Anchor: #i1007106

Section 3: Grant Agreement

Anchor: #i1007111


The Traffic Safety Program Grant Agreement is a legally binding document when fully executed by both parties. The Traffic Safety Program Grant Agreement consists of the document and all attachments such as the terms and conditions, detailed objectives, performance measures and activities, and the approved budget.

Anchor: #i1007123

Grant Agreement Purpose

The purposes for developing formal grant agreements are to:

  • produce a clearly defined problem statement
  • produce a clearly specified work statement
  • clearly define respective roles and responsibilities
  • achieve understanding among all parties
  • reach consensus
  • ensure accountability.
Anchor: #i1007163

Grant Agreement

The grant agreement is typically used when the beneficiary of a project is a state agency other than TxDOT, a local jurisdiction (such as a city or county), or a non-governmental entity (such as the Bike Texas or the Texas District and County Attorney’s Association). Any amendment to the grant agreement must be in writing and fully executed by all parties in accordance with signature delegation authority.

Traffic safety grant agreements and amendments up to $100,000 can be activated if approved by a District Engineer or the Traffic Operations Division (TRF) Director, who may delegate according to TxDOT policy. A District Engineer also recommends grant agreements and amendments of $100,000 or greater prior to the final approval signature of the TRF Division Director or his or her designated alternate. The Deputy Executive Director, or the Executive Director can approve grant agreements for any dollar amount. The TRF-TS Director can also approve a grant agreement of any dollar amount in the absence of the Assistant Division Director and Division Director.

NOTE: Up to $100,000 means the TxDOT reimbursement portion of the grant agreement award.

When a District Engineer approves a Traffic Safety Program Grant Agreement or amendment, TRF-TS must receive the original grant agreement or amendment within ten working days after the document is executed.

Anchor: #i1007191

Grant Period

The grant period is the time during which the subgrantee may incur reimbursable costs to carry out the project. The grant period should be long enough to allow the project to be completed. Traffic safety grant agreements are usually executed on October 1 (or upon approval, if after October 1) and end on September 30.

NOTE: Project activity begins and costs can be incurred on the effective day of the grant.

Currently, the annual Traffic Safety Program Request for Proposals (RFP) is for a yearlong (one-year) grant agreement.

Anchor: #i1007226

Grant Agreement General Terms and Conditions

The Grant Agreement General Terms and Conditions will be included in all grant agreements. It provides the terms and conditions governing the grant and certifies that a subgrantee will comply with the applicable regulations, policies, guidelines, and requirements contained in 2 C.F.R. Part 200 (Uniform Guidance), as they relate to the application, acceptance, and use of federal or state funds for the project. The General Terms and Conditions further explain other federal and state acts and laws that a subgrantee must adhere to with the awarding of federal and state moneys for grant expenditure.

NOTE: Potential subgrantees are required to become familiar with the contents of the Grant Agreement General Terms and Conditions, because failure to do so will not excuse nonperformance or noncompliance once a grant has been awarded.

Click on the following link to view the Grant Agreement General Terms and Conditions.

Anchor: #i1007248


Reimbursement will be made only for costs incurred during the grant period. The incurrence of costs depends on the accounting system used.

Anchor: #i1005864When Costs Are Incurred


Then cost is incurred when...

an accrual accounting system is used

a recorded liability exists (Examples include invoices, bills of lading, vouchers of individual travel performed, and cash receipts of expenses incurred. Advances for anticipated costs are prohibited.)

a cash accounting system is used

a cash disbursement has been made.

Anchor: #i1007257

Legal Authority

For local grants, the agreement must be made with the unit of local government or political subdivision of the state, not with an operating division or function of the local governmental unit or political subdivision of the state. Likewise, for statewide grants, the agreement is made with the parent agency, not a bureau or division. Please ensure that the organization, when entered into the Traffic Safety Electronic Grant Management System (eGrants), adheres to the following examples.

Anchor: #i1005877Local Grants



Austin Police Department

The City of Austin

County Health Department

Travis County

Statewide Grants



Emergency Medical Services Division

Texas Department of State Health Services

DPS Motorcycle Safety Bureau

Texas Department of Public Safety

Anchor: #i1007266


A document that is incorporated into the agreement by reference must be identified and retained in an accessible location. Merely attaching a document does not necessarily make it a part of the agreement. If an attached document is treated as material to the agreement, it must be referenced and incorporated.

Anchor: #i1007276

Grant Agreement Process

For traffic safety proposals, the following steps should be followed in the grant agreement process.

  1. The TxDOT TRF-TS Section Director approves the projects in eGrants that are on the approved project list and changes the status of the proposal from “Proposal Submitted” to “Proposal Approved.”
  2. The Subgrantee Administrator logs into the eGrants system, accesses their proposal, and completes the following steps:
    1. Clicks on “Print Grant Agreement.” This will bring up a pdf file of the grant agreement created and uploaded by TxDOT.
    2. Obtains the necessary authorized signature.
    3. Changes the status in eGrants from “Notification to Subgrantee” to “Subgrantee Signature Complete.”
    4. Sends all pages of the grant to the assigned Project Manager.
  3. For local projects with a TxDOT amount less than $100,000.00, the TxDOT Project Manager (TSS) reviews the grant agreement document signed by the subgrantee and completes the following steps:
    1. If any discrepancies are noticed, the Project Manager sends the document back to the subgrantee for corrections.
    2. If the grant agreement is acceptable, the TxDOT Project Manager sends the grant agreement to the District Engineer (DE) for signature.
    3. Once the grant agreement is signed, the Project Manager sends the completed package with original signatures to TRF-TS.
  4. For statewide projects and local projects with TxDOT amount greater than or equal to $100,000.00, the TxDOT Project Manager reviews the grant agreement, sends the package to TRF for the Division Director’s signature, and changes the status in eGrants to “Grant Agreement Verified by Project Manager.”
  5. The TxDOT eGrants Administrator reviews the signed agreement and changes the status to “TxDOT Signature Complete.” A notification is then sent to notify the subgrantee administrator and Project Manager that the grant agreement has been executed.
  6. The TxDOT eGrants Administrator scans and uploads the executed grant agreement into eGrants and changes the status to “Grant Awarded.”

Electronic Signatures

TRF-TS is working on a system to allow for an electronic signature format to allow subgrantees to sign grant agreements, amendments, etc. electronically in lieu of having to print out grant agreements and obtain physical signatures as outlined above. Once the electronic signature format is available, subgrantees will be notified and instructions will be available on the eGrants Help Page.�

Anchor: #i1007366

Process Overview

An overview of the eGrants proposal process can be found in the eGrants Proposal Process Workflow (flowchart).

Previous page  Next page   Title page