Section 951.11. Project implementation and reporting

(a) The following general requirements will apply to all water facilities projects:

(1) Before beginning any construction work, the applicant shall have a preconstruction conference with the applicant’s contractor or engineer and the Department, to include a survey of work to be accomplished and the scheduling of periodic examinations by the Department. The applicant shall begin implementing the project, in accordance with its application, within 12 months of loan approval by the Board. If the applicant does not begin implementation within 12 months, the loan may be withdrawn by the Board.

(2) The applicant shall not deviate from the scope or time schedule for any project unless written approval is given by the Board.

(3) The applicant shall maintain project progress and financial records to substantiate all expenditures and activities shown in the approved organization and management plan and budget for the project.

(4) The applicant shall furnish the Board with semiannual project status reports until the project is completed. The applicant shall also provide the Board with its annual financial report for each year throughout the repayment period of the loan.

(b) The following project reporting procedures shall apply to port facilities projects only:

(1) Using approved forms, the applicant shall submit a detailed forecast of eligible costs for each quarter of the Commonwealth’s fiscal year, identifying the costs to be incurred, consistent with the project budget.

(2) The applicant shall submit the forecast to the Department at least 45 days in advance of each quarter for approval.

(3) Loan funds will be disbursed to the applicant prior to the beginning of each quarter based upon the Department’s approval of the costs included in the quarterly forecast request.

(4) Within 30 days after the close of each quarter, the applicant shall submit to the Department a report detailing project progress and actual costs incurred to date.

(5) The Department will adjust any funding disbursements to the applicant as may be necessary, based upon the quarterly report to actual costs incurred as compared to prior funding forecasts.

(c) If the applicant fails to comply with this section, the Board may withdraw the remaining funds allocated to the project.