Compliance with federal requirements and other funding sources

1. When a procurement involves the expenditure of federal assistance or contract funds, the office of management and budget or purchasing agency will comply with all federal laws and regulations that are mandatory and that are not presently reflected in these rules. 2. Nothing in these rules or the written directives of the office of management and budget prevents any state agency or institution from complying with the terms and conditions of federal funds, federal assistance, grants, gifts, bequests, or cooperative agreements.