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STATE OF FLORIDA DEPARTMENT OF TRANSPORTATION 525-010-40 LOCAL AGENCY PROGRAM AGREEMENT PRODUCTION SUPPORT 08/11 — Paagege 3 d ) Department approval of the project scope and budget at the time appropriation authority becomes available . 3 . 04 Appropriation of Funds : The Department' s performance and obligation to pay under this Agreement is contingent upon an annual appropriation by the Legislature. If the Department's funding for this project is in multiple fiscal years , funds approval from the Department's Comptroller must be received each fiscal year prior to costs being incurred . See Exhibit " B" for funding levels by fiscal year. Project costs utilizing these fiscal year funds are not eligible for reimbursement if incurred prior to funds approval being received . The Department will notify the Agency , in writing , when funds are available . 3 . 05 Multi -Year Commitment : In the event this Agreement is in excess of $25 , 000 and has a term for a period of more than one year, the provisions of Section 339 . 135(6) (a) , Florida Statutes , are hereby incorporated : " (a) The Department , during any fiscal year, shall not expend money , incur any liability , or enter into any contract which , by its terms , involves the expenditure of money in excess of the amounts budgeted as available for expenditure during such fiscal year. Any contract , verbal or written , made in violation of this subsection is null and void , and no money may be paid on such contract . The Department shall require a statement from the comptroller of the Department that funds are available prior to entering into any such contract or other binding commitment of funds . Nothing herein contained shall prevent the making of contracts for periods exceeding 1 year, but any contract so made shall be executory only for the value of the services to be rendered or agreed to be paid for in succeeding fiscal years , and this paragraph shall be incorporated verbatim in all contracts of the Department which are for an amount in excess of $25 , 000 and which have a term for a period of more than 1 year. " 3 . 06 Notice-to- Proceed : No cost may be incurred under this Agreement until the Agency has received a written Notice- to-Proceed ( NTP ) from the Department. The Agency agrees to advertise or out the project out to bid thirty ( 30) days from the date the Department issues the NTP to advertise the project . If the Locals are not able to meet the schedule advertisement , the District LAP Administrator should be notified as soon as possible . 3 . 07 Limits on Federal Participation : Federal-aid funds shall not participate in any cost which is not incurred in conformity with applicable Federal and State laws , the regulations in 23 Code of Federal Regulations ( C . F . R . ) and 49 C . F . R . , and policies and procedures prescribed by the Division Administrator of FHWA . Federal funds shall not be paid on account of any cost incurred prior to authorization by the FHWA to the Department to proceed with the project or part thereof involving such cost (23 C . F . R . 1 . 9 (a)) . If FHWA or the Department determines that any amount claimed is not eligible , federal participation may be approved in the amount determined to be adequately supported and the Department shall notify the Agency in writing citing the reasons why items and amounts are not eligible for federal participation . Where correctable non -compliance with provisions of law or FHWA requirements exists , Federal funds may be withheld until compliance is obtained . Where non-compliance is not correctable , FHWA or the Department may deny participation in parcel or project costs in part or in total . For any amounts determined to be ineligible for federal reimbursement for which the Department has advanced payment, the Agency shall promptly reimburse the Department for all such amounts within 90 days of written notice . 4 . 00 Project Estimate and Disbursement Schedule : Prior to the execution of this Agreement , a project schedule of funding shall be prepared by the Agency and approved by the Department. The Agency shall maintain said schedule of funding , carry out the project , and shall incur obligations against and make disbursements of project funds only in conformity with the latest approved schedule of funding for the project . The schedule of funding may be revised by mutual written agreement between the Department and the Agency . If revised , a copy of the revision should be forwarded to the Department' s Comptroller and to the Department' s Federal -aid Program Office . No increase or decrease shall be effective unless it complies with fund participation requirements of this Agreement and is approved by the Department' s Comptroller. 5 . 00 Records :