(a) It is the duty of each municipality to properly maintain all state aid streets in that municipality after construction of any such streets with state aid moneys.
(b)
(1) If, in the opinion of the state aid engineer, essential maintenance is not properly and regularly carried on, notice of the deficiency shall be given in writing to the mayor or chief executive officer.
(2) If maintenance is not initiated within sixty (60) days from date of notice, the state aid engineer may proceed to have the necessary maintenance and repair work on the street performed and charge the work to any funds in the State Aid Street Fund in the State Treasury allocated to that municipality.
(3)
(A) If failure to maintain continues, the municipality is no longer eligible for state aid until proper maintenance is resumed by that municipality.
(B) Notice of withdrawal of state aid shall be duly given the Auditor of State and Treasurer of State.
(C) However, such ineligibility shall not affect payment from the fund of progress and final estimates on contracts awarded prior to notice of ineligibility.
(c) When a municipality is ineligible for state aid under the provisions of this subchapter for a continuous period of five (5) years, the municipality shall forfeit and no longer be entitled to any part of the funds in the fund later allocated to it.