(a) An area agency may not execute a subcontract with a profitmaking entity for the delivery of OAA or CSE services until the office has approved the subcontract.

(b) Under CSE, the office may approve the subcontract with a profitmaking entity only if the service performed by the profitmaking entity is part of a larger community service project conducted by a public or nonprofit organization.

(c) An area agency may execute a subgrant or subcontract with a public or private not-for-profit organization under an approved area plan and application without prior approval of the office. Under EISEP, an area agency may execute a subcontract under an approved area plan with a public organization, a private not-for-profit organization or a proprietary entity without the prior approval of the office.

(d) The office will not reimburse an area agency for services under a subgrant or subcontract until such subgrant or subcontract has been submitted to the office for approval. No subcontractor or subgrantee expenditures shall be reimbursed by the office except pursuant to such approval; additional expenditures may be reimbursed only pursuant to office approval of a revision entered into and submitted to the office by the area agency within 30 days of its execution.

(e) The area agency shall limit each subcontractor's reimbursable expenditures to those authorized by an approved subgrant or subcontract, and shall ensure that if additional expenditures become necessary, the subcontractor will request and await area agency approval before incurring such expenditures. The area agency shall submit a copy of this revision to the office within 30 days of its effective date.