1. (a) In undertaking a project, the project sponsor and the participating railroad must comply with all applicable laws and regulations, including all applicable state procedures and requirements.
2. (b) All projects shall be developed in compliance with the department's current standards and specifications.

3. (c) All project sponsors must enter into with the department an agreement that:

   1. (1) includes a commitment from the project sponsor for the required non-state funding, if applicable;
   2. (2) describes the total scope and course of project activities;
   3. (3) states the maximum amount of the funding provided under this subchapter;
   4. (4) designates the department to manage the project on behalf of the project sponsor in accordance with Transportation Code, §471.010(d); and
   5. (5) outlines the responsibilities and duties of the parties to the agreement.
4. (d) Before the department will fund any construction activities, the project sponsor must enter into the agreement required by subsection (c) of this section and demonstrate that required opportunities for public involvement have been provided and that all applicable environmental documentation has been completed.
5. (e) Any change to the scope of work specified in the selected nomination package must have the advance written approval of the executive director.
6. (f) The department is responsible for the inspection, final acceptance, and certification of a project.

Source Note:The provisions of this §7.132 adopted to be effective October 15, 2025, 50 TexReg 6685.