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GCC 1495 <br /> 4. No state funds will be paid to the Public Entity in any case until it certifies in writing that it has Aviation Funds for <br /> said airport in an amount equal to the state's participation, or the amount designated in paragraph (1)above,which <br /> deposited amount will be used solely for the purpose in question. <br /> 5. The Public Entity agrees to hold said airport open to the flying public during the useful life of the facilities <br /> developed under this project; that no exclusive operating or use agreements shall be granted to any person, company, <br /> or corporation;that failure to abide by such agreement shall automatically obligate the immediate and full return of all <br /> State of Washington money expended in behalf of the project to the State of Washington with reasonable interest. <br /> Further,the Public Entity agrees to keep the facility open during the useful life of the project or for a stated term of <br /> years,whichever is longer, as determined by the Aviation Division. <br /> 6. The Public Entity will make no charge to the State or its agencies for a limited, but reasonable, amount of state <br /> agency use or for state activity in search and rescue. And,further, RCW 47.68 is followed to best serve the public. <br /> The allowable cost of the project shall not include any cost determined by the State to be ineligible for consideration as to <br /> allowability. <br /> The State reserves the right to amend or withdraw this offer at any time prior to its acceptance by the Public Entity. <br /> This offer shall expire and the State shall not be obligated to pay any part of the costs of the project unless this agreement <br /> has been accepted by the Public Entity on such subsequent date as are prescribed in writing by the State, in the approval <br /> letter for each project. <br /> Except for those projects receiving both state and federal aid,the following inspection scheduled, and reporting system will be <br /> required: <br /> A. Inspection Schedule and Reporting system will vary for each project. Basically,the inspection schedule will be <br /> placed on a quarterly basis. On project taking less than three(3)months,the Public Entity will be required to make <br /> reports and be inspected on the following schedule: <br /> 1. Public Entity project commencement date. <br /> 2. Public Entity report project completion date and request final inspection. <br /> 3. State will make final inspection and sign-off project as completed. <br /> 4. State will arrange for audit of account in accordance with regularly scheduled audit program. <br /> B. Projects taking over three(3)months will be set up on a quarterly inspection and progress report system. The <br /> Public Entity will be required to make reports and be inspected on the following schedule: <br /> 1. Report project commencement date. <br /> 2. Public Entity will make a three(3)months progress report. This will be a letter report giving percentage of <br /> project completed, fund expenditures to date, and short narrative of the project progress, problems encountered <br /> and plans for project completion. <br /> 3. State will make quarterly project inspections and prepare the report of inspection. A copy of the report will <br /> be delivered to the Public Entity. <br /> 4. Public Entity will make report of completion of project and request final inspection. <br /> 5. State will make final inspection and sign-off as completed. <br /> 6. State will arrange for audit of account in accordance with regularly scheduled audit program. <br /> It should be made clear that a violation of any of the terms of the Grant Agreement will leave the State free to choose among <br /> one or more of the following remedies: <br /> A. The withholding of any future airport aid, and/or <br /> B. The return of grant funds awarded as an action for specific performance, and/or <br /> C. Enforcement of the commitment made by the applicant. <br /> Page 2 of 3 <br />