The Administering Agency-State Agreement for State-Funded Projects (State-only Master Agreement) has recently been updated. The updates to the State-only Master Agreement (previously updated in 2006) are intended to ensure the agreement language is in accordance with current State requirements and procedures. Additional information pertaining to Local Assistance agreements can be found in Chapter 4 of the Local Assistance Procedures Manual (LAPM). The updated LAPM Exhibit 4-E: MASTER AGREEMENT ADMINISTERING AGENCY-STATE AGREEMENT FOR STATE-FUNDED PROJECTS, which will be included in an upcoming update of Chapter 4, is included in this announcement for reference purposes.
Some notable updates to the State-only Master Agreement are:
• Language relating to local agency employee in responsible charge (Article I)
• Revisions in various paragraphs of Articles II and III.
• Language pertaining to invoice procedures (Article IV)
• Indirect Cost Allocation Plans/Indirect Cost Rate Proposals (ICAP/ICRP) submittal language,(Article IV)
• Language pertaining to Budgetary Liquidation period (Article IV)
• Administrative, Cost Principles and Audit Requirements (Article IV, V).
Note that certain Federal requirements are adopted, as is the case in the 2006 agreement, with updates made in this agreement in part related to 2 CFR 200.
• A&E requirements (Article V)
• Updates to the Fair Employment Practices Addendum (Exhibit A)
Much of the agreement remains unchanged or similar to the prior agreement and it may appear familiar to partner agencies, who are encouraged to compare their prior agreement with this update in order to become aware of all of the updates that have been made. In most instances, the updated agreement will be sent to individual partner agencies along with their next Program Supplement Agreement (PSA) for a newly implemented State-only funded project. Projects already under agreement will remain tied to the prior Master Agreement and respective PSA.
For questions, please contact the Office of Project Implementation at PISB.Help.Desk@dot.ca.gov
