1. (a) After the contract documents have been approved by the department, the recipient shall not make, allow, or authorize any changes, modifications, or amendments to or departure from the approved plans and specifications without the prior written approval of the department.

2. (b) A request to modify contract documents as described in (a), above, shall:

   1. (1) Identify each change for which approval is sought;
   2. (2) Explain the reason(s) for each change requested, including an explanation of the operational or economic consequences of the requested change(s) not being approved; and
   3. (3) Explain how the request meets the criteria specified in (d) or (e), below, as applicable.
3. (c) The department shall approve or deny the request within 10 working days of receipt of a request that meets the criteria of (b), above.

4. (d) The department shall approve one or more changes in the contract documents if the recipient’s request demonstrates that the change(s) are:

   1. (1) Eligible costs that can be covered by the existing financing arrangement, if there are any costs associated with the change(s);
   2. (2) Consistent with the goal(s) of the project; and
   3. (3) Protective of the health of the public served by the recipient’s water system.

5. (e) The department shall approve a request for an increase in project cost or scope if the following criteria are met:

   1. (1) The increased cost or scope was not reasonably foreseeable at the time the original project proposal was submitted;
   2. (2) The scope of the project as modified is consistent with the original intent of the financial assistance;
   3. (3) The cost increase results in a total cost no greater than the prevailing rate for the item to which the cost is attributable such as, but not limited to, labor and materials;
   4. (4) The item to which the cost increase is attributable is an eligible cost; and
   5. (5) If the recipient has sufficient monies available at the time the request is filed to cover the proposed cost increase.
6. (f) The amount of funding provided from the DWGTF shall be increased only by approval from the commission and a formal amendment in writing from the department, with governor and council approval.

Source. #12903, eff 10-23-19