(a)State assistance under loan and subsidy contracts may not exceed one-half of the local grants-in-aid for a program, as recognized by the federal government, under any of the following:
(1)The two-thirds—one-third formula for the sharing of costs between the federal government and the municipality.
(2)The three-fourths—one-fourth formula for the sharing of costs between the federal government and the municipality, for municipalities having a population of 50,000 or less, or is located in a labor market area designated as a redevelopment area. In such case costs incurred for legal, administrative and planning activities are part of and may be included for the purpose of computing amount of State assistance.
(3)The three-fourths—one-fourth formula for the sharing of costs between the federal government and the municipality, for municipalities other than as described in paragraph (2) of this subdivision. In such case expenditures made for legal, administrative and planning services are not part of gross project costs and will not be included for purpose of computing amount of State assistance.
(b)State assistance under a capital grant contract may not exceed one-half of the net cost of the program to the municipality or Municipal Urban Renewal Agency, exclusive of any federal aid or assistance, under any of the following:
(1)The two-thirds—one-third formula for sharing of costs between the federal government and the municipality or Municipal Urban Renewal Agency.
(2)The three-fourths—one-fourth formula for the sharing of costs between the federal government and the municipality or Municipal Urban Renewal Agency.
Regardless of population the State capital grant under paragraph (2) of this subdivision (b) will be made on the same basis as in paragraph (1). In such case municipalities, under the three-fourths—one-fourth formula, that do not qualify as a municipality having a population of 50,000 or less, or is located in a labor market area designated as a redevelopment area, may have expenditures recognized by the State for the purpose of determining the net cost of the program to the municipality even though such expenditures are excluded from net project cost for the purpose of computing the federal capital grant.
(c)State assistance under a community renewal program grant contract may not exceed one-half of the cost of such program to the municipality or agency, exclusive of any federal or State aid or assistance therefor.
(d)State assistance under a non-federally assisted capital grant contract may not exceed the lowest of the following amounts:
(1)one-half of the net cost of the project;
(2)one-half of the costs of surveys and plans and administrative and other related expenditures incurred in undertaking and completing the project; or
(3)$500,000;
exclusive of any other State aid or assistance provided under any other program which shall be deducted in computing the amount of the State capital grant therefor. Eligibility of costs for a non-federally assisted project are the same as for a project federally financially assisted. Costs may include but are not limited to:
(i)Survey and planning documentation, but not the cost of preparation of the survey and planning application.
(ii)Final project report documentation and application for capital grant contract (Part I).
(iii)Local project approval data (Part II).