(a) Prior to entering into a contract, representatives of the Department may visit the project site to assess its conditions and needs, and then meet with all the project sponsors, co-sponsors, endorsers, and any other local officials, agencies and/or organizations with an interest in the project to develop a work plan. The work plan shall reflect the specific schedule and components of the project, and incorporate recommendations made by the Department. The work plan shall be attached to and become a part of the contract between the Department and the applicant. The Department may require all individuals or organizations it believes to be integral to the effective completion and long-term maintenance of the project to endorse the work plan.

(b) The project sponsors must provide an opportunity for public comment, unless the Department waives this requirement for good cause. A public meeting held to adopt a resolution to support the project or accept a grant will satisfy this requirement. Grants that involve trash and debris clean up only may be exempted from the public comment requirement. A contract will be signed by the Department only after the sponsor provides copies of resolutions from the sponsor and all co-sponsors accepting the grant and authorizing specific individuals to sign the contract on the behalf of each.

(c) The Department may enter into a contract before the sponsors and/or co-sponsors have obtained all applicable permits, but may not disburse any funds to be used for project construction until the sponsors and/or co-sponsors have complied with all applicable federal, State and local laws, rules and regulations, and obtained all required permits.

(d) All applicable requirements of the California Environmental Quality Act (California Public Resources Code sections 21000-21177) and applicable regulations shall be compiled with prior to entering into a contract.

(e) If a contract is not signed within six months of the date the priority list is approved, the grant may be withdrawn or revised.

(f) All contracts shall be signed by all the sponsors and co-sponsors. If the sponsor is a citizens' group that is not a non-profit corporation, it must designate a fiscal agent to act on it's behalf, and provide evidence that the fiscal agent agrees to so act.

(g) The contract shall require the sponsors and/or co-sponsors to submit a written report of the project to the Department upon completion. The report must include photographs of planning and restoration activities and techniques.

(h) The contract shall include, as part of the work .plan, a plan for the long-term management or maintenance of the stream which the project will affect.

(i) The Department may withhold up to 10 percent of the grant amount until the project and final report are complete to the Department's satisfaction.

(j) During planning and construction the Department may inspect the project at any reasonable time to ensure it is being carried out in accordance with the work plan, and after completion to ensure that it is being properly maintained.