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

Source Note:The provisions of this §11.405 adopted to be effective January 4, 2017, 41 TexReg 10664.