43 Tex. Admin. Code § 57.27
Withholding Funds from Grantees
Effective Feb 13, 202550 TexReg 788Source Note: The provisions of this §57.27 adopted to be effective January 21, 1993, 18 TexReg 159; transferred effective February 24, 1998, as published in the Texas Register March 6, 1998, 23 TexReg 2399; amended to be effective November 14, 1999, 24 TexReg 10146; amended to be effective December 10, 2007, 32 TexReg 9132; amended to be effective March 24, 2015, 40 TexReg 1713; amended to be effective March 1, 2020, 45 TexReg 1443; amended to be effective February 13, 2025, 50 TexReg 788.Texas Secretary of State
(a) The MVCPA may withhold funds from a grantee or projects operated by the grantee when:
(1) a determination is made that the grantee has failed to:
- (A) comply with applicable federal or state laws, rules, regulations, policies, or the grant agreements on which the award of the grant is predicated;
- (B) submit required reports on time;
- (C) provide a response to audit or monitoring findings on time;
- (D) return any unused grant funds remaining on the expired grant within the required timeframe;
- (E) use funds appropriately; or
- (F) commence project operations within 45 days of the project start date; or
- (2) a determination is made that the grantee has submitted reports or records with deficiencies, irregularities, or are delinquent.
- (b) The MVCPA may reduce or withhold grant funds when MVCPA allocations are depleted or insufficient funds are allocated.
- (c) The MVCPA will notify grantees of deficient conditions prompting the withholding of grant funds and the period of time within which to cure any deficiency.
- (d) Grantees have 15 days after receiving a deficiency notification to request an appeal.
- (e) The MVCPA director or MVCPA board designee will determine the outcome of the grant appeal.
- (f) Grant funds will be released to a grantee when the MVCPA director or MVCPA board designee is provided with satisfactory evidence that the deficient conditions have been corrected.
- (g) An appeal under this section is not a contested case under Government Code, Chapter 2001.
Source Note:The provisions of this §57.27 adopted to be effective January 21, 1993, 18 TexReg 159; transferred effective February 24, 1998, as published in the Texas Register March 6, 1998, 23 TexReg 2399; amended to be effective November 14, 1999, 24 TexReg 10146; amended to be effective December 10, 2007, 32 TexReg 9132; amended to be effective March 24, 2015, 40 TexReg 1713; amended to be effective March 1, 2020, 45 TexReg 1443; amended to be effective February 13, 2025, 50 TexReg 788.