The financial assistance made available under the Arkansas Natural Resources Commission's Arkansas Water Development Fund Program may be obtained for an eligible project by any:

1. (1) Duly constituted entity listed in 15 CAR § 2-702 that is engaged as a local sponsor of any water development project that is an integral part of the Arkansas Water Plan; and
2. (2) Nonprofit corporation that was in existence before August 1, 1997, with sponsorship of such an entity.