New Jersey Administrative Code
Title 16 - TRANSPORTATION
Chapter 20B - MUNICIPAL LOCAL AID
Subchapter 6 - PROJECT AGREEMENTS AND CONTRACTS
Section 16:20B-6.4 - Contract completion and final payment

Universal Citation: NJ Admin Code 16:20B-6.4

Current through Register Vol. 56, No. 18, September 16, 2024

(a)Municipal governments may request progress payments on a monthly basis when the total amount of reimbursement requested is not less than $50,000. Otherwise, final payment will be paid on a reimbursement basis after the Department notifies the municipality to submit a final payment voucher.

(b)When the municipality deems work associated with the municipal local aid grant to be complete, the municipality will notify the Department in writing that the work is ready for inspection.

(c) The Department, if it chooses, may inspect the work for compliance with the terms of the municipal local aid agreement. The Department will notify the municipality, in writing, that it will either inspect the project or waive project inspection.

(d)If the Department chooses to inspect the project, upon completion of the inspection the Department will notify the municipality in writing that work associated with the municipal local aid grant is acceptable or that corrective action must be taken. Concurrently, the Department will request a final payment voucher and accompanying documentation as set forth in (f) below, within six months of the notification. Corrective action shall be completed prior to final payment voucher submission or be subject to non-participation by the State.

(e)If the Department chooses not to inspect the project it will request a final payment voucher and accompanying documentation as set forth in (f) below within six months of notification.

(f)The municipality shall submit the following items to process the final payment voucher:

1.A certification by the municipal engineer that the work funded by the municipal local aid grant has been completed in a satisfactory manner and in conformance with the municipal local aid agreement;

2.A certification by the municipal chief financial officer that all expenditures associated with the municipal local aid agreement are supported by valid documentation and conform to the municipal local aid agreement; and

3.Material certifications and test results to ensure conformance with the construction specifications as may be required.

(g)The Department reserves the right to perform audit inspections after final payment to confirm the statement of acceptability made by the municipal engineer. The municipality shall be required to reimburse the Department for work not completed as certified.

(h) In the event that a request for final reimbursement is not received within six months after notification by the Department, the municipal local aid agreement will be closed and any remaining funds allocated to the project shall be rescinded.

(i) Any funds remaining after final payment or rescission shall be reallocated by the Department at the Commissioner's discretion, except for those funds programmed for Urban Aid funding. These funds will be held by the Department for reallocation to the recipient. Distribution of the portion of the grant provided initially to a municipality may be contingent on its performance in spending prior grants. Failure to award construction or other approved contracts for 100 percent of a municipality's allotment within two years of notification by the Department of that year's allotment pursuant to N.J.A.C. 16:20B-6.2(b), shall result in the allotment being immediately rescinded or the funds returned to the Department, as applicable, or in the event that the funds are not immediately returned, deducted by the Department from future allocations of aid to that municipality. Any of these funds may be reallocated by the Commissioner to other transportation projects, as the Commissioner shall so determine.

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