Section 375.111 - Disallowance of Project Costs and Remedies for Noncompliance If the Applicant does not comply with applicable laws and rules relating to the project and to the financial assistance documents, the executive administrator may take any of the following actions:
(1) impose additional conditions to remedy the noncompliance; (2) withhold releases from escrows or disbursements until the Applicant comes into compliance; (3) refrain from closing on existing commitments; (4) disallow all or part of the cost of a project expenditure that is not in compliance; (5) allow a substitution of eligible cost activities for disallowed costs or require repayment of disallowed costs, at the discretion of the executive administrator; and (6) take other remedial actions that may be legally available.31 Tex. Admin. Code § 375.111
Adopted by Texas Register, Volume 45, Number 23, June 5, 2020, TexReg 3873, eff. 6/10/2020