FY23 EWRP NOFO R23AS00089 FINAL_Revised 02022023.pdf

U.S. Department of the Interior January 2023

Notice of Funding Opportunity No. R23AS00089

WaterSMART Environmental Water Resources Projects for Fiscal Year 2023

Mission Statements

The U.S. Department of the Interior protects and manages the Nation’s natural resources and cultural heritage; provides scientific and other information about those resources; honors its trust responsibilities or special commitments to American Indians, Alaska Natives, and affiliated Island Communities.

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.

Cover Photo – Boise Project, Arrowrock Division. View of the South Fork Boise River near the Pine Bridge, north of Anderson Ranch Reservoir. July 21, 2020 (Bureau of Reclamation/ Kirsten Strough).

Synopsis

Federal Agency Name: Department of the Interior, Bureau of Reclamation, Water Resources and Planning Office Funding Opportunity Title: WaterSMART Environmental Water Resources Projects for Fiscal Year 2023 Announcement Type: Notice of Funding Opportunity (NOFO) Funding Opportunity Number: R23AS00089 Catalog of Federal Domestic Assistance (CFDA) Number:

15.507, 15.554

Dates:

(See NOFO section D.4)

Application due date:

Tuesday, April 5, 2023, at 4:00 p.m. Mountain Daylight Time

Eligible Applicants:

(See NOFO section C.1)

Applicants eligible to receive financial assistance to fund activities under this NOFO include:

Category A applicants: States, Indian Tribes, irrigation districts, and water districts; State, regional, or local authorities, the members of which include one or more organizations with water or power delivery authority; and other organizations with water or power delivery authority.

All applicants must be located in one of the following States or territories: Alaska, Arizona, California, Colorado, Hawaii, Idaho, Kansas, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming, American Samoa, Guam, the Northern Mariana Islands, the Virgin Islands, or Puerto Rico.

Category B applicants: Non-profit conservation organizations, including watershed groups as defined in the Cooperative Watershed Management Act, Section 6001, that are acting in partnership with, and with the agreement of, an entity described in Category A. Category B applicants must include with their application a letter from the Category A partner stating that the Category A partner: (1) is acting in partnership with the applicant, (2) agrees to the submittal and content of the application, and (3) intends to participate in the project in some way, for example, by providing input, feedback, or other support for the project.

All Category B applicants must be in the United States or the territories identified above, and the Category A partner must be located in one of the following States or territories: Alaska, Arizona, California, Colorado, Hawaii, Idaho, Kansas, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming, American Samoa, Guam, the Northern Mariana Islands, the Virgin Islands, or Puerto Rico.

Category C applicants: Non-profit conservation organizations submitting an application for a project to improve the condition of a natural feature, such as wetlands on Federal land, without a Category A partner must demonstrate that entities described in Category A from the applicable service area have been notified and do not object to the project.

All Category C applicants must be in the United States, or the specific territories identified above.

Recipient Cost Share:

(See NOFO section C.4

25 percent or more of total project costs.

Applicants must meet the requirements listed in Section C.4 “Cost-Sharing Requirements.”

Federal Funding Amount:

(See NOFO section B.1)

Up to $3,000,000 per project for a project that can be completed within 3 years. Total project costs shall not exceed $6,000,000.

Estimated Number of Agreements to be Awarded:

(See NOFO section B.1)

Approximately 20–40 projects contingent upon available Federal appropriations and demand for this NOFO and other WaterSMART activities.

Intergovernmental Review:

(See NOFO section D.5)

This NOFO is subject to Executive Order 12372, “Intergovernmental Review of Federal Programs.” A list of states that have elected to participate in the intergovernmental review process is at https://www.whitehouse.gov/wp-content/uploads/2020/04/SPOC-4-13-20.pdf https://www.whitehouse.gov/wp-content/uploads/2020/04/SPOC-4-13-20.pdf

Application Checklist

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

Mandatory Application Components: Required content Page

Mandatory Federal forms:

• SF-424: Application for Federal Assistance (Office of

Management and Budget [OMB])

• SF-424C: Budget Information - Construction Programs (OMB)

• SF-424D: Assurances - Construction Programs

(OMB)

See section D.2.2.1

See section D.2.2.1.1

See section D.2.2.1.2

See section D.2.2.1.3

Unique Entity Identifier and System for Award Management

See section D.3 29

Project Narrative Attachment Form (Technical Proposal and evaluation criteria)

See section D.2.3.1 23

Budget Narrative Attachment Form (Project Budget:):

Budget proposal

Funding plan

Budget narrative

See section D.2.2.3

See section D.2.2.3.2

See section D.2.2.3.1

See section D.2.2.3.3

Recommended Application Components: Required content Page Environmental and cultural resources compliance See section D.2.2.5 26 Required permits or approvals See section D.2.2.6 26 Overlap or duplication of effort statement See section D.2.2.7 26 Conflict of interest disclosure statement See section D.2.2.8 26 Uniform audit reporting statement See section D.2.2.9 27 SF-LLL: Disclosure of Lobbying Activities (if applicable) Letters of support and Letters of Partnership See section D.2.2.10 27 Official resolution See section D.2.2.11 28 OMB Form 4040-0019: Project Abstract Summary

Acronyms and Abbreviations

ARC Application Review Committee ASAP Automated Standard Application for Payments

BIL Bipartisan Infrastructure Law

CE Categorical Exclusion CEC Categorical Exclusion Checklist CERCLA Comprehensive Environmental Response, Compensation, and Liability Act CFDA Catalog of Federal Domestic Assistance CFR Code of Federal Regulations CWA Clean Water Act

DM Departmental Manual DOI United States Department of the Interior DUNS Data Universal Numbering System

EA Environmental Assessment e.g. for example EIN Employer Identification Number EIS Environmental Impact Statement E.O. Executive Order ESA Endangered Species Act

FAIN Federal Award Identification Number FAPIIS Federal Award Performance Integrity Information System FOIA Freedom of Information Act FONSI Finding of No Significant Impact

GIS Geographic Information System

IBC Interior Business Center

NAICS North American Industry Classification System NEPA National Environmental Policy Act NHPA National Historic Preservation Act NOAA National Oceanic and Atmospheric Administration NOFO Notice of Funding Opportunity NRCS Natural Resources Conservation Service

OMB Office of Management and Budget OM&R operations, maintenance, and replacement

P.L. Public Law PSC Product Service Code

Reclamation Bureau of Reclamation

SAM System for Award Management SCADA supervisory control and data acquisition SF Standard Form

UEI Unique Entity Identifier U.S.C. United States Code USFWS U.S Fish and Wildlife Service

Symbols § section(s) i

Contents

Page

Section A: Program Description A.1 Authority A.2 Background and Program Requirements A.3 Notice of Funding Opportunity Purpose and Objectives A.4 Other Related Funding Opportunities

Section B: Federal Award Information B.1 Total Funding B.2 Expected Award Amount B.3 Expected Award Funding and Anticipated Dates B.4 Number of Awards B.5 Type of Award B.6 Technical Assistance

Section C: Eligibility Information C.1 Eligible Applicants

C.1.1 Category A Applicants C.1.2 Category B Applicants C.1.3 Category C Applicants C.1.4 Ineligible Applicants C.1.5 Watershed Group Definition

C.2 Cost-Sharing or Matching C.2.1 Cost-Share Regulations C.2.2 Third-Party In-Kind Contributions

C.3 Other C.4 Eligible Projects

C.4.1 Category A: Water conservation and efficiency projects that result in quantifiable and sustained water savings and benefit ecological values or watershed health

C.4.2 Category B: Water management or infrastructure improvements to benefit ecological values or watershed health

C.4.3 Category C: Restoration projects benefitting ecological values or watershed health that have a nexus to water resources or water resources management

C.4.4 Eligibility of Monitoring Activities C.5 Ineligible Projects

C.5.1 Operations, Maintenance, and Replacement C.5.2 Water Reclamation, Reuse, and Desalination C.5.3 Injection Wells and Recharge Projects Primarily for Agricultural or Municipal Benefits ii

C.5.4 Water Purchases C.5.5 Land Purchase and Easements C.5.6 Building Construction C.5.7 Pilot Projects C.5.8 Removal and Prevention of Invasive Mussel Species C.5.9 Prescribed Burns C.5.10 On-Farm Irrigation Efficiency Improvements C.5.11 New Conveyance Infrastructure for Municipal or Agricultural

Water Delivery C.5.12 Mine Remediation Projects C.5.13 Projects to Adhere to Specific Regulatory Requirements C.5.14 Training, Education, and Outreach Activities C.5.15 Training, Education, and Outreach Activities

C.6 Construction Start Date Restriction

Section D: Application and Submission Information D.1 Address to Request Application Package D.2 Content and Form of Application Submission

D.2.1 Application Format and Length D.2.2 Application Content

D.3 Unique Entity Identifier and System for Award Management (SAM) D.3.1 Register with the System for Award Management D.3.2 Obtain a UEI Number D.3.3 Maintain an Active SAM Registration and UEI Number

D.4 Submission Date and Time D.4.1 Application Delivery Instructions D.4.2 Instructions for Submitting the Project Application

D.5 Intergovernmental Review D.6 Funding Restrictions

D.6.1 Environmental and Regulatory Compliance Costs D.6.2 Indirect Costs

Section E: Application Review Information E.1 Technical Proposal: Evaluation Criteria

E.1.1 Evaluation Criterion A: Project Benefits (25 Points) E.1.2 Evaluation Criterion B: Collaborative Planning (20 Points) E.1.3 Evaluation Criterion C: Stakeholder Support for Proposed Project

(15 Points) E.1.4 Evaluation Criterion D: Readiness to Proceed (20 Points) E.1.5 Evaluation Criterion E: Performance Measures (5 Points) E.1.6 Evaluation Criterion F: Presidential and DOI Priorities (15 points) iii

E.2 Review and Selection Process E.2.1 Initial Screening E.2.2 Application Review Committee E.2.3 Red-Flag Review E.2.4 Managerial Review E.2.5 Pre-Award Clearances and Approvals

E.3 Federal Award Performance Integrity E.4 Anticipated Announcement and Federal Award Dates

Section F: Federal Award Administration Information F.1 Federal Award Notices F.2 Administrative and National Policy Requirements

F.2.1 Automated Standard Application for Payments Registration F.2.2 All applicants must also be registered with, and willing to process all

Environmental and Cultural Resources Compliance F.2.3 Approvals and Permits F.2.4 Requirements for Agricultural Operations under P.L. 111-11, Section 9504(a)(3)(B) F.2.5 Title to Improvements P.L.111-11, Section 9504(a)(3)(D) F.2.6 Operation and Maintenance Costs under P.L.111-11, Section 9504(a)(3)(E)(iv) F.2.7 Liability under P.L.111-11, Section 9504(a)(3)(F) F.2.8 Geospatial Data and Data Tools F.2.9 Intangible Property (2 CFR §200.315) F.2.10 Real Property, 2 CFR §200.311 F.2.11 Wage Rate Requirements (Davis-Bacon Act) (if applicable) F.2.12 Buy America Domestic Procurement Preference F.2.13 Cost Share/Match Waiver for Insular Areas

F.3 Reporting Requirements and Distribution F.3.1 Financial Reports F.3.2 Interim Performance Reports F.3.3 Final Performance Report F.3.4 Sufficiency Report F.3.5 Real Property Reports

F.4 Disclosures F.4.1 Conflict of Interest Disclosures F.4.2 Other Mandatory Disclosures

F.5 Data Availability (2 CFR §1402.315) F.5.1 Freedom of Information Act

Section G: Federal Awarding Agency Contact(s) G.1 Reclamation Financial Assistance Contact G.2 Reclamation Program Coordinator Contact iv

Section H: Other Information

H.1 Environmental and Cultural Resource Considerations H.1.1 National Environmental Policy Act H.1.2 National Historic Preservation Act

H.2 Endangered Species Act

Tables

Table Page

1 Summary of Non-Federal and Federal funding sources 2 Total project cost table

Section A: Program Description

A.1 Authority This Notice of Funding Opportunity (NOFO) 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), as amended; Section 6002 of the Cooperative Watershed Management Act, Subtitle A of Title VI of the Omnibus Public Land Management Act of 2009, P.L. 111-11 (42 10364); and Section 40907 (“Multi- Benefit Projects to Improve Watershed Health”) of the Bipartisan Infrastructure Law (BIL) (also known as the Infrastructure Investment and Jobs Act), P.L. 117-58.

A.2 Background and Program Requirements The United States Department of the Interior’s (DOI’s) WaterSMART (Sustain and Manage America’s Resources for Tomorrow) Program provides a framework for Federal leadership and assistance to stretch and secure water supplies for future generations in support of DOI’s priorities. Through WaterSMART, Reclamation leverages Federal and non-Federal funding to work cooperatively with States, Tribes, and local entities as they plan for and implement actions to increase water supply reliability through investments in existing infrastructure and attention to local water conflicts.

WaterSMART’s Environmental Water Resources Projects provide support for priorities identified in Presidential Executive Order (E.O.) 14008: Tackling the Climate Crisis at Home and Abroad, and is aligned with other priorities such as those identified in E.O. 13985:

Advancing Racial Equity and Support for Underserved Communities Through the Federal Government. The Environmental Water Resources Projects also support the goals of the Interagency Drought Relief Working Group established in March 2021 and the National Drought Resiliency Partnership.

Drought conditions across the West impact a wide range of communities and sectors, including agriculture, cities, Tribes, the environment, recreation, hydropower producers, and others. The Western United States is experiencing its worst drought this century— historic in both duration and severity—threatening to kill crops, spark wildfires, and harm public health. As of November 2022, the U.S. Drought Monitor indicates that more than 73 percent of the land in the 17 Western States is experiencing drought conditions, and nearly 50 percent of the area is experiencing severe to exceptional drought. Through WaterSMART, Reclamation provides financial assistance to water managers for projects that seek to conserve and use water more efficiently and to accomplish other benefits that contribute to sustainability in the Western United States.

This NOFO for Environmental Water Resources Projects provides funding for water conservation, water management, and restoration projects that provide significant environmental benefits and have been developed as part of a collaborative process to help carry out an established strategy to increase the reliability of water resources.

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

A.3 Notice of Funding Opportunity Purpose and Objectives The objective of this NOFO is to invite eligible applicants (Section C.1. “Eligible Applicants”) to leverage their money and resources by cost sharing with Reclamation on Environmental Water Resources Projects, including water conservation and efficiency projects that result in quantifiable and sustained water savings and benefit ecological values or watershed health, water management or infrastructure improvements to benefit ecological values or watershed health, and restoration projects benefitting ecological values or watershed health that have a nexus to water resources or water resources management.

A.4 Other Related Funding Opportunities

• WaterSMART Drought Resiliency Project Grants. Reclamation provides funding on a 50/50 cost-share basis for the construction of projects that increase water supply flexibility and improve water management to build long-term resilience to drought and are supported by an existing drought contingency plan.

• WaterSMART Grants: Water and Energy Efficiency Grants. Financial assistance is provided on a 50/50 cost-share basis for the construction of projects that conserve and use water more efficiently, increase the production of hydropower, mitigate conflict risk in areas at a high risk of future water conflict, and accomplish other benefits that contribute to water supply reliability in the Western United States.

• WaterSMART Cooperative Watershed Management Program). Reclamation provides funding to watershed groups to encourage diverse stakeholders to form local solutions to address their watershed management needs. Reclamation provides funding through Phase I of the program for watershed group development, restoration planning, and watershed management project design.

For information on the NOFOs listed above, visit the WaterSMART Program website at www.usbr.gov/waterSMART.

https://www.usbr.gov/watersmart/ http://www.usbr.gov/waterSMART/

Section B: Federal Award Information

B.1 Total Funding This NOFO will allocate available program funds, including fiscal year 2023 enacted appropriations for WaterSMART Grants and the Cooperative Watershed Management Program, and funding available under the BIL, P.L. 117-58, in fiscal year 2022 or fiscal year 2023. This NOFO will be used to allocate BIL funding for projects that will improve the condition of a natural feature or nature-based feature, BIL funding for the Cooperative Watershed Management Program, and BIL funding for multi-benefit projects to improve watershed health under Section 40907 of the BIL. Funds made available under this NOFO are subject to the Buy America Act (see Section F.2.11. “Buy America Domestic Procurement Preference for additional information regarding the Buy America preference.

The amount of funding available for awards under this NOFO will depend on the demand for funding under this and other categories of funding. Any awards are subject to a determination by Reclamation that fiscal year 2023 appropriations and/or fiscal year 2023 BIL funds are available.

Applications submitted under this NOFO may also be considered if other funding becomes available in fiscal year 2023 or subsequently.

Category A applicants are limited to a total of $5,000,000 in Federal funding through Fiscal year 2023 NOFOs for Drought Resiliency Projects, Water and Energy Efficiency Grants, and Environmental Water Resources Projects. For example, a Category A applicant may receive $3,000,000 through the fiscal year 2023 Environmental Water Resources Projects NOFO and $2,000,000 through the fiscal year 2023 Water and Energy Efficiency Grant NOFO, for a total of $5,000,000 in Federal funding. However, if a Category A applicant receives $5,000,000 through the fiscal year 2023 Water and Energy Efficiency Grants NOFO, then it would be precluded from seeking additional funding through fiscal year 2023 NOFOs for either Environmental Water Resources Projects or Drought Resiliency Projects. This limitation does not apply to Category B applicants, who may be considered for more than $5,000,000 across programs if they are partnering with multiple Category A entities.

B.2 Expected Award Amount Maximum Award: $3,000,000

Minimum Award: $0

Up to $3,000,000 in Federal funds may be awarded over the period of performance for projects with total project costs no greater than $6,000,000. The budget must include the cost of all equipment, materials and supplies, and labor or contractual costs to complete the project. The Application Review Committee (ARC) (see Section E.2.2 “Application Review Committee”) has final discretion to determine whether a project has total project costs of no greater than $6,000,000.

Multiple applications for funding may be submitted for consideration. In general, no more than $3,000,000 will be awarded per fiscal year to any one applicant under this NOFO; however, a Category B applicant may receive funding up to $15,000,000 total if Category A partners are different.

The Federal share (Reclamation’s share in addition to any other sources of Federal funding) of any one proposed project shall not exceed 75 percent of the total project costs. Generally, the non-Federal share of project costs must be expended at the same or a greater rate as the Federal share of project costs.

B.3 Expected Award Funding and Anticipated Dates Anticipated award date: 12/31/2023

Reclamation expects to contact potential award recipients and unsuccessful applicants in summer 2023 (or later if necessary), subject to the timing of final fiscal year 2023 appropriations.

Anticipated project completion date: 12/31/2026

B.4 Number of Awards Approximately 20–40 awards, depending on the amount requested by each applicant and the amount of Federal funding available, will be awarded under this NOFO.

B.5 Type of Award Project awards will be made through grants or cooperative agreements as applicable to each project. If a cooperative agreement is awarded, the recipient should expect Reclamation to have substantial involvement in the project, including:

• Collaboration and participation with the recipient in the management of the project and close oversight of the recipient’s activities to ensure that the program objectives are being achieved.

• Oversight may include review, input, and approval at key interim stages of the project.

B.6 Technical Assistance At your request, Reclamation can provide technical assistance after award of the project. If you receive Reclamation’s assistance, you must account for these costs in your budget. To discuss available assistance and these costs, contact the program coordinator identified in Section G.2 “Reclamation Program Coordinator Contact.”

Section C: Eligibility Information

C.1 Eligible Applicants Applicants eligible to receive an award under this NOFO are described below.

C.1.1 Category A Applicants

• States, Indian Tribes, irrigation districts, and water districts

• State, regional, or local authorities, the members of which include one or more organizations with water or power delivery authority

• Other organizations with water or power delivery authority

All Category A applicants must also be located in one of the following States or territories:

Alaska, Arizona, California, Colorado, Hawaii, Idaho, Kansas, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming, American Samoa, Guam, the Northern Mariana Islands, the Virgin Islands, or Puerto Rico.

C.1.2 Category B Applicants

Non-profit conservation organizations, including watershed groups as defined in the Cooperative Watershed Management Act, Section 6001(6) (see Section C.3 “Watershed Group Definition”), that are acting in partnership with, and with the agreement of, an entity described in Category A.

Category B applicants must include with their application a letter from the Category A partner stating that the Category A partner:

• Is acting in partnership with the applicant

• Agrees to the submittal and content of the application

• Intends to participate in the project in some way (e.g., by providing input, feedback, or other support for the project)

Note: Partners do not necessarily need to contribute cost-share funding.

A watershed group is eligible to apply for 50-percent cost-shared funding without a Category A partner but must include a Category A partner to be eligible for 75-percent Federal funding.

Letters of Partnership from Category A entities must be submitted with the application for Category B applicants to be eligible. Partners do not necessarily need to contribute cost-share funding.

All Category B applicants must be in the United States or one of the territories identified above, and the Category A partner must be located in one of the following States or territories:

Alaska, Arizona, California, Colorado, Hawaii, Idaho, Kansas, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming, American Samoa, Guam, the Northern Mariana Islands, the Virgin Islands, or Puerto Rico.

C.1.3 Category C Applicants

Non-profit conservation organizations submitting an application for a project to improve the condition of a natural feature, such as wetlands on Federal land, without a Category A partner must demonstrate that entities described in Category A from the applicable service area have been notified and do not object to the project.

Category C applicant documentation must be submitted with the application for Category C applicants to be eligible.

All Category C applicants must be in the United States or one of the territories identified above.

C.1.4 Ineligible Applicants

Ineligible applicants include, but are not limited to, the following entities:

• Federal Governmental entities

• Individuals

• Commercial/industrial organizations

• Institutes of higher education

• 501(c)(6) organizations

C.1.5 Watershed Group Definition

A “watershed group,” as defined in Section 6001(6) of the Cooperative Watershed Management Act (see Section A.1 “Authority” for full citation):

• Is a grassroots, non-regulatory entity that addresses water availability and quality issues within the relevant watershed

• Is capable of promoting the sustainable use of water resources in the watershed

• Makes decisions on a consensus basis

• Represents a diverse group of stakeholders representing different water use sectors, including hydroelectric producers; livestock grazing; timber production; land development; recreation or tourism; irrigated agriculture; the environment; municipal water supplies; private property owners; Federal, State and local governments; Tribes;

and disadvantaged communities1

C.2 Cost-Sharing or Matching Projects that fit one of the eligible project types AND meet the requirements listed in this section are eligible for up to a 75-percent Federal cost-share contribution. To qualify for this cost share, the application must demonstrate that the project meets the following requirements:

• The project must increase water supply reliability for ecological values. This may include projects that improve the timing or quantity of water available, improve water quality or temperature, or that improve stream or riparian conditions for the benefit of plant and animal species, fish and wildlife habitat, riparian areas, or ecosystems. This does not exclude projects expected to result in benefits to multiple sectors, such as projects or project components that benefit ecological values AND agricultural, municipal, Tribal, or recreational water uses.

• The project must be developed as part of a collaborative process by: (1) a watershed group (as defined in Section 6001(6) of the Cooperative Watershed Management Act) or

(2) by a water user and one or more stakeholders with diverse interests.

• The majority of project benefits must be for the purpose of advancing one or more components of an established strategy or plan to increase the reliability of a water supply for consumptive and non-consumptive ecological values.

Applications that meet these requirements must be capable of cost sharing 25 percent or more of the total project costs. The total project cost is defined as the total allowable costs incurred under a Federal award and all required cost-share and voluntary committed cost-share contributions, including third-party contributions.

For projects that do not meet the requirements necessary to qualify for a 75-percent Federal cost-share contribution, applicants must be capable of cost sharing 50 percent or more of the total project costs. Applicants will be notified prior to selection if their project is

1 A disadvantaged community, as defined in Section 6001(2) of the Cooperative Watershed Management Act, is a community (including a city, town, county, or reasonably isolated and divisible segment of a larger municipality) with an annual median household income that is less than 100 percent of the Statewide annual median household income for the State in which the community is located, according to the most recent decennial census. See Section 6001(6) of the Cooperative Watershed Management Act for the statutory definition of a watershed group.

being considered for award but does not qualify for the 75-percent Federal cost-share contribution. Such applicants will be given an opportunity to commit to a 50-percent non-Federal cost-share contribution or withdraw their application. The Application Review Committee (see Section E.2.2 “Application Review Committee”) will determine whether each application qualifies for a 75-percent Federal cost-share contribution based on responses to the evaluation criteria (see Section E.1 “Criteria”).

The total project cost is defined as the total allowable costs incurred under a Federal award and all required cost-share and voluntary committed cost-share contributions, including third-party contributions.

Cost share may be made through cash, costs contributed by the applicant, or third-party in-kind contributions. Third-party in-kind contributions include the value of non-cash contributions of property or services that benefit the federally assisted project and are contributed by non- Federal third parties without charge. 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. See Section D.2.3.2 “Project Budget” and Section D.2.3.6 “Official Resolution” for more information regarding the documentation required to verify commitments to meet cost-sharing requirements.

Other sources of Federal funding may not be counted toward the required cost share. The exception to this requirement is when 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. If it is determined that the Federal funding cannot be applied toward the non-Federal cost share, the work associated with the funding may be removed from the proposed project.

Note: This cost-sharing requirement is not applicable to American Samoa, Guam, the Northern Mariana Islands, or the Virgin Islands.

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 www.ecfr.gov.

C.2.2 Third-Party In-Kind Contributions

Third-party in-kind contributions may be in the form of equipment, supplies, and other expendable property, as well as the value of services directly benefitting and specifically identifiable to the proposed project. Applicants may not include as part of their cost share for projects funded under this NOFO the cost or value of third-party in-kind contributions that have been, or will be, relied on to satisfy a cost-sharing or matching requirement for another Federal http://www.ecfr.gov/ financial assistance agreement, a Federal procurement contract, or any other award of Federal funds. Applicants should refer to 2 CFR §200.434 for regulations regarding the valuation of third-party in-kind contributions.

C.3 Other Reclamation conducts a review of the SAM.gov Exclusions database for all applicant entities and their key project personnel prior to award, and ineligibility conditions apply to this Federal program. If entities or key project personnel are identified in the database as ineligible, prohibited/restricted, or otherwise excluded from receiving Federal contracts, certain subcontracts, or certain Federal assistance and benefits, Reclamation cannot award funds to them.

C.4 Eligible Projects Projects eligible under this NOFO include on-the-ground implementation projects for the primary purpose of benefitting ecological values or improving watershed health that have a nexus to water resources management. This includes projects that benefit plant and animal species; fish and wildlife habitat; riparian areas; ecosystems; commercial, recreational, subsistence, or Tribal ceremonial fishing; and river-based recreation, which are supported by rivers, streams, or other water sources, or that are directly influenced by water resources management. This may include, but is not limited to, projects that improve the timing or quantity of water available; improve water quality and temperature; improve stream or riparian conditions for the benefit of plant and animal species, fish and wildlife habitat, riparian areas, watershed health, and ecosystems; restore a natural feature or use a nature-based feature to reduce water supply and demand imbalances or the risk of drought or flooding; and projects that otherwise mitigate against the impacts of climate change to fish and wildlife habitats. This includes projects that provide benefits to multiple sectors, including projects that benefit ecological values or watershed health AND agricultural, municipal, Tribal, or recreation water uses. Additionally, projects with multiple benefits to watershed health are encouraged and prioritized.

If you are seeking funding for multiple project components, and the components are interrelated or closely related (e.g., a project to restore and enhance flood plains and a water management project that are physically and geographically linked), you should combine these in one application. However, if the projects are only loosely related, you should submit them as separate applications.

Applicants can apply for funding for project components in one or more of the following three categories (A, B, or C). The project types identified below are eligible for funding under this NOFO. Other projects that are similar to the types listed below may be submitted for consideration and will be allowed to the extent that they are consistent with program authorization, prioritization criteria, and goals.

https://sam.gov/content/exclusions

C.4.1 Category A: Water conservation and efficiency projects that result in quantifiable and sustained water savings and benefit ecological values or watershed health

To be eligible under this category, projects must be for the primary purpose of providing more reliable water supplies to benefit ecological values or watershed health. Some means of ensuring that the conserved water will be made available for these types of benefits is required. This could include a formal mechanism to commit conserved water to instream flows or other types of assurances. Note: For projects including an improvement to conserve irrigation water, an agreement will not be awarded unless the applicant agrees to the terms of Section 9504(a)(3)(B) of P.L. 111-11. See Section F.2.4 “Requirements for Agricultural Operations under P.L. 111-11, Section 9504(a)(3)(B.”

These projects include:

• Canal lining or piping

• Irrigation flow measurements

• Supervisory Control and Data Acquisition (SCADA) automation

• Municipal and industrial water use efficiency improvements

C.4.2 Category B: Water management or infrastructure improvements to benefit ecological values or watershed health

To be eligible under this category, projects must be for the primary purpose of benefitting ecological values or watershed health.

These projects include:

• Improving fish passage, including installation and/or modification of fish screens, ladders, bypasses, or removing small barriers to fish passage (e.g., diversion dams).

• Improving fish hatcheries (e.g., chillers, holding pens, transport, disease control, or prevention).

• Water management changes or infrastructure improvements that will improve water supply reliability and benefit ecological value or watershed health (e.g., upgrading a headgate to improve water supply reliability and ecological value or watershed health, installing a new diversion location downstream from critical temperature control points, treating return flows to improve water quality, water storage to improve streamflow, or improving the timing or volume of available flows at particular locations).

• Salinity or temperature control projects to benefit ecological values or watershed health (e.g., salinity barriers, temperature curtains, dam temperature shutters, powerplant bypass structures) and to aerate ecologically sensitive areas where dissolved oxygen levels are low.

C.4.3 Category C: Restoration projects benefitting ecological values or watershed health that have a nexus to water resources or water resources management

To be eligible under this category, projects must have a nexus to water resources or water resources management.

These projects may include:

• Improving stream channel structure and complexity.

• Improving channel/flood plain connectivity.

• Protecting and stabilizing streams and riverbanks and other restoration projects to reduce erosion.

• Restoration projects influencing water temperature or improving the timing or volume of available flows at particular locations to improve aquatic conditions.

• Stream restoration to improve groundwater recharge and riparian habitat.

• Restoring backwater/flood plain areas (for larval and juvenile fish and other wildlife species) to enhance and maintain rearing as well as feeding and foraging habitats.

• Restoring a natural feature or use of a nature-based feature to reduce water supply and demand imbalances or the risk of drought or flood, including restoring natural wetlands, construction or improving wetlands for treatment of irrigation water or stormwater flows, or otherwise using or restoring natural features to address water management issues.

• Restoration projects that enhance commercial, recreational, subsistence, or Tribal ceremonial fishing, and river-based recreation.

• Removing invasive species, protection against invasive species, and restoration of native species.

o Invasive Species – Vegetation: Projects that include removal of invasive vegetation must include revegetation with native species at the removal site OR must provide a clear explanation of why revegetation is not necessary for the specific ecosystem in which the project is located. These activities must be part of a broader watershed restoration project and have a clear nexus to water resources or water resource management to be eligible.

o Invasive Species – Other Taxa: Projects that include removal of non-vegetation invasive species must include measures to prevent reintroduction (e.g., fencing).

These activities must be part of a broader watershed restoration project and have a clear nexus to water resources or water resource management to be eligible.

o Reclamation can only provide funding for invasive species removal one time per geographic footprint; secondary removal is considered operations and maintenance and is not eligible (see Section C.8.1 “Operations, Maintenance, and Replacement”).

• Forest management activities to protect water resources. Eligible activities include:

o Fuels Management – Fuels management to reduce the risk of severe wildland fire, through mechanical and/or chemical treatments. These activities must be part of a broader watershed restoration project and have a clear nexus to water resources or water resource management to be eligible. Reclamation can only provide funding for fuels management one time per geographic footprint; additional treatments are considered operations and maintenance and are not eligible (see Section C.8.1 “Operations, Maintenance, and Replacement”).

o Post-Wildland Fire Restoration – Post-wildland fire restoration activities, including measures to stabilize soil, reduce erosion, and remove post-fire sedimentation;

invasive species removal; planting and seeding native vegetation; forest stabilization;

and reforestation. Projects that include removal of post-wildland fire sediment must also (1) complete revegetation/reforestation and erosion control techniques to reduce future sedimentation and (2) complete habitat restoration in any river or reservoir from which sediment is removed. Reclamation can only provide funding for post-wildland fire sediment removal one time per geographic footprint following a fire;

secondary removal is considered operations and maintenance and is not eligible see (see Section C.8.1 “Operations, Maintenance, and Replacement”).

• Other restoration projects that will benefit ecological values or watershed health and have a nexus to water resources or water resources management.

C.4.4 Eligibility of Monitoring Activities

Program funding may be used to complete the following activities to support monitoring of performance outcomes associated with the on-the-ground implementation portion of the project:

(1) establish a monitoring and data management plan, (2) install necessary equipment to monitor progress and conservation outcomes, and (3) complete up to 6 months of post-implementation monitoring activities of conservation outcomes after implementation of the on-the-ground project. Costs for these activities shall not exceed 25 percent of the total project cost. Program funding may not be used to complete long-term (i.e., more than 6 months) monitoring of performance after project construction is complete (these costs are considered normal operation and maintenance costs and are the responsibility of the applicant).

C.5 Ineligible Projects Projects not eligible for funding under this NOFO include scientific research and the project types identified immediately below.

C.5.1 Operations, Maintenance, and Replacement

Proposals for the design of projects considered normal operations, maintenance, and replacement (OM&R) are ineligible for funding under this NOFO. OM&R is described as system improvements that replace or repair existing infrastructure or function without providing increased efficiency or effectiveness of water distribution over the expected life of the improvement.

Examples of ineligible OM&R projects include:

• Replacing malfunctioning components of an existing facility with the same components

• Improving an existing facility to operate as originally designed

• Performing an activity on a recurring basis, even if that period is extended (e.g., 10-year interval)

• Sealing expansion joints of concrete lining because the original sealer or the water stops have failed

• Sealing cracks in canals and/or pipes, including those sealant projects intended to improve facilities with inherent design and construction flaws

• Replacing broken meters with new meters of the same type

• Replacing leaky pipes with new pipes of the same type

• Completion of one-time leak detection surveys

• Dredging of reservoirs, canals, and/or rivers to remove normally occurring sediment accumulation

• Reclamation can only provide funding for invasive species removal and fuels management one time per geographic footprint; additional treatments are considered operations and maintenance and are not eligible.

Applicants with questions regarding OM&R are encouraged to contact the Program Coordinator (see Section G. “Federal Awarding Agency Contact(s)”) prior to the application deadline for further information.

C.5.2 Water Reclamation, Reuse, and Desalination

Water reclamation, reuse, and desalination projects are not eligible for funding under this NOFO.

Entities seeking funding for these types of projects should consider Reclamation’s Title XVI Water Reclamation and Reuse Program and Drought Response Program. If you have questions about a water reclamation, reuse, or desalination project, contact Ms. Maribeth Menendez at 303-445-2094 or mmenendez@usbr.gov.

C.5.3 Injection Wells and Recharge Projects Primarily for Agricultural or Municipal Benefits

Injection wells and recharge projects primarily for agricultural or municipal benefits are not eligible. Applicants proposing such projects should consider applying for funding under the WaterSMART Drought Resiliency Projects NOFO. See the WaterSMART Drought Response Program webpage, www.usbr.gov/drought, for more information.

C.5.4 Water Purchases

Applications to use Federal funding to purchase water are not eligible under this NOFO.

Applicants seeking funding to purchase water in a drought emergency should request emergency drought assistance under Reclamation’s Drought Response Program.

For more information about the requirements for receiving emergency drought assistance, see www.usbr.gov/drought or contact the Program Coordinator (see Section G “Federal Award Agency Contact(s)”).

C.5.5 Land Purchase and Easements

A project that proposes using Federal funding for the purchase of land, or with the primary purpose to secure an easement, is not eligible under this NOFO.

C.5.6 Building Construction

Applications to construct a building are not eligible for Federal funding under this NOFO (e.g., a building to house administrative staff or to promote public awareness of water conservation).

C.5.7 Pilot Projects

Applications to conduct a pilot study to evaluate technical capability, economic feasibility, or viability for full-scale implementation, or to test an unproven material or technology, are not eligible for Federal funding under this NOFO.

mailto:mmenendez@usbr.gov http://www.usbr.gov/drought https://www.usbr.gov/drought/

C.5.8 Removal and Prevention of Invasive Mussel Species

Projects to remove or prevent the invasion or spread of invasive mussel species are not eligible under this NOFO. Reclamation provides funding for these projects under Reclamation’s Integrated Pest Management and Invasive Species Program. Contact Jolene Trujillo, at jtrujillo@usbr.gov, for additional information.

C.5.9 Prescribed Burns

Fuels management through prescribed burns is not eligible under this NOFO.

C.5.10 On-Farm Irrigation Efficiency Improvements

Projects to conduct on-farm irrigation efficiency improvements are not eligible under this NOFO. Applicants interested in on-farm improvements should contact the U.S. Department of Agriculture – Natural Resources Conservation Service (NRCS) to investigate opportunities for Federal assistance. For more information on NRCS programs, including application deadlines and a description of available funding, contact your local NRCS office or see www.nrcs.usda.gov for further contact information in your area.

This NOFO does not preclude projects located on private land. Some project components may occur on private land, including on agricultural land, if they are part of a project with broader benefits to ecological value or watershed health.

C.5.11 New Conveyance Infrastructure for Municipal or Agricultural Water Delivery

A project that proposes to construct new conveyance infrastructure to allow for the distribution of additional or new water supplies for municipal or agricultural use is not eligible. Applicants proposing such projects should consider applying for funding under the WaterSMART Drought Resiliency Projects NOFO. See the WaterSMART Drought Response Program webpage, www.usbr.gov/drought, for more information.

C.5.12 Mine Remediation Projects

Projects to complete remediation activities in or around a mine site are not eligible for funding under this NOFO.

mailto:jtrujillo@usbr.gov http://www.nrcs.usda.gov/

C.5.13 Projects to Adhere to Specific Regulatory Requirements

Projects or elements of projects addressing specific regulatory requirements mandated by a State or Federal agency action or a court order, and project components that are required to comply with the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), are not eligible for funding under this program. However, funding may be used to support more general activities, including recovery actions under the Endangered Species Act (ESA). For more information, contact the program coordinator listed in Section G “Federal Awarding Agency Contact(s)” prior to the application deadline.

C.5.14 Training, Education, and Outreach Activities

General education activities, general stakeholder outreach, the implementation of citizen science training programs, or general staff training are not eligible under this NOFO.

C.5.15 Training, Education, and Outreach Activities

Proposals for projects or activities that are funded under another Federal financial assistance agreement are not eligible for funding under this NOFO.

C.6 Construction Start Date Restriction Proposed projects shall not have a construction start date that is prior to September 30, 2023, for funding under this NOFO.

Section D: Application and Submission Information

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

If you are unable to access this information electronically, you can request paper copies of any of the documents referenced in this NOFO by emailing the Financial Assistance Operations Section staff at bor-sha-fafoa@usbr.gov.

D.2 Content and Form of Application Submission All applications must conform to the requirements described in this section.

D.2.1 Application Format and Length

The total technical proposal and criteria section (defined below) shall be limited to a maximum of 35 consecutively numbered pages. If this section exceeds 35 pages, only the first 35 pages will be evaluated. The full application, including all attachments, should not exceed 125 pages.

If the application exceeds 125 pages, only the first 125 pages will be considered in the evaluation.

The font shall be at least 12 points in size and easily readable.