DFPS may make advance payments to contractors for contracted social services subject to the following limitations:
  (1) Funds designated for advance payments must be available for DFPS to make advance payments to contractors.
  (2) The contractor must use the advance payments for operating expenses allowed under an existing DFPS contract.
  (3) A contract must be in effect before DFPS makes an advance payment.
  (4) The advance payment for each contract is based on need and must not be more than 15% of the contractors' total compensation from DFPS under the contract.
  (5) DFPS may adjust the advance payment amount based on the contractor's cash outflow and service level variations.
  (6) The contractor must liquidate the advance payment either at the end of each contract period consistent with the terms of each specific contract or at other times determined necessary by DFPS. The contract period begins with the contract's effective date and ends with its termination date.
  (7) DFPS will not make advance payments to a contractor if the contractor has not liquidated the advance payment for the previously contracted period according to the terms of the contract.
  (8) DFPS may impose additional limitations if the limitations do not conflict with this section.

Source Note: The provisions of this §392.701 adopted to be effective June 17, 2015, 40 TexReg 3638