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(a) The contract includes state funds at least equal to the total amount of all items of cost <br />under consideration; <br />(b) If the costs are incurred by a subcontractor, the subcontract document clearly indicates <br />only state funds are included in the subcontract; and <br />(c) The cost is otherwise allowed . <br />Washington State <br />Health Care Authority Page 79 of90 HCA Contract No . K3924