently a portion of the grant proceeds has been placed in a savings account, pending disbursements for the program as they became due. The Minnesota Bicentennial Commission has informed the individual that any interest which accumulates on the Federal funds in the savings account must be returned to the Federal government.
GAO has uniformly held that, except as otherwise provided by law, interest earned on funds granted by the United States belongs to the United States rather than to the grantee which received the funds. All such interest is required to be deposited into the Treasury as miscellaneous receipts.