The lead agency must begin work on a project within twelve months of the date the board approves the project, unless the board grants an extension. To determine if work has begun, the board will assess the project progress as compared to the information provided the board when the project was authorized for funding. If project activity has not started and it appears the project is falling behind the proposed schedule, the board may review the project status to determine if board funds should be withdrawn from the project and reallocated to another proposed project. The board may grant an extension if, in the board's opinion, the project will begin work shortly after the original twelve-month period has elapsed. For purposes of this section, "begin work" means the date that a contract is advertised.