(a) Eligible costs. Eligible costs for publicly owned alternative collection and treatment systems for residences and small commercial establishments as defined by this part include:

1. (1) The cost of major rehabilitation, upgrading, enlarging and installing alternative systems, provided the systems will be publicly owned;
2. (2) Conveyance pipes from property line to an offsite treatment unit that serves a cluster of buildings;
3. (3) Treatment or pumping units from the incoming flange when located on private property by right of easement and conveyance pipes, if any, to the collector sewer; and
4. (4) The cost of restoring alternative system building sites located on public and private property to the original condition.

(b) Ineligible costs for publicly owned alternative systems include:

1. (1) Modification to physical structure of homes or commercial establishments;
2. (2) Conveyance pipes from the house to an on-site treatment or pumping unit or to the property line;

3. (3) Wastewater generating fixtures such as:

   1. (A) Commodes;
   2. (B) Sinks;
   3. (C) Tubs; and
   4. (D) Drains; and

4. (4) The cost for privately owned on-site treatment systems serving:

   1. (A) Individual residences;
   2. (B) Commercial establishments; and
   3. (C) Industry.