| (a) Costs are allowable only if they are necessary
construction-related project expenditures that are eligible for reimbursement
under applicable statutes and regulations.
(b) The costs of preliminary engineering (including
planning, design, and plans, specifications, and estimates) are not
allowable costs.
(c) Eligible pre-construction costs incurred by the
department are reimbursable. All other pre-construction costs are
the responsibility of the project sponsor.
(d) Expenditures for routine operation and maintenance
are not allowable costs unless specifically allowed under the individual
federal category for which the project qualifies.
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