§8158 Deposit in Escrow

Summary

The Secretary may make escrow agreements with the institutions named in section 8153(a) to help buy medical equipment under section 8157. Under those agreements, the institution must put into an escrow account the money needed to make the payment required by section 8157(b)(4). The Secretary will act as the escrow agent, hold and manage the money, pay for the equipment when it is delivered or as the purchase contract says, and give any interest or other earnings on the escrowed money back to the institution. As escrow agent, the Secretary may invest the funds in federal obligations or securities insured or guaranteed by the federal government, keep earnings in the account, make payments as the agreement requires, and return any unspent funds to the institution. The Secretary may enter a contract to buy equipment only if one-half of the purchase price is available in an appropriation or fund for spending. Money in the escrow account is not treated as public funds.