1. (a) In accordance with Transportation Code, §471.010(b), at least 10 percent of the total project costs must be provided by a source other than the state as matching funds, except that the commission may adjust the minimum local matching funds requirement for a project located in an economically disadvantaged county in accordance with Transportation Code, §222.053.
2. (b) Except as provided by this section, the funding match required by this section must be cash provided by or through the project sponsor. The value of donated services will not be accepted as a funding match but may be used to reduce the overall cost of the project.
3. (c) The project sponsor must provide the funding match required by this section before the beginning of project activities for each phase of work.
4. (d) The department's direct costs for the oversight of preliminary engineering and construction of the project are included as a part of the total project costs under subsection (a) of this section.
5. (e) The participating railroad must share in the project cost in accordance with 23 C.F.R. §646.210. This cost share may count as part of the overall non-state funding match requirement.

Source Note:The provisions of this §7.124 adopted to be effective October 15, 2025, 50 TexReg 6685.