The following definitions shall be applied to the terms used in this act: (1) “Agreement” shall mean “contract” and shall include renewals and alterations of a contract. (2) “Political subdivision” shall mean any agency or unit of this state which now is, or hereafter shall be, authorized to levy taxes or empowered to cause taxes to be levied. (3) “Services” shall mean such public and municipal functions as are performed for property in, and for persons residing within, a political subdivision. (4) “Project” shall mean any resettlement project or rural rehabilitation project for resettlement purposes of the United States located within a political subdivision, and shall include the persons inhabiting such projects. (5) “Governing body” shall mean the board, body, or persons in which the powers of a political subdivision as a body corporate, or otherwise, are vested.