2017-Water-Marketing-FOA-Final.pdf

U.S. Department of the Interior Bureau of Reclamation Policy and Administration Denver, Colorado February 2017

Funding Opportunity Announcement No. BOR-DO-17-F014

WaterSMART Grants:

Water Marketing Strategy Grants for Fiscal Year 2017

Mission Statements

The U.S. Department of the Interior protects America’s natural resources and heritage, honors our cultures and tribal communities, and supplies the energy to power our future.

The mission of the Bureau of Reclamation is to manage, develop, and protect water and related resources in an environmentally and economically sound manner in the interest of the American public.

Synopsis i

Synopsis

Federal Agency Name: Department of the Interior, Bureau of Reclamation, Policy and Administration

Funding Opportunity Title: WaterSMART Grants: Water Marketing Strategy Grants for Fiscal Year 2017

Announcement Type: Funding Opportunity Announcement (FOA)

Funding Opportunity Number:

BOR-DO-17-F014

Catalog of Federal Domestic Assistance (CFDA) Number:

15.507

Dates:

(See FOA Sec. D.4)

Application due date:

April 19, 2017 at 4:00 p.m. Mountain Daylight Time (MDT)

Eligible Applicants:

(See FOA Sec. C.1)

States, Indian tribes, irrigation districts, water districts, or other organizations with water or power delivery authority located in the Western United States or United States Territories as identified in the Reclamation Act of June 17, 1902, as amended

Recipient Cost Share:

(See FOA Sec. C.2)

50 percent or more of total project costs.

Federal Funding Amount:

(See FOA Sec. B.1)

Funding Group I: Up to $200,000 for a project that can be completed within 2 years.

Funding Group II: Up to $400,000 for a project that can be completed within 3 years.

Estimated Number of Agreements to be Awarded:

(See FOA Sec. B.1)

Approximately 10 - 12 agreements

Estimated Amount of Funding Available for Award:

(See FOA Sec B.1)

Of the President’s fiscal year (FY) 2017 budget for WaterSMART Grants, approximately $3 million will be made available for this FOA. The final amount of funding available for award under this FOA will be determined once final FY 2017 appropriations have been made, and may vary depending on the demand for this and other WaterSMART Grants funding opportunities. Any awards are subject to a determination by Reclamation that FY 2017 appropriations are available and that awards can be made consistent with all program requirements.

Applications submitted under this FOA may also be considered if additional funding becomes available in FY 2017 or thereafter.

This page is intentionally left blank.

Application Checklist

Application Checklist The following table contains a summary of the information that you are required to submit with your application.

√ What to submit Required content Form or format When to submit

Mandatory Federal Forms:

Application for Federal Financial Assistance

Budget Information

Assurances

See Sec. D.2.2.1. SF-424, SF-424A, and SF-424B forms may be obtained at http://apply07.grants.gov/apply/FormLinks?fa mily=15

Title page See Sec. D.2.2.2. Page 17 *

Table of contents See Sec. D.2.2.3. Page 17 *

Technical proposal:

Executive summary

Background data

Project description

Evaluation criteria

See Sec. D.2.2.4.

See Sec. E.1.

Pages 17 - 18

Environmental and cultural resources compliance

See Sec. D.2.2.5. Page 19

Required permits or approvals See Sec. D.2.2.6. Page 20 *

Project Budget:

Funding plan and letters of commitment

See Sec. D.2.2.7. Pages 20 iii

- 25

Budget proposal

Budget narrative

Pages 23 - 25

Existing Analysis Contributing to the Water Marketing Strategy (if applicable)

See Sec. D.2.2.8. Page 26

Letters of support See Sec. D.2.2.9. Page 26 *

Official Resolution See Sec. D.2.2.10. Page 26 **

Unique Entity Identifier and System for Award Management

See Sec. D.3. Page 27 ***

* Submit materials with your application.

** Document should be submitted with your application; however, please refer to the applicable section of the FOA for extended submission date.

*** Should be completed by application deadline; however, please refer to the applicable section of the FOA for extended completion date.

http://apply07.grants.gov/apply/FormLinks?family=15 http://apply07.grants.gov/apply/FormLinks?family=15

Acronyms and Abbreviations v

Acronyms and Abbreviations

ASAP Automated Standard Application for Payments ARC Application Review Committee CE Categorical Exclusion CEC Categorical Exclusion Checklist CFDA Catalog of Federal Domestic Assistance CFR Code of Federal Regulations CPA certified public accountant CWA Clean Water Act CWMP Cooperative Watershed Management Program DUNS Data Universal Number System EA Environmental Assessment EIS Environmental Impact Statement ESA Endangered Species Act FAPIIS Federal Award Performance Integrity Information System FOA Funding Opportunity Announcement FOIA Freedom of Information Act FONSI Finding of No Significant Impact FY fiscal year Interior U.S. Department of the Interior MDT Mountain Daylight Time NEPA National Environmental Policy Act NHPA National Historic Preservation Act NOAA National Oceanic and Atmospheric Administration P.L. Public Law Project Water Marketing Strategy Reclamation Bureau of Reclamation ROD Record of Decision SAM System of Award Management U.S. United States USACE U.S. Army Corps of Engineers U.S.C. United States Code USFWS U.S. Fish and Wildlife Service WaterSMART Sustain and Manage America’s Resources for Tomorrow

Contents vii

Contents

Page Section A. Funding Opportunity Description

A.1. Program Information A.2. Objective of this Funding Opportunity Announcement A.3. Statutory Authority A.4. Other Related Funding Opportunities A.5. Natural Resource Investment Center

Section B. Award Information B.1. Total Project Funding B.2. Project Funding Limitations B.3. Assistance Instrument

Section C. Eligibility Information C.1. Eligible Applicants C.2. Cost Sharing Requirements C.3. Eligible Projects C.4. Project Requirements

Section D. Application and Submission Information D.1. Address to Request Application Package D.2. Content and Form of Application Submission D.3. Unique Entity Identifier and System for Award Management D.4. Submission Date and Time D.5. Intergovernmental Review D.6. Funding Restrictions: Pre-award Costs D.7. Automated Standard Application for Payments Registration

Section E. Application Review Information E.1. Evaluation Criteria E.2. Review and Selection Process E.3. Federal Award Performance Integrity Information System E.4. Anticipated Announcement and Federal Award Date

Section F. Federal Award Administration Information F.1. Federal Award Notices F.2. Administrative and National Policy Requirements F.3. Reporting Requirements and Distribution F.4. Releasing Applications

Section G. Agency Contacts G.1. Reclamation Financial Assistance Management Contact G.2. Reclamation Program Coordinator Contact

Section H. Other Information H.1. National Environmental Policy Act H.2. National Historic Preservation Act H.3. Endangered Species Act

Section A. Funding Opportunity Description

Section A. Funding Opportunity Description

A.1. Program Information The Nation faces an increasing set of water resource challenges. Aging infrastructure, rapid population growth, depletion of groundwater resources, impaired water quality associated with particular land uses and land covers, and water needed for human and environmental uses all play a role in determining the amount of fresh water available at any given place and time. Water shortages and water-use conflicts have become more commonplace in many areas of the United States (U.S.), even in normal water years. As competition for water resources grows—for crop irrigation, growing cities and communities, energy production, and the environment—the need for information and tools to aid water resource managers also grows. Water issues and challenges are increasing across the Nation, but particularly in the West, due to prolonged drought.

These water issues are exacerbating the challenges facing traditional water management approaches which by themselves no longer meet today’s needs. The U.S. Department of the Interior’s (Interior) WaterSMART (Sustain and Manage America’s Resources for Tomorrow) Program establishes a framework to provide Federal leadership and assistance for using water efficiently, integrating water and energy policies to support the sustainable use of all natural resources, and coordinating the water conservation activities of various Interior bureaus and offices. Through the program, Interior is working to achieve a sustainable water strategy to meet the Nation’s water needs.

Through WaterSMART Grants, the Bureau of Reclamation (Reclamation) provides financial assistance to water managers for projects that seek to conserve and use water more efficiently, increase the use of renewable energy and improve energy efficiency, benefit threatened and endangered species, investigate and develop water marketing strategies, prevent any water-related crisis, or otherwise contribute to water supply sustainability in the Western United States. For further information on the WaterSMART Grants Program, including information on funding for Water and Energy Efficiency Grants and Small-Scale Water Efficiency Projects, please see https://www.usbr.gov/watersmart/grants.html

This Funding Opportunity Announcement (FOA) supports the development of water marketing strategies that will help prevent water conflicts and will contribute to water supply sustainability.

Water markets between willing buyers and sellers can be used to help water users meet demands efficiently in times of shortage, thereby helping to prevent water conflicts. Through the WaterSMART Water Marketing Strategy Grants, https://www.usbr.gov/watersmart/grants.html

Funding Opportunity Announcement No. BOR-DO-17-F014

Reclamation provides assistance to states, tribes, and local governments to conduct planning activities to develop a water marketing strategy to establish or expand water markets or water marketing activities between willing participants and in compliance with state and Federal laws.

For further information on the WaterSMART Program, please see www.usbr.gov/WaterSMART.

A.2. Objective of this Funding Opportunity Announcement

The objective of this FOA is to invite states, Indian tribes, irrigation districts, water districts, and other organizations with water or power delivery authority to leverage their money and resources by cost sharing with Reclamation to develop a water marketing strategy to help prevent water-related conflicts and contribute to water supply sustainability. Applicants under this FOA may request funding to conduct planning activities to develop a water marketing strategy to establish or expand water markets or water marketing (Project). Funding awarded under this FOA is for planning purposes only; funding will not be provided to implement water marketing activities.

For the purposes of this FOA, “water marketing” refers to water rights transactions (e.g., the lease, sale or exchange of water, or water rights), or voluntary agreements governing water rights, water use or water management (e.g., non-diversion agreements, dry-year options, and agreements governing groundwater recharge and storage, etc.), undertaken in accordance with state and Federal laws, between willing participants.

Through this FOA, Reclamation seeks to support collaborative planning efforts that use the establishment of water markets to proactively address water supply shortages and increase water management flexibility in the longer term. Funding awarded under this FOA may be used for outreach and partnership building, planning activities (e.g., hydrologic, economic, legal and other types of analysis), and the development of a “water marketing strategy” (see Section C.3. Eligible Projects for a complete description of eligible activities). A water marketing strategy is a framework for implementation of water marketing activities.

Proposals will be selected on a competitive basis, using the evaluation criteria described in Section E.1. Evaluation Criteria. Note: For the purposes of this FOA, the terms “Project” and “strategy” are used interchangeably and refer to the applicant’s proposed water marketing strategy.

Water marketing strategies that include participation by multiple stakeholders will be prioritized under this program to encourage more comprehensive plans that address issues important to different sectors (e.g., agricultural, municipal, tribal and environmental). As described in Section C.3. Eligible Projects of this FOA, http://www.usbr.gov/WaterSMART/

Section A. Funding Opportunity Description water marketing strategies may be scaled to meet the needs of the applicant and may build on work completed to date. Strategies that will provide significant benefits (such as meeting an important water supply need; meeting the needs of multiple sectors, including municipal, agricultural, tribal, or environmental water uses; or decreasing the likelihood of conflicts over water) will be prioritized.

Given current budget constraints and competing priorities for limited funding, Reclamation does not expect to submit recommendations to Congress for authorizing legislation or appropriations for construction following the completion of a water marketing strategy. However, potential projects identified in a water marketing strategy may be considered for funding under one of several different WaterSMART funding opportunities, depending on the type of project, including Water and Energy Efficiency Grants, Small-Scale Water Efficiency Projects, and Drought Resiliency Project Grants, as long as the project meets all program and eligibility requirements.

A.3. Statutory Authority This FOA is issued under the authority of Section 9504(a) of the Secure Water Act, Subtitle F of Title IX of the Omnibus Public Land Management Act of 2009, Public Law (P.L.) 111-11 (42 United States Code [U.S.C.] §10364).

A.4. Other Related Funding Opportunities Reclamation provides funding for projects to improve water management through several, separate, WaterSMART funding opportunities:

Through Water and Energy Efficiency Grants (FOA No. BOR-DO-17-F012),1 Reclamation provides cost-shared financial assistance for projects resulting in quantifiable and sustained water savings and that may have several components intended to address a significant water management concerns, and which may increase renewable energy use and improve energy efficiency (Funding Group I:

up to $300,000 in Federal funding for projects that take two years to complete;

Funding Group II: up to $1,000,000 for larger, phased projects that take up to three years to complete).

Through Small-Scale Water Efficiency Grants (FOA No. BOR-DO-17-F011), Reclamation provides cost-shared financial assistance for small-scale water management projects (up to $75,000 in Federal funding for each project) that have been identified through previous planning efforts.

In addition, through the Drought Response Program, Reclamation provides funding to help build resilience to drought. Through Drought Contingency

1 FOAs with an “FOA No.” are FOAs that have been posted for 2017.

Planning (FOA No. BOR-DO-17-F009), Reclamation supports the development of drought contingency plans with participation from a diverse set of stakeholders and consideration of climate change. Reclamation also supports building long-term resilience to drought by funding Drought Resiliency Projects (FOA No. BOR-DO-17-F010) supported by an existing drought contingency plan.

Through the Cooperative Watershed Management Program (CWMP), Reclamation provides funding to watershed groups to encourage diverse stakeholders to form local solutions to address their watershed management needs. Through Phase I of the CWMP, Reclamation provides funding for the establishment or further development of watershed groups and through Phase II (FOA No. BOR-DO-17-F013) for the implementation of watershed management and/or restoration projects.

For information on the timing for other FOAs, please visit the WaterSMART Program website: www.usbr.gov/watersmart/index.html.

A.5. Natural Resource Investment Center The Department of the Interior has established a Natural Resource Investment Center to work collaboratively with private sector investors, foundations, non-profit organizations and non-Federal government entities to build partnerships to address the challenges currently being faced in water infrastructure and water management more broadly. The Investment Center is available as a resource to you. Please visit the Natural Resource Investment Center website at www.doi.gov/invest for additional information on the Investment Center and to find out more about potential sources of non-Federal funding for projects being proposed in response to this or other FOAs.

http://www.usbr.gov/watersmart/index.html http://doi.gov/invest

Section B. Award Information

Section B. Award Information B.1. Total Project Funding Of the President’s fiscal year (FY) 2017 budget WaterSMART Grants, Reclamation will make approximately $3 million available for implementing Water Marketing Strategy Grants under this FOA. The amount of funding available for awards depends on final FY 2017 appropriations. This FOA may be canceled if FY 2017 appropriations are insufficient to support new awards. The total amount of funding for awards under this FOA will depend on the demand for funding under this and other categories of WaterSMART Grants.

Applications submitted under this FOA may also be considered if additional funding becomes available in FY 2017 or thereafter. Please refer to Reclamation’s WaterSMART Grants website (www.usbr.gov/watersmart/grants.html) for updated funding information.

B.2. Project Funding Limitations The Federal share (Reclamation’s share in addition to any other sources of Federal funding) of any one proposed project shall not exceed 50 percent of the total project costs. Generally, the non-Federal share of project costs must be expended at the same or greater rate as the Federal share of project costs.

Applicants are invited to submit proposals under two different Funding Groups to develop a water marketing strategy:

Funding Group I: Up to $200,000 in Federal funds provided through this FOA will be available for water marketing strategies that can be completed within two years from the date of award because they are relatively smaller in scope.

Applicants seeking to conduct outreach, and planning and scoping activities, but who do not expect to reach the point of developing the actual procedures, rules, and legal agreements needed to implement the water marketing strategy should apply under Funding Group I. See Section C.3. Eligible Projects for the specific requirements for developing a strategy for Funding Group I Projects. In future FOAs, funding may be made available to build on a completed Funding Group I project by developing a strategy that meets Funding Group II requirements.

Funding Group II: Up to $400,000 in Federal funds provided through this FOA will be available for more advanced water marketing strategies that will require up to three years to complete because they will include developing procedures and agreements needed to implement the water marketing strategy and are, therefore, relatively larger in scope. Projects in this group will be funded on an annual basis.

Funding for the second and third years of the project is contingent upon future appropriations. See Section C.3. Eligible Projects for the specific requirements for developing a strategy for Funding Group II Projects.

http://www.usbr.gov/watersmart/grants.html

B.3. Assistance Instrument Awards will be made through grants or cooperative agreements, as applicable to the selected Project. If a cooperative agreement is awarded, the recipients should expect Reclamation to have substantial involvement in the completion of the Project. Substantial involvement by Reclamation may include:

• Participating and collaborating jointly with the recipient in carrying out the scope of work

• Directing or redirecting work because of interrelationships with other projects

At the request of the recipient, Reclamation can provide technical assistance after award. If you would like to receive Reclamation technical assistance, you must account for these costs in your budget. To discuss available assistance and these costs, contact your local Reclamation office, listed at www.usbr.gov/main/offices.html.

http://www.usbr.gov/main/offices.html

Section C. Eligibility Information

Section C. Eligibility Information C.1. Eligible Applicants Under P.L. 111-11, Section 9502, an eligible applicant is a state, Indian tribe, irrigation district, water district, or other organization with water or power delivery authority.

Applicants must also be located in the Western United States or Territories as identified in the Reclamation Act of June 17, 1902, as amended and supplemented; specifically: Arizona, California, Colorado, Idaho, Kansas, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming, American Samoa, Guam, the Northern Mariana Islands, and the Virgin Islands.

Those not eligible include, but are not limited to, the following entities:

• Federal governmental entities

• Institutions of higher education

• Individuals

C.2. Cost Sharing Requirements Applicants must be capable of cost sharing 50 percent or more of the total costs of the water marketing strategy (also referred to as “Project Costs”). Applicants with sufficient resources may choose to contribute a non-Federal cost share that is greater than 50 percent in order to develop more complex strategies. Cost sharing may be made through cash or in-kind contributions or donations from the applicant or third-party partners. Cost share funding from sources outside the applicant’s organization (e.g., loans or state grants) should be secured and available to the applicant prior to award. Please see Section D.2.2.10. Official Resolution and D.2.2.7. Project Budget, Funding Plan and Letters of Commitment for more information regarding the documentation required to verify commitments to meet cost sharing requirements.

C.2.1. Cost Share Regulations

All cost share contributions must meet the applicable administrative and cost principles criteria established in 2 Code of Federal Regulations (CFR) Part 200, available at the Electronic Code of Federal Regulations, www.ecfr.gov.

http://www.ecfr.gov/

C.2.2. In-Kind Contributions and Donations

In-kind contributions constitute the value of noncash contributions and donations that benefit a federally assisted project. These contributions may be in the form of real property, equipment, supplies, and other expendable property, as well as the value of goods and services directly benefiting and specifically attributable to the proposed Project. The cost or value of in-kind contributions and donations that have been or will be relied on to satisfy a cost sharing or matching requirement for another Federal financial assistance agreement, a Federal procurement contract, or any other award of Federal funds may not be relied on to satisfy the cost share requirement for an award under this FOA. The exception to this requirement is where the Federal statute authorizing a program specifically provides that Federal funds made available for such program can be applied to matching or cost sharing requirements of other Federal programs, such as awards to tribal organizations under P.L. 93-638, as amended. Applicants should refer to 2 CFR §200.434 for regulations regarding the valuation of in-kind donations and contributions, available at www.ecfr.gov.

C.3. Eligible Projects

C.3.1. Eligible Projects

Proposals for the development of a water marketing strategy to establish or expand water markets or water marketing activities are eligible for funding under this FOA. Water marketing strategies funded under this FOA must address the required elements described below in Section C.4.1. Required Project Elements.

Proposed Projects must also include the required steps for developing a water marketing strategy described in Section C.4.2. Required Planning Components and Technical Project Report.

C.3.2. Ineligible Projects

Proposals for planning studies, other than water marketing strategies, are not eligible for funding under this FOA. This includes proposals for appraisal investigations, feasibility studies, special studies, Basin Studies, Drought Contingency Plans or studies authorized under the Title XVI Water Recycling and Reuse Program, through P.L.102-575, as amended (43 USC 390h et seq.), or under the Rural Water Program, pursuant to the Rural Water Supply Act of 2006, P.L.109-451 (www.usbr.gov/ruralwater).

Other projects that are not eligible for funding under this FOA include:

• Construction activities

• Water conservation projects http://www.usbr.gov/ruralwater

• Projects considered normal operations, maintenance, and replacement

(OM&R)

• Projects that are part of a congressionally authorized Title XVI project under P.L.102-575, as amended (43 U.S.C. 390h et seq.). A list of congressionally authorized Title XVI projects can be found at http://www.usbr.gov/watersmart/title/authorized.html.

• Water purchases

• Construction of buildings for administration purposes

• Projects to conduct on-farm improvements

For more information regarding these types of ineligible projects please contact the Program Coordinator as listed in Section G.2. Reclamation Program Coordinator Contact.

C.3.3. Length of Projects

Projects funded under Funding Group I of this FOA should be completed within two years of award, and Projects funded under Funding Group II of this FOA should be completed within three years of award.

C.4. Project Requirements Projects proposed for funding under this FOA must address the three elements of a water marketing srategy and must meet the required procedural steps, both of which are described below. In addition, Projects must include a technical report that summarizes all work undertaken and provides findings and conclusions on Project results and benefits. The required strategy elements and steps are intended to guide the planning process but still allow recipients flexibility to use an approach that meets their budget and planning needs.

C.4.1. Required Project Elements

Projects funded under this FOA must address each of the three elements described below. If the applicant has already completed significant work on a particular element, the applicant may summarize prior work when addressing that element in the technical report; however, the completed water marketing strategy must build on each of the three elements. It is not mandatory that the Project address all of the sub-tasks listed under each element. The applicant can substitute appropriate sub-tasks or may provide explanation that certain sub-tasks have already been completed or are not necessary. However, it is also important that sub-tasks identified by the applicant support an overarching water marketing strategy. For example, Projects focused solely on one sub-task, such as hydrologic http://www.usbr.gov/watersmart/title/authorized.html analyses or software development, which are not strongly linked to the development of a more comprehensive water marketing strategy, are not eligible.

Projects funded under this FOA must address each of the three required elements, as follows:

Element 1. Outreach and Partnership Building – Informing and obtaining input from potential market participants and stakeholders within the relevant geographic areas, which may include but is not limited to:

• Conducting outreach to potential partners, participants, and interested or affected stakeholders in the area through public meetings, webinars, notices, or other forms of communication, and research

• Hosting workshops to gather input and feedback on the development of the water marketing strategy

Note: Outreach and partnership building costs, including advertising and public relations costs, must comply with the applicable cost principles contained in 2 CFR Part §200, available at the Electronic Code of Federal Regulations (www.ecfr.gov).

Element 2. Scoping and Planning Activities – Studies to explore the potential to develop a new water market, or to conduct water marketing activities, which may include, but are not limited to, the following types of analyses:

• Conducting financial or economic analyses to identify potential buyers and sellers, assess demand for the water market, and research the cost of implementing the water market.

• Researching different water marketing approaches to support development of administrative or institutional requirements for implementation of a water market/water marketing activities.

• Analyzing water rights issues or legal requirements, including legal mechanisms for transferring water within the relevant area, and legal constraints on existing water rights (type and place of use requirements, title issues, or other constraints).2

• Quantifying water rights, consumptive use, diversions, and return flows to determine how much water is available for marketing and to avoid impacts to downstream water users.

2 Funding may be used for legal assistance including the assessment of different water marketing agreements, contracts, or other legal mechanisms, and the drafting of those instruments. However, funding may not be used for the preparation of a specific water court case, and funding for legal assistance may not exceed 30 percent of the total grant request.

• Analyzing economic, social, community, and environmental impacts of potential market/transaction(s).

• Conducting hydrologic or engineering studies related to water supply, use of existing infrastructure (e.g., for water storage, delivery, or transfer), new infrastructure requirements (e.g. interties to connect participants’ water supply), or hydrologic impacts of water marketing. Note, if some measurement, monitoring, or field work is required to complete this task, such work may be eligible for funding so long as it comprises only a minor part of the work described in the proposal and the applicant includes funding in their budget for related environmental compliance work.

Element 3. Development of a Water Marketing Strategy – A water marketing strategy is a written document that describes a proposed approach to establish or expand a new water market or water marketing activities based on the results of the outreach, scoping, and planning activities that performed under Project Elements 1 and 2. The requirements that apply to the development of the water marketing strategy for Funding Group I Projects and Funding Group II Projects are as follows:

Strategy Requirements for Funding Group I:

The water marketing strategy developed for Projects in Funding Group I should include, but is not limited to, the following items:

• Description of how the water market/water marketing activities will be implemented following completion of the strategy, addressing long-term project management and financial sustainability, and describing the potential administrative structure and institutional components, the participants, water rights, and infrastructure involved, and how transactions will be tracked, to the extent known. The strategy will also describe the issues to be resolved and the steps to be taken before these aspects can be addressed and before an implementation plan can be developed.

• Description of the potential legal framework for the water market/marketing activities, including a description of potential rules and requirements for the water market/markeing activities, to the extent known. The strategy will also describe the issues to be resolved and the steps to be taken before a legal framework can be developed.

• Description of the potential contracts or agreements that would need to be drafted to support the water market/marketing activities, to the extent known. The strategy will also describe the issues to be resolved and the steps to be taken before contracts or agreements can be developed.

• Description of how water marketing activities will be monitored, to the extent known. The strategy will also describe the issues to be resolved and the steps to be taken before a monitoring plan can be developed.

• Description of marketing support tools, including software databases, registries, dashboards or models that would help facilitate water marketing, to the extent known. The strategy will also describe the issues to be resolved and the steps to be taken before needed tools can be identified.

Strategy Requirements for Funding Group II:

The water marketing strategy developed for Projects in Funding Group II should include, but is not limited to, the following items:

• Developing an implementation plan for the water market/water marketing activities, including how the water market will operate, addressing long term project management and financial sustainability, the administrative structure and institutional components, the participants, water rights, and infrastructure involved, and how transactions will be tracked.

• Formulating the rules and requirements needed to make the water market/water marketing activities function.

• Formulating the specific contracts or agreements supporting water marketing.

• Developing monitoring plan to monitor water marketing activities.

• Developing or assessing new or existing water marketing support tools, including software, databases, registries, dashboards or models that would help facilitate potential or existing water markets.

Reclamation recognizes that there may be complementary activities in developing the water marketing strategy (e.g., data gathering) that enhance and inform the planning process. In general, Reclamation considers these activities to be acceptable as part of the overall strategy development. However, the applicant must demonstrate the activity informs at least one of the three required elements of the water marketing strategy.

Note: If awarded funding, the recipient is solely responsible for the content of the water marketing strategy. Reclamation does not exercise control over the substantive aspects of the strategy or approval of the strategy if an award is made under this FOA.

C.4.2. Required Planning Components and Technical Project Report

Project proposals submitted under this FOA must include the following water strategy planning steps and preparation of the required technical project report.

• Development of a Project work plan.—The Project work plan should specify how the three required Project elements will be performed, along with a detailed work schedule, and identify the responsibilities of the recipient and other interested stakeholders. The work plan must be submitted to Reclamation for review upon its completion, and may be updated as conditions warrant. The purpose of Reclamation’s review of the work plan is to help ensure that program requirements are met.

• Development of a communication and outreach plan.—As part of the Project work plan, the recipient must develop a communication and outreach plan. This plan should explain how stakeholders and the public will be involved in the planning process, including input on the drafting of the water marketing strategy and providing feedback to the recipient and any Project partners. Participation could occur through public meetings, webinars, public notices, and other forums or approaches.

• Required technical Project report. — All Projects awarded funding under this FOA must include the development of a written technical project report that summarizes all work undertaken and provides findings and conclusions on Project results and benefits (e.g., are the expected benefits of the water market/activity stated in the proposal still realistic after completion of the strategy?). The report should include a description of all planning and outreach activities conducted, lessons learned, and any other findings and conclusions. Technical project reports for Funding Group II Projects must also identify all outstanding issues to be resolved before the water market or marketing activities can be implemented (if any), and any steps that might be taken to resolve those issues. The draft technical project report, with the draft water marketing strategy attached, must be submitted to Reclamation for review at least 60 days before completion of the period of performance. The purpose of Reclamation’s review is to ensure that the completed Project meets the goals and objectives of this FOA.

Note: The program requirements described here are intended to increase the transparency of the planning process, encourage collaboration and participation by interested stakeholders, and ensure that the water marketing strategy will be successful upon completion. Reclamation participation in this Project is limited to the provision of funding and technical assistance for the development of a strategy that strives to support water marketing activities. Reclamation review of the work plan and technical report is only to ensure compliance with Program requirements.

Section D. Application and Submission Information

Section D. Application and Submission Information

D.1. Address to Request Application Package This document contains all information, forms, and electronic addresses required to obtain the information required for submission of an application.

If you are unable to access this information electronically, you can request paper copies of any of the documents referenced in this FOA by contacting:

By mail: Bureau of Reclamation

Financial Assistance Operations Attn: Ms. Irene M. Hoiby Mail Code: 84-27852 P.O. Box 25007 Denver, CO 80225

By e-mail: ihoiby@usbr.gov

By telephone: 303-445-2025

D.2. Content and Form of Application Submission All applications must conform to the requirements set forth below.

D.2.1. Application Format and Length

The total application package shall be no more than 35 consecutively numbered pages. If an application exceeds 35 pages, only the first 35 pages will be evaluated. The font shall be at least 12 points in size and easily readable. Page size shall be 8½ by 11 inches, including charts, maps, and drawings. Oversized pages will not be accepted. The technical proposal and evaluation criteria section shall be limited to a maximum of 20 pages. The SF-424 forms, official resolution, letters of support for the water marketing strategy, existing previous planning work to be relied on, and documentation associated with a request for cost share reduction or waiver will not be considered in the total page count.

Applications will be prescreened for compliance to the page number limitations.

mailto:ihoiby@usbr.gov

D.2.2. Application Content

The application must include the following elements to be considered complete:

• Mandatory Federal Forms o SF-424 Application for Federal Assistance o SF-424A Budget Information for Non-Construction Programs o SF-424B Assurances for Non-Construction Programs

These forms may be obtained at http://www.grants.gov/web/grants/forms/sf-424-family.html

• Title page

• Table of contents

• Technical proposal and evaluation criteria (limited to 20 pages) o Executive summary o Background data o Project description o Evaluation criteria

• Required permits or approvals

• Project budget o Funding plan and letters of commitment o Budget proposal o Budget narrative

• Environmental and cultural resources compliance, if applicant is undertaking activities involving measurement, monitoring or field work

• Copies of or links to any existing work described in response to the project implementation evaluation criterion (if applicable) (this will not count towards the page limitation)

• Letters of support for the water marketing strategy (will not count toward the page limitation)

• Official resolution (will not count toward the page limitation) http://www.grants.gov/web/grants/forms/sf-424-family.html

D.2.2.1. Mandatory Federal Forms

The application must include the following standard Federal forms:

SF-424 Application for Federal Assistance

A fully completed SF-424 Application for Federal Assistance signed by a person legally authorized to commit the applicant to performance of the project must be submitted with the application. Failure to submit a properly signed SF-424 may result in the elimination of the application from further consideration.

SF-424 Budget Form

A fully completed SF-424A Budget Information Non-Construction Programs must be submitted with the application.

SF-424 Assurances

A SF-424B Assurances Non-Construction Programs, signed by a person legally authorized to commit the applicant to performance of the project must be included. Failure to submit a properly signed SF-424B may result in the elimination of the application from further consideration.

D.2.2.2. Title Page

Provide a brief, informative, and descriptive title for the proposed work that indicates the nature of the Project (i.e., the water marketing strategy). Include the name and address of the applicant, and the name and address, e-mail address, and telephone of the project manager.

D.2.2.3. Table of Contents

List all major sections of the proposal in the table of contents.

D.2.2.4. Technical Proposal and Evaluation Criteria

The technical proposal and evaluation criteria (20 pages maximum) includes:

(1) Executive summary

(2) Background data

(3) Project description

(4) Evaluation criteria

Executive Summary

The executive summary should include:

• The date, applicant name, city, county, and state

• A one paragraph summary of the proposal

• The length of time and estimated completion date for the proposed water marketing strategy

• Whether or not a Reclamation project, facility, or activity is located within the geographic area to be addressed in the proposed water marketing strategy

Background Data

Provide a map of the planning area showing the geographic location (include the state, county, and direction from nearest town).

Provide a general description of the area to be addressed in the proposed water marketing strategy, including a description of the source(s) of water supply, the water rights involved, the current water uses (e.g., agricultural, municipal, domestic, industrial, environmental and recreation), the number of water users served, and the current and projected water demand, if available. If water is primarily used for irrigation, describe major crops and total acres served.

Identify any past working relationships with Reclamation. This should include the date(s), description of prior relationships with Reclamation, and a description of the project(s), facility(s), or activity(s).

Project Description

The Project description should describe the work in detail including the specific activities to be accomplished. This description shall have sufficient detail to permit a comprehensive evaluation of the proposal. The Project description should clearly indicate if the proposal is for Funding Group I or Funding Group II. Proposals should address the requirements for conducting a water marketing strategy this FOA, identified in Section C.4. Project Requirements.

Evaluation Criteria

(See Section E.1. Evaluation Criteria for additional details, including a detailed description of each criterion and subcriterion and points associated with each.)

The evaluation criteria portion of your application should thoroughly address each criterion and subcriterion in the order presented to assist in the complete and accurate evaluation of your proposal.

It is suggested that applicants copy and paste the evaluation criteria and subcriteria in Section E.1. Evaluation Criteria into their applications to ensure that all necessary information is adequately addressed.

D.2.2.5. Environmental and Cultural Resources Compliance

All applicants who are proposing to conduct activities involving measurement, monitoring or field work must respond to the following list of questions focusing on National Environmental Policy Act (NEPA), Endangered Species Act (ESA), and National Historic Preservation Act (NHPA) requirements, to allow Reclamation to assess the probable environmental and cultural resources impacts and costs associated with the application. Please answer the following questions to the best of your knowledge. If any question is not applicable to the project, please explain why.

The application should include the answers to:

• Will the proposed Project impact the surrounding environment (e.g., soil [dust], air, water [quality and quantity], animal habitat)? Please briefly describe all earth-disturbing work and any work that will affect the air, water, or animal habitat in the area. Please also explain the impacts of such work on the surrounding environment and any steps that could be taken to minimize the impacts.

• Are you aware of any species listed or proposed to be listed as a Federal threatened or endangered species, or designated critical habitat in the area?

If so, would they be affected by any activities associated with the proposed Project?

• Are there wetlands or other surface waters inside the Project boundaries that potentially fall under Clean Water Act (CWA) jurisdiction as “Waters of the United States?” If so, please describe and estimate any impacts the proposed project may have.

• When was the water delivery system constructed?

• Will the proposed project result in any modification of or effects to, individual features of an irrigation system (e.g., headgates, canals, or flumes)? If so, state when those features were constructed and describe the nature and timing of any extensive alterations or modifications to those features completed previously.

• Are any buildings, structures, or features in the irrigation district listed or eligible for listing on the National Register of Historic Places? A cultural resources specialist at your local Reclamation office or the State Historic Preservation Office can assist in answering this question.

• Are there any known archeological sites in the proposed area?

• Will the proposed Project have a disproportionately high and adverse effect on low income or minority populations?

• Will the proposed Project limit access to and ceremonial use of Indian sacred sites or result in other impacts on tribal lands?

• Will the proposed Project contribute to the introduction, continued existence, or spread of noxious weeds or non-native invasive species known to occur in the area?

Note, if mitigation is required to lessen environmental impacts, the applicant may, at Reclamation’s discretion, be required to report on progress and completion of these commitments. Reclamation will coordinate with the applicant to establish reporting requirements and intervals accordingly.

Under no circumstances may an applicant begin any ground-disturbing activities (including grading, clearing, and other preliminary activities) on a project before environmental compliance is complete and Reclamation explicitly authorizes work to proceed. This pertains to all components of the proposed project, including those that are part of the applicant’s non-Federal cost share.

Reclamation will provide a successful applicant with information once environmental compliance is complete. An applicant that proceeds before environmental compliance is complete may risk forfeiting Reclamation funding under this FOA.

If you have any questions regarding NEPA, ESA, and NHPA requirements, please see Section H. Other Information and contact your local Reclamation office, listed at www.usbr.gov/main/offices.html.

D.2.2.6. Required Permits or Approvals

Applicants must state in the application whether any permits or approvals are required for the Project and describe the approach for obtaining such permits or approvals.

D.2.2.7. Project Budget

The project budget includes:

(1) Funding plan and letters of commitment

(2) Budget proposal

(3) Budget narrative

Funding Plan and Letters of Commitment

Describe how the non-Federal share of Project costs will be obtained.

Reclamation will use this information in making a determination of financial capability.

Project funding provided by a source other than the applicant shall be supported with letters of commitment from these additional sources. Letters of commitment shall identify the following elements:

• The amount of funding commitment

• The date the funds will be available to the applicant

• Any time constraints on the availability of funds

• Any other contingencies associated with the funding commitment http://www.usbr.gov/main/offices.html

Commitment letters from third party funding sources should be submitted with your application. If commitment letters are not available at the time of the application submission, please provide a timeline for submission of all commitment letters. Cost share funding from sources outside the applicant’s organization (e.g., loans or state grants), should be secured and available to the applicant prior to award.

Reclamation will not make funds available for an award under this FOA until the recipient has secured non-Federal cost share. Reclamation will execute a financial assistance agreement once non-Federal funding has been secured or Reclamation determines that there is sufficient evidence and likelihood that non-Federal funds will be available to the applicant subsequent to executing the agreement.

The funding plan must include all Project costs, as follows:

• How you will make your contribution to the cost share requirement, such as monetary and/or in-kind contributions and source funds contributed by the applicant (e.g., reserve account, tax revenue, and/or assessments).

• Describe any in-kind costs incurred before the anticipated Project start date that you seek to include as costs. For each cost, identify:

o The Project expenditure and amount o Whether the expenditure is or will be in the form of in-kind services or donations o The date of cost incurrence o How the expenditure benefits the Project

• Provide the identity and amount of funding to be provided by funding partners, as well as the required letters of commitment.

• Describe any funding requested or received from other Federal partners.

Not…