[Code of Federal Regulations] [Title 23, Volume 1] [Revised as of April 1, 2004] From the U.S. Government Printing Office via GPO Access [CITE: 23CFR140.505] [Page 12-13] 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. [[Page 13]] (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.