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<br />Administrative costs will be reimbursed based on actual costs, but not to exceed the <br />"maximum reimbursement" set out below, based upon the sum of the participants who <br />actually receive food instruments each month plus infants who do not receive any food <br />instruments whose breastfeeding mothers were participants to the extent that the total so <br />derived does not exceed PERFORMING AGENCY'S total assigned caseload within any <br />given month. Surplus funds (the amount by which maximum reimbursements exceed <br />actual costs) can be accumulated and carried forward within the contract Attachment <br />term. Surplus encumbered by September 30 shall be billed and vouchers received by <br />RECEIVING AGENCY'S WIC Program no later than December 31, 2006. <br /> <br />PARTICIPANTS SERVED PER MONTH MAXIMUM REIMBURSEMENT: <br /> <br />During the term of the contract Attachment, PERFORMING AGENCY shall earn <br />administrative funds at the rate of $10.47 for each participant served as defined above. <br /> <br />PERFORMING AGENCY agrees that: <br /> <br />(1) PERFORMING AGENCY shall identify and document separately not less than <br />19% of total administrative costs as expenditures directly related to nutrition <br />education and counseling. Nutrition education and counseling expenditures shall <br />be supported by documentation of participant attendance or non-attendance within <br />the RECEIVING AGENCY'S WIC Program. <br /> <br />(2) RECEIVING AGENCY'S WIC Program will reimburse PERFORMING <br />AGENCY for administrative expenses at a rate not greater than 5.26 times the <br />amount of properly documented expenditures for nutrition education and <br />counseling, but not more than is earned based on actual participation not to <br />exceed PERFORMING AGENCY'S assigned participant caseload, plus any <br />incentive funds allocated to PERFORMING AGENCY by RECEIVING <br />AGENCY'S WIC Program. <br /> <br />(3) RECEIVING AGENCY'S WIC Program will limit (cap) PERFORMING <br />AGENCY'S indirect costs to twenty (20) percent applied to PERFORMING <br />AGENCY'S total direct salaries plus benefits reimbursed by RECEIVING <br />AGENCY'S WIC Program. <br /> <br />(4) RECEIVING AGENCY'S WIC Program will identify annually to <br />PERFORMING AGENCY an amount of funds that shall be spent for <br />breastfeeding promotion. The allocation of breastfeeding funds to <br />PERFORMING AGENCY will be based on PERFORMING AGENCY'S <br />proportional share of the statewide combined total of pregnant and breastfeeding <br />participants as reported to RECEIVING AGENCY'S WIC Program. <br /> <br />(5) RECEIVING AGENCY'S WIC Program also reserves the right to withhold a <br />proportionate amount of earned administrative funds when evidence exists that <br /> <br />ATTACHMENT - Page 7 <br />