PKG00250797-instructions.pdf

Funding Opportunity Announcement No. BOR-DO-19-F006

WaterSMART Grants:

Water Marketing Strategy Grants for Fiscal Year 2019

U.S. Department of the Interior Bureau of Reclamation Policy and Administration Denver, Colorado May 2019

Mission Statements The Department of the Interior conserves and manages the Nation’s natural resources and cultural heritage for the benefit and enjoyment of the American people, provides scientific and other information about natural resources and natural hazards to address societal challenges and create opportunities for the American people, and honors the Nation’s trust responsibilities or special commitments to American Indians, Alaska Natives, and affiliated island communities to help them prosper.

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

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 (FY) 2019

Announcement Type: Funding Opportunity Announcement (FOA)

Funding Opportunity Number:

BOR-DO-19-F006

Catalog of Federal Domestic Assistance (CFDA) Number:

15.507

Dates:

(See FOA Sec. D.4)

Application due date:

Wednesday, July 31, 2019 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, including 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, and the Virgin Islands. 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)

It is anticipated that 10-12 awards may be funded under this FOA.

Estimated Amount of Funding Available for Award:

(See FOA Sec B.1)

Reclamation will make approximately $3 million of the FY 2019 appropriations for WaterSMART Grants available for the implementation of Water Marketing Strategy Grants under this FOA. Applications submitted under this FOA may also be considered if additional funding becomes available in FY 2019 or thereafter.

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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 www.grants.gov/web/grants/forms/sf-424-mandatory-family.html

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 and description

Evaluation criteria

See Sec. D.2.2.4

See Sec. E.1

Project Budget:

Funding plan and letters of commitment

Budget proposal

Budget narrative

See Sec. D.2.2.5 Page 19 *

Environmental and cultural resources compliance

See Sec. D.2.2.6 Page 25

Required permits or approvals

See Sec. D.2.2.7 Page 25 *

Existing Analysis Contributing to the Water Marketing Strategy

See Sec. D.2.2.8 Page 25

Letters of support See Sec. D.2.2.9 Page 25 *

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

Unique Entity Identifier and System for Award Management

See Sec. D.3 Page 26 ***

* 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 prior to the application deadline; however, please refer to the applicable section of the FOA for extended completion date.

iii http://www.grants.gov/web/grants/forms/sf-424-mandatory-family.html http://www.grants.gov/web/grants/forms/sf-424-mandatory-family.html

Acronyms and Abbreviations

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 CWA Clean Water Act CWMP Cooperative Watershed Management Program Department U.S. Department of the Interior 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 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 SF Standard Form U.S.C. United States Code USFWS U.S. Fish and Wildlife Service WaterSMART Sustain and Manage America’s Resources for Tomorrow v

Contents

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

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. 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. Conflicts of Interest F.5. Data Availability F.6. 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. Environmental and Cultural Resource Considerations H.2. Background on Federal Environmental and Cultural Resource Laws vii

Section A. Funding Opportunity Description

Section A. Funding Opportunity Description

A.1. Program Information The U.S. Department of the Interior’s (Department) 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 the Department’s priorities. Through WaterSMART, the Bureau of Reclamation (Reclamation) leverages Federal and non-Federal funding to support stakeholder efforts to stretch scarce water supplies and avoid conflicts over water. WaterSMART provides support for the Department’s priorities, including creating a legacy of conservation stewardship, sustainably developing our energy and natural resources, modernizing our infrastructure through public-private partnerships, striking a regulatory balance, and restoring trust with local communities by improving relationships and communication with states, tribes, local governments, communities, landowners and water users.

Through WaterSMART Water Marketing Strategy Grants, Reclamation provides cost-shared financial assistance to States, Indian tribes, and local governments to develop water marketing strategies to establish or expand water markets or water marketing activities between willing participants, in compliance with state and Federal laws. Water Marketing Strategy Grants are a component of Reclamation’s WaterSMART Grants Program, which also includes Water and Energy Efficiency Grants and Small-Scale Water Efficiency Projects (see Section A.4. Other Related Funding Opportunities). For further information on the WaterSMART Grants Program, please see www.usbr.gov/watersmart/.

This Funding Opportunity Announcement (FOA) supports collaborative planning efforts to develop water markets that will proactively address water supply reliability and increase water management flexibility. 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. By encouraging collaboration and input to the planning process from a range of stakeholders, projects funded through this FOA will expand the lines of communication between Reclamation and local stakeholders, helping to restore community trust.

Through this FOA, Reclamation provides funding for projects that improve use of technology to increase water reliability consistent with Section 4 of the October 19, 2018 Presidential Memorandum on Promoting the Reliable Supply and Delivery of Water in the West.

http://www.usbr.gov/watersmart/ https://www.whitehouse.gov/presidential-actions/presidential-memorandum-promoting-reliable-supply-delivery-water-west/ https://www.whitehouse.gov/presidential-actions/presidential-memorandum-promoting-reliable-supply-delivery-water-west/ https://www.whitehouse.gov/presidential-actions/presidential-memorandum-promoting-reliable-supply-delivery-water-west/

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 increase water supply reliability. Applicants under this FOA may request funding to develop a water marketing strategy (project) to establish or expand water markets or water marketing activities. Note: The terms “project” and “strategy” are used interchangeably and refer to the applicant’s proposed water marketing strategy project.

For the purposes of this FOA, “water marketing” refers to water rights transactions (e.g., the voluntary 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), undertaken in accordance with state and Federal laws, between willing participants.

A “water marketing strategy” is a framework for implementation of water marketing activities. Development of a water marketing strategy must include:

(1) Outreach and partnership building;

(2) Scoping and planning activities (e.g., hydrologic, economic, legal and other types of analysis); and

(3) Development of a water marketing strategy document describing how water marketing activities will be implemented.

Pilot activities integral to the development of a strategy (e.g., the movement of water on a pilot basis in compliance with applicable laws) can be included as an optional project component under scoping and planning activities.

As described in Section C.3. Eligible Projects of this FOA, water marketing strategies may be scaled to meet the needs of the applicant and may build on work completed to date. (See Section C.3. Eligible Projects for a complete description of eligible activities). Proposals will be selected on a competitive basis, using the evaluation criteria described in Section E.1. Evaluation Criteria.

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, commercial/industrial, tribal and environmental). Strategies that will provide significant benefits (e.g., meeting an important water supply need, meeting the

Section A. Funding Opportunity Description needs of multiple sectors, or decreasing the likelihood of conflicts over water) will also 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, competitive, 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), as amended.

A.4. Other Related Funding Opportunities Reclamation provides funding for water management projects through several other programs under WaterSMART. Through WaterSMART Grants, Reclamation provides two additional funding opportunities. The Water and Energy Efficiency Grants focus on projects that result in quantifiable and sustained water savings and projects that increase hydropower use. The Small- Scale Water Efficiency Projects provide funding for small-scale water management projects (up to $75,000 in Federal funding for each project) that have been identified through previous planning efforts.

Through the Drought Response Program, Reclamation provides funding to help build resilience to drought. Through Drought Contingency Planning, Reclamation supports the development of drought contingency plans with participation from a diverse set of stakeholders. Reclamation also provides funding for Drought Resiliency Projects supported by an existing drought contingency plan to build long-term resilience to drought.

In addition, 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. Reclamation provides funding through Phase I of the CWMP for watershed group development, restoration planning, and watershed management project design and through Phase II for the implementation of watershed management projects. For information on the FOAs listed here, please visit the WaterSMART Program website: www.usbr.gov/watersmart.

https://www.usbr.gov/watersmart/index.html

Section B. Award Information

Section B. Award Information B.1. Total Project Funding Reclamation will make approximately $3 million of the FY 2019 budget for WaterSMART Grants available for the implementation of Water Marketing Strategy Grants under this FOA. 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 2019 or thereafter. Please refer to Reclamation’s WaterSMART Grants website (www.usbr.gov/watersmart/) 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 one of two different Funding Groups to develop a water marketing strategy:

Funding Group I: Up to $200,000 in Federal funds will be available for water marketing strategy projects that can be completed within 2 years from the date of award because they are relatively smaller in scope or less complex (e.g., involve fewer partners, or address a smaller geographic area, or are less complex because they build on prior work.

Funding Group II: Up to $400,000 in Federal funds will be available for more complex water marketing strategy projects that will require up to 3 years to complete because they are broader in scope (e.g., involve more partners, address a larger geographic area, or are more complex because the water marketing activities are more complex). See Section C.3. Eligible Projects for the specific requirements for developing a water marketing strategy under this program.

Applicants for Funding Group I and Funding Group II will conduct outreach, planning and scoping activities, and develop a water marketing strategy appropriate to the scope of their proposal. Note: Funding Group I proposals will be evaluated separately from Funding Group II proposals to ensure fairness.

See Section C.3. Eligible Projects for the specific requirements for developing a water marketing strategy under this program.

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

B.3. Assistance Instrument Project awards will be made through cooperative agreements. The recipient should expect Reclamation to have substantial involvement in the project.

Substantial involvement by Reclamation will include review, input, and approval at key interim stages of the project, including review and acceptance of project work plans, and review of the water marketing strategy document. Reclamation involvement may also include 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.

At the request of the recipient, Reclamation can provide technical assistance after award of the project. If you intend to request technical 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. Agency Contacts.

Section C. Eligibility Information

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

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, and the Virgin Islands.

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

• Federal governmental entities

• Institutions of higher education

• Individuals

• 501(c)4 organizations

• 501(c)6 organizations

C.2. Cost Sharing Requirements Applicants must be capable of cost sharing 50 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.

Cost share may be made through cash, costs contributed by the applicant, or third-party in-kind contributions. Third-party in-kind contributions is 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.

Please see Section D.2.2.10. Official Resolution and Section D.2.2.5. Project Budget, Funding Plan and Letters of Commitment for more information regarding the documentation required to verify commitments to meet cost sharing requirements.

Other sources of Federal funding may not be counted towards the required cost share. 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.

http:D.2.2.10

If it is determined that the Federal funding cannot be applied towards the non- Federal cost share, the work associated with the funding may be removed from the proposed project.

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.

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 benefiting and specifically identifiable to the proposed project. 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 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.

Applicants should refer to 2 CFR §200.434 Contributions and Donations for regulations regarding the valuation of third-party in-kind 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 project components described below in Section C.4.1. Required Project Components. Proposed projects must also include the required components for developing a water marketing strategy described in Section C.4.2. Required Planning Steps and Final Report.

C.3.2. Ineligible Projects

Proposals for the development of planning studies, other than Water Marketing Strategies, are not eligible for funding under this FOA. This includes proposals for the development of a Drought Contingency Plan, the development of appraisal investigations, feasibility studies, special studies, Basin Studies, or studies authorized under the Title XVI Water Recycling and Reuse Program, through P.L.102-575, as amended (43 U.S.C. 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).

http://www.ecfr.gov/ http://www.ecfr.gov/ http://www.usbr.gov/ruralwater

C.3.3. Length of Projects

Projects funded under Funding Group I of this FOA should be completed within 2 years of award, and projects funded under Funding Group II of this FOA should be completed within 3 years of award.

C.4. Project Requirements Projects proposed for funding under this FOA must address the required project components of a water marketing strategy grant described below. Projects must also meet the required project planning steps, also described below. In addition, projects must include a final performance report that summarizes all work undertaken and provides findings and conclusions on project results and benefits.

The required project components and project planning 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 Components

Projects funded under this FOA must address each of the three required project components described below. If the applicant has already completed significant work on a particular component, the applicant must summarize prior work when addressing that component in the final performance report. It is not mandatory that the project address all the sub-tasks listed under each component. 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.

Projects focused primarily on one sub-task, such as software development, and which are not strongly linked to the development of a comprehensive water marketing strategy, are not likely to score well under the evaluation criteria. For projects focused on a specific sub-task, we recommend looking into one of Reclamation’s other funding opportunities mentioned in Section A.4. For example, Reclamation provides funding for the development of software or tools supporting water marketing as a discrete project under the Drought Response Program.

Projects funded under this FOA must include each of the three required project components, as follows:

Project Component 1. Outreach and Partnership Building—Informing and obtaining input from potential market participants and stakeholders within the relevant geographic area, 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.

• Making available the draft strategy document for public review and comment.

Note: Outreach and partnership building costs, including advertising and public relations costs, must be directly related to the development of the strategy project, as opposed to providing general information or advertisements. Please see the applicable cost principles contained in 2 CFR Part §200.421 Advertising and Public Relations, available at the Electronic Code of Federal Regulations (www.ecfr.gov).

Project Component 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). Note: Funding for this activity cannot exceed 30 percent of the total project cost. Funding may not be used for the preparation of a specific water court case.

• 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.

• 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 support water transfers), or hydrologic impacts of water marketing. Note: If some measurement, monitoring, or field work are required to complete this task, such work may be eligible for funding so long as funding for this work does not exceed 30 percent of the total project cost and the applicant includes funding in their budget for related environmental compliance work.

• Analysis of decision support tools, including software databases, registries, dashboards or models that would help facilitate water marketing. Note: Some work that would be considered development or modification of decision support tools to support water marketing activities may be considered eligible for funding so long as this work is integral to the development of a water marketing strategy and funding for this work does not exceed 30 percent of the total project cost.

Projects funded under this FOA may also include pilot activities as part of this project component. Pilot activities test moving water and are allowable if they would support the development of a water marketing strategy, in compliance with applicable laws. If pilot activities are included, the applicant must include funding in their budget for related environmental compliance work.

Project Component 3. Development of a Water Marketing Strategy Document—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, and scoping and planning activities that are performed under project components one and two. The draft water marketing strategy document must be submitted to Reclamation for review and the completed strategy document must be included as an attachment to the final project report. See Section F.3.3 Final Project Report. The strategy document content requirements that apply to the development of the water marketing strategy for Funding Group I and Funding Group II projects are shown in Table 1.

Table 1.—Strategy Document Content Requirements

Requirement Description

Implementation Plan

Describe how the water market/water marketing activities will be implemented following completion of the strategy including:

• How the water market will operate or how marketing activities will be conducted, including a discussion of any alternatives that were considered and support for why the recommended approach was selected;

• Long-term project management and financial sustainability;

• Actual or potential administrative structure and institutional components;

• Participants, water rights, and infrastructure involved;

• How transactions will be tracked;

• Description of any decision support tools, software databases, registries, dashboards, or models which are needed to facilitate implementation of the water marketing strategy.

• Issues to be resolved and the steps to be taken prior to implementation;

• Description of any decision support tools, software databases, registries, dashboards, or models which are needed to facilitate implementation of the water marketing strategy

• Pilot Activities (if applicable):

o Describe the types of pilot activities undertaken, how the activities were implemented and their duration; and o The outcome of all pilot activities including what was learned, and how this information informed others and was incorporated into the strategy.

Legal Framework

Describe the legal framework for the water market/marketing activities, including:

• How the water marketing activity fits within state water law requirements;

• Any contracts, interstate-compacts treaties, or other legal requirements that may impact the water market or marketing activities;

• Actual or potential rules and requirements that will govern the implementation of the water market/marketing activities;

Table 1.—Strategy Document Content Requirements

Requirement Description

Legal Framework (cont.)

• Actual or potential contracts, agreements that are being drafted or would need to be drafted, and any legal actions that would need to be taken (e.g., change of water rights) to support the water market/marketing activities; and

• Any legal issues to be resolved prior to implementation.

Monitoring

How water marketing activities will be monitored, including:

• The process by which market participants will track the physical movement of water from seller to buyer,

• How the purchasers will recognize the receipt of water, and

• How transactions will be monitored to avoid harm to other water users.

Stakeholder Support and Input

Describe how stakeholder support and input was incorporated in the water market/water marketing activities, including:

• Who was involved in the planning process; who expressed their support for the planning process; was the project supported by entities representing environmental, agricultural, municipal, tribal, or recreation uses, and

• What input from stakeholders was incorporated into the water marketing strategy?

Level of Detail in the Strategy Document: The level of detail in addressing the strategy document content requirements may vary depending on how much prior planning has occurred, the level of complexity of the issues being addressed, and how close the project is to implementation. Planning efforts in beginning stages may include a general description of the above-described required project components, for example, describing potential administrative structures under consideration, potential plans for long-term operations and financing. More advanced planning efforts should be fully developed with more detailed information. For example, the strategy should include a description of the actual administrative structure, institutional components, the rules, and requirements. The water marketing strategy document may include additional project components that are not described above, and these will be considered so long as they are consistent with program requirements.

Note: If awarded funding, the recipient is solely responsible for developing the water marketing strategy document. Reclamation does not exercise control over the recommended approach or decisions that come from the analysis.

C.4.2. Required Planning Steps and Final Project Report

Once the applicant has been informed that a proposal submitted under this FOA has been selected for funding, Reclamation will enter into a financial assistance agreement with the applicant, documenting the requirements and conditions related to the provision of financial assistance. The financial assistance agreement will include in the scope of work the following required planning steps and final project report to be undertaken as part of the development of a water marketing strategy.

• Conducting Outreach and Planning Activities—As part of the required planning steps, the applicant should begin informing and obtaining input from potential market participants and stakeholders within the relevant geographic areas. The applicant may conduct studies to explore the potential to develop a new water market, or to conduct water marketing activities.

• Development of a Water Marketing Strategy Document—A draft water marketing strategy document meeting the requirements described above in Project Component 3 must be submitted to Reclamation for review.

• Final Project Report—All projects awarded funding under this FOA must include a written final project report summarizing the work undertaken, lessons learned, and providing findings and conclusions on project results and benefits (for example, are the expected benefits of the water market/activity stated in the proposal still realistic after completion of the strategy?). The final project report must also identify any, outstanding issues to be resolved before the water market or marketing activities can be implemented, and any steps that might be taken to resolve those issues. The completed water marketing strategy document must be included as an attachment to the final project report. See Section F.3.3 Final Project Report.

Note: Reclamation review of the water marketing strategy document is only to ensure compliance with program requirements, not to approve the recommended approach or decisions documented in the strategy.

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 Support Section Attn: Ms. Julie J. Hendricks P.O. Box 25007, MS 84-27814 Denver, CO 80225

By email: jhendricks@usbr.gov

By telephone: 303-445-2428

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 technical proposal and evaluation criteria section shall be limited to a maximum of 20 pages. If this section of the application exceeds 20 pages, only the first 20 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. Margins should be standard 1-inch margin. Oversized pages will not be accepted.

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

Excess pages will be removed and not considered in the evaluation of the proposed project.

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 o SF-424B Assurances mailto:jhendricks@usbr.gov o SF-LLL Disclosure of Lobbying Activities (if applicable-see Section D.2.2.1)

These forms may be obtained at 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 and milestones o Evaluation criteria

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

• Environmental and cultural resources compliance (as applicable to the project)

• Required permits or approvals (as applicable to the project)

• Letters of project support (will not count towards the page limitation)

• Official resolution (will not count towards the page limitation)

It is highly recommended that application packages be structured in the order identified above.

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 http://www.grants.gov/web/grants/forms/sf-424-family.html http://www.grants.gov/web/grants/forms/sf-424-family.html included. Failure to submit a properly signed SF-424B may result in the elimination of the application from further consideration.

SF-LLL Disclosure of Lobbying Activities

A fully completed and signed SF-LLL, Disclosure of Lobbying Activities is required if the applicant has made or agreed to make payment to any lobbying entity for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the WaterSMART Water Marketing Strategy Grants program.

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, email address, and telephone number 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 and milestones

(4) Evaluation criteria

Executive Summary

The executive summary should include:

• the date, applicant name, city, county, and state;

• a one-paragraph project summary that specifies the work proposed, including how funds will be used to accomplish specific project activities and briefly identifies how the proposed project contributes to accomplishing the goals of this FOA;

• state the length of time and estimated completion date for the proposed water marketing strategy project; and

• 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 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 the relationship(s) with Reclamation, and a description of the project(s), facility(s), or activity(s).

Project Location

Provide specific information on the proposed project location or project area including a map showing the geographic location. For example, {project name} is located in {state and county} approximately {distance} miles {direction, e.g.

northeast} of {nearest town}. The project latitude is {##°##’N} and longitude is {###°##’W}.

Project Description and Milestones

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 in this FOA, identified in Section C.4. Project Requirements. The project description must also include milestones for the completion of the project, including, but not limited to, completion of the required planning steps, the water marketing strategy, and the final project report.

Evaluation Criteria

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

The evaluation criteria portion of your application should thoroughly address each criterion and sub-criterion 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 sub-criteria in Section E.1. Evaluation Criteria into their applications to ensure that all necessary information is adequately addressed.

D.2.2.5. Project Budget The project budget includes:

(1) Funding plan and letters of commitment

(2) Budget proposal

(3) Budget narrative

Project costs for environmental and cultural compliance and engineering/design that were incurred or are anticipated to be incurred prior to award should be included in the proposed project budget, as applicable to the project.

If the proposed project is selected, the awarding Reclamation Grants Officer will review the proposed pre-award costs to determine if they are consistent with program objectives and are allowable in accordance with the authorizing legislation. Proposed pre-award costs must also be compliant with all applicable administrative and cost principles criteria established in 2 CFR Part 200, available at www.ecfr.gov, and all other requirements of this FOA. In no case will costs incurred prior to January 1, 2019 be considered for inclusion in the proposed project budget.

Please note that the costs for preparing and submitting an application in response to this FOA, including the development of data necessary to support the proposal, are not eligible project costs under this FOA and must not be included in the project budget. In addition, budget proposals must not include costs for the purchase of water or land, or to secure an easement. These costs are not eligible project costs under this FOA.

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.

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.

Please identify the sources of the non-Federal cost-share contribution for the project, including:

• any monetary contributions by the applicant towards the cost-share requirement and source of funds (e.g., reserve account, tax revenue, and/or assessments);

• any costs that will be contributed by the applicant;

• any third-party in-kind contributions (e.g., goods and services provided by a third party);

• any cash requested or received from other non-Federal entities; and

• any pending funding requests (e.g., grants or loans) that have not yet been approved and explain how the project will be affected if such funding is denied.

In addition, please identify whether the budget proposal includes any project costs that have been or may be incurred prior to award. For each cost, describe:

o The project expenditure and amount.

o The date of cost incurrence.

o How the expenditure benefits the project.

Budget Proposal

The total project cost is the sum of all allowable items of costs, including all required cost sharing and voluntary committed cost sharing, including third-party contributions, that are necessary to complete the project.

Table 2.—Total Project Cost Table

SOURCE AMOUNT

Costs to be reimbursed with the requested Federal funding $ Costs to be paid by the applicant $ Value of third-party contributions $

TOTAL PROJECT COST $

The budget proposal should include detailed information on the categories listed below and must clearly identify all items of cost, including those that will be contributed as non-Federal cost share by the applicant (required and voluntary), third-party in-kind contributions, and those that will be covered using the funding requested from Reclamation, and any requested pre-award costs. Unit costs must be provided for all budget items, including the cost of services or other work to be provided by consultants and contractors. Applicants are strongly encouraged to review the procurement standards for Federal awards found at 2 CFR §200.317 through §200.326 before developing their budget proposal.

It is also strongly advised that applicants use the budget proposal format shown below in Table 2 or a similar format that provides this information. If selected for award, successful applicants must submit detailed supporting documentation for all budgeted costs.

Note: Costs for the analysis of 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) may not exceed 30 percent of the total project cost.

Table 3.—Sample Budget Proposal Format

BUDGET ITEM DESCRIPTION

COMPUTATION Quantity

Type

TOTAL

COST $/Unit Quantity

Salaries and Wages Employee 1 $ Employee 2 $ Employee 3 $ Fringe Benefits Full-Time Employees $ Part-Time Employees $ Equipment Item A $ Item B $ Item C $ Supplies and Materials Item A $ Item B $ Contractual/Construction Contractor A $ Contractor B Third-Party In-Kind Contributions Contributor A Contributor B $ Other Other $

TOTAL DIRECT COSTS $

Indirect Costs Type of rate percentage $base $

TOTAL ESTIMATED PROJECT COSTS $

Budget Narrative

Submission of a budget narrative is mandatory. An award will not be made to any applicant who fails to fully disclose this information. The budget narrative provides a discussion of, or explanation for, items included in the budget proposal.

The types of information to describe in the narrative include, but are not limited to, those listed in the following subsections.