PURPOSE: This rule sets forth the requirements and process of application for a state grant to match state revolving loan funds for construction of wastewater treatment works and the terms and conditions for receipt of the grant.

1. (1) Grant funds will be made available to eligible projects when authorized by annual legislative appropriation. Grants will not be available for projects in fiscal years in which funding is not authorized.
2. (2) When funds are available, the state grant share will be fifteen percent (15%) of the eligible project cost for twenty (20)-year financing. For financing of less than twenty (20) years, the commission will establish a grant percentage of no more than fifteen percent (15%).
3. (3) Eligible projects are all projects which have been approved for loan assistance under the State Revolving Fund (SRF) program established by 10 CSR 20-4.040—10 CSR 20-4.042.
4. (4) State grant payments to recipients will be released following approval of each SRF loan payment under 10 CSR 20-4.040—10 CSR 20-4.042. The amount of each grant payment will be calculated by applying the ratio of total grant funds to total loan funds obligated for the project to the total of all approved loan payments to date. This amount will be reduced by grant payments which had been processed previously.

5. (5) The following actions by the loan/grant recipient may result in the department requiring partial or full repayment of matching grant funds:

   1. (A) Receipt of additional grant funds from a different agency for the SRF project which causes the aggregate assistance to exceed one hundred percent (100%) of costs;
   2. (B) Transfer of the ownership of the facilities completed with grant/loan funds within the design life of the project;
   3. (C) Early repayment of the SRF loan;
   4. (D) Noncompliance with National Pollutant Discharge Elimination System permit or enforceable schedule requirements; or
   5. (E) Noncompliance with terms of SRF loan agreements.

AUTHORITY: section 644.026, RSMo . Supp. 1993.* Emergency rule filed Jan. 17, 1990, effective Jan. 29, 1990, expired May 28, 1990. Original rule filed July 2, 1990, effective Nov. 30, 1990. Amended: Filed Sept. 4, 1991, effective Feb. 6, 1992.

*Original authority 1972, amended 1973, 1987, 1993.