(iv) Step Four: Document Any Unfunded Portion.

If you do not fund all or any portion of a cancellation ceiling, you should:

(A) Be aware that by not requesting the amount in your budget submission (and not including it in Exhibit MYP-4, Present Value Analysis), you are creating an unfunded contingent liability for the amount.

(B) Show the amount of the unfunded portion in the "Cancellation Ceiling" row on Exhibit MYP-2, Total Program Funding Plan. (This will be the unfunded portion of the first cancellation ceiling. If subsequent cancellation ceilings will also be totally or partially unfunded, put an asterisk beside your entry in the "Cancellation Ceiling" row and show in a footnote the unfunded amount associated with each subsequent year.)

(C) Obtain any required approvals, consistent with what you learned in Step One C.