(a) Applicants. To be eligible to receive Military Affairs Grant Program funding, an applicant shall:

1. (1) Meet program objectives stated in this part;
2. (2) Meet the definition of “eligible applicant”;
3. (3) For projects within the legal boundaries of military installations, provide written support for the project by the commander of the military installation to which benefits will accrue; and
4. (4) Submit a completed application on the forms developed for such purpose by the Military Affairs Division, including any required attachments and supplemental information specified on the forms.

(b) Eligible costs.

1. (1) The Arkansas Economic Development Commission will review all expenditure requests prior to payment to ensure that costs are:

   1. (A) Consistent with the terms and conditions of the grant agreement; and
   2. (B) Not “ineligible costs” as defined by this part.

2. (2) The commission will:

   1. (A) Disallow all ineligible costs; and
   2. (B) Only fund expenditures directly related to projects.