PUBLIC LAW 101-453—OCT. 24, 1990 104 STAT. 1061 refunds to reduce the amount of funds owed by the Federal Government to the State under such program. Interest earned on such refunds shall be considered when setting overall interest obligations between the State and the Federal Government as required by this section. "(g) If the Federal Government makes a payment to a recipient under a Federal program, and a portion of the payment is an amount which the Federal Government is paying to such recipient on behalf of a State, such amount shall be considered to be a transfer of funds between the Federal Government and the State for purposes of this section. "(h) A State may not be required by a law or regulation of the United States to deposit funds received by it in a separate bank account. However, a State shall account for funds made available to the State as United States Government funds in the accounts of the State. The head of the State agency concerned shall make periodic authenticated reports to the head of the appropriate Federal executive agency on the status and the application of the funds, the liabilities and obligations on hand, and other information required by the head of the executive agency. Records related to the funds received by the State shall be made available to the head of the executive agency, the Inspector General of the executive agency, and the Comptroller General for necessary audits. "(i) The Secretary shall prescribe methods for the payment of interest under this section between the Federal Government and the States, including provisions for offsetting amounts owed by the respective parties. Such methods of payment shall require payment of interest on an annual basis and shall provide for comparable treatment in manner, technique, and timing for both the States and the Federal Government. "(j) Consistent with Federal program purposes and regulations of the Director of the Office of Management and Budget, the head of a Federal executive agency carrying out a program shall execute grant awards to States on a timely basis to assure the availability of funds to accomplish transfers in compliance with subsection (a) of this section.". (c) CLERICAL AMENDMENT.— The item relating to section 6503 in the chapter analysis for chapter 65 of title 31, United States Code, is amended to read as follows: "6503. Intergovernmental financing.". (d) AGREEMENTS WITH STATES.— (1) SECRETARY'S EFFORTS TO ENTER AGREEMENTS. — The Secretary of the Treasury shall make all reasonable efforts to enter into an agreement with each State under section 6503(b) of title 31, United States Code, as added by this section (relating to procedures and requirements for transfers of funds between executive agencies and States), by not later than 2 years after the date of the enactment of this Act. (2) EFFECTIVE DATE OF REGULATIONS.— Regulations issued by the Secretary of the Treasury under subsection (b)(3) of section 6503 of title 31, United States Code, as added by the section (relating to procedures and requirements for transfers of funds involving States not entering agreements), shall take effect 2 years after the date of the enactment of this Act. (e) EFFECTIVE DATE. — The amendments made by this section shall take effect on the date of enactment of this Act, except that subsec- Reports. Records. 31 USC 6503 note. 31 USC 6503 note.