[§42F-104]  Contracts for grants andsubsidies.  An appropriation for a grant or subsidy shall be disbursed by acontract between the state agency designated the expending agency for theappropriation by the legislature, and the recipient of the grant or subsidy. The contract shall be effective as of the first day of the fiscal year forwhich the funds for the grant or subsidy are appropriated, provided that up toone-fourth of the total amount appropriated may be disbursed prior to theexecution of the contract. [L 1997, c 190, pt of §3]