(a) A property shall be eligible for grant assistance if, prior to the award of the grant, it is:

1. (1) individually listed on the State or National Register of Historic Places; or
2. (2) located within a historic district which is listed on the State or National Register of Historic Places and which is identified in the district nomination form as contributing to the significance of the district. If the nomination does not clearly identify the property as contributing, the commissioner shall make this determination.

(b) Eligible projects include:

1. (1) Acquisition. The acquisition during the project term or within one year prior to the application deadline date of a permanent easement in or fee title to all or part of a property listed on the State or National Register or of buffer zones, viewsheds or other ancillary property if, in the opinion of the office, the acquisition is necessary to protect the significance of the listed property.
2. (2) Development. Improvement, restoration, preservation, rehabilitation, protection, reconstruction, or archaeological surveys. All work must conform to the Secretary of the Interior's Standards.

(c) Costs incurred to plan and implement an acquisition or development project are also eligible for funding. Examples of such costs include:

1. (1) predevelopment plans, specifications, cost estimates and other contract documents;
2. (2) planning or feasibility studies;
3. (3) historic structure reports, cultural landscape reports, archaeological, architectural or historic research reports;
4. (4) project completion or archaeological investigation reports, audit reports and project signs.