[Code of Federal Regulations]
[Title 23, Volume 1]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 23CFR140.505]

[Page 13]
 
                           TITLE 23--HIGHWAYS
 
 CHAPTER I--FEDERAL HIGHWAY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION
 
PART 140--REIMBURSEMENT--Table of Contents
 
       Subpart E--Administrative Settlement Costs--Contract Claims
 
Sec. 140.505  Reimbursable costs.

    (a) Federal funds may participate in administrative settlement costs 
which are:
    (1) Incurred after notice of claim,
    (2) Properly supported,
    (3) Directly allocable to a specific Federal-aid or Federal project,
    (4) For employment of special counsel for review and defense of 
contract claims, when
    (i) Recommended by the State Attorney General or State Highway 
Agency (SHA) legal counsel and
    (ii) Approved in advance by the FHWA Division Administrator, with 
advice of FHWA Regional Counsel, and
    (5) For travel and transportation expenses, if in accord with 
established policy and practices.
    (b) No reimbursement shall be made if it is determined by FHWA that 
there was negligence or wrongdoing of any kind by SHA officials with 
respect to the claim.