The department shall determine the eligible costs during the pre-application conference or the loan review process. Subject to these rules, a loan may be approved to pay the “startup costs” relating to a water development project. “Startup costs” must be allowable as capital costs or reimbursable costs that may be financed with federally tax-exempt bonds under the Internal Revenue Code and may include, but are not limited to:

1. (1) The costs of buying or otherwise acquiring, constructing, installing, rehabilitating or reconstructing a water development project, including site costs and acquisition of water rights relevant to the project;
2. (2) The costs of obtaining a loan from the department under these rules;
3. (3) Design and engineering costs;
4. (4) The costs to acquire licenses and permits for a water development project;
5. (5) Reserves, interest costs related to construction or interim financing;
6. (6) Grant matching funds or other costs of funds needed for a water development project; and
7. (7) Costs for preparation of claim of beneficial use and costs incurred up to and including obtaining applicable water right certificates and limited licenses.

Statutory/Other Authority

ORS 536.027 & 541.646

Statutes/Other Implemented

ORS 541-600 - 541.646

History

WRD 2-2010, f. & cert. ef. 12-14-10