| (a) Audits of claims and associated documents will be conducted in accordance with auditing standards as provided by Texas Water Code, §26.35735. Such audits may occur prior to or after claims have been paid. Such audits may include an investigation into whether activities performed and/or the amounts claimed were: (1) eligible to be paid as provided by Texas Water Code, §26.3573, and allowable under Subchapters H and M of this chapter (relating to Reimbursement Program; and Reimbursable Cost Specifications for the Petroleum Storage Tank Reimbursement Program); (2) reimbursable under Subchapter H of this chapter, §334.560 of this title (relating to Reimbursable Cost Specifications), and §334.309 of this title (relating to Reimbursable Cost) (for work performed on or after June 6, 1993), or reasonable (for work performed prior to June 6, 1993); and (3) actual costs in §334.306(b)(6) of this title (relating to Form and Contents of Application). For the purposes of this subchapter, actual cost is the actual amount paid for actual work performed, net of any discounts, offsets, or other reductions to the amount paid. Actual cost includes associated overhead and reasonable profit. (b) An audit may also include an investigation into whether, and by what means, the amounts claimed have been paid in full by the claimant to the person(s) who actually performed the corrective action work for the claimed amount. The investigation may include a review of any and all documents relating to the payment of any amounts claimed, including those of any subcontractors who performed any of the corrective action work. Upon conclusion of the audit, any amounts the audit reveals have not been actually paid to the person(s) performing the corrective action work, rather than evidenced only by a promise to pay, must be included in the Notice of Overpayment issued under §334.534 of this title (relating to Notice of Overpayment). |
| Source Note: The provisions of this §334.533 adopted to be effective August 15, 1994, 19 TexReg 5843; amended to be effective November 8, 1995, 20 TexReg 8800; amended to be effective November 23, 2000, 25 TexReg 11442; amended to be effective November 18, 2004, 29 TexReg 10532 |
