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(a) When money is appropriated to a municipality for a capital project under AS 37.06.010 (e), the department will prepare a grant agreement for the capital project for use by the department and the municipality. A project grant agreement must
(1) require that the municipality provide the total local share, as defined in 3 AAC 154.170;
(2) include procedures by which the municipality will provide the total local share, as defined in 3 AAC 154.170; and
(3) include procedures by which the department will document and verify that the municipality provided the total local share.
(b) A grant agreement will, in the department's discretion, include
(1) procedures for the documentation of expenditures;
(2) procedures for making grant payments to the municipality;
(3) accounting and reporting requirements for the capital project that must be met by the municipality;
(4) requirements for the maintenance and retention of project records that must be met by the municipality;
(5) a requirement that the municipality submit a copy of a local resolution approving the capital project and accepting the terms of the grant agreement;
(6) a stipulation that, for purposes of the capital project, the hiring preferences required under AS 36.10.150 - 36.10.175 apply to the municipality and its agents, contractors, and subcontractors;
(7) a requirement that the municipality provide the local share for the capital project, as required under AS 37.06.030 (a);
(8) procedures for verifying the provision of the local share;
(9) a stipulation that, in accepting a disbursement or payment for the capital project, the municipality will comply with the requirements of AS 37.06.010 (e); and
(10) a requirement that, if a municipality provides grant money from a draw to another recipient under AS 37.06.010 , the municipality remains as the grantee under the program and is responsible for meeting all of the terms and conditions of the grant as required in AS 37.06.
(c) Grant money appropriated to a municipality for a capital project under AS 37.06.010 (e) will not be disbursed to the municipality until the grant agreement for the project is signed by the appropriate representative or agent of the department and by the appropriate representative or agent of the municipality.
(d) Before authorizing a payment to a grantee for a project authorized under AS 37.06, the department must verify that the grantee is in compliance with all reporting requirements as set out in the project grant agreement. The department will withhold payments until reporting requirements are met by a grantee.
History: Eff. 8/19/93, Register 127; am 12/31/93, Register 128; am 6/15/97, Register 142
Authority: AS 37.06.010
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Last modified 7/05/2006