(1) For every funded project, an agreement shall be executed within the deadlines in WAC 420-12-030 and as provided in this section.

(2) The project agreement shall be prepared by the office after approval of the project by the board at a public meeting. The project agreement is executed upon the signature of the office and the applicant and the parties are then bound by the agreement's terms. The applicant shall not proceed until the project agreement has been executed, unless specific authorization pursuant to WAC 420-12-070 has been given by the director.

(3) If the project is approved by the board to receive a grant from federal funds, the director shall not execute an agreement or amendment with the applicant until federal funding has been authorized through execution of an agreement with the applicable federal agency.