1. (a) Availability. The board will make funds available through the research and planning fund or development fund to political subdivisions in affected counties for up to 100% of the cost of facility planning for water and wastewater facilities to serve economically distressed areas. The determination of the amount of grant made available by the board shall be made under the following criteria:

   1. (1) If an applicant has unrestricted cash reserves in an amount that is more than one and one-half times than the preceding year's average monthly operation and maintenance expenses, the board may fund 75% of the cost of the facility planning, with the applicant providing at least 50% of the remaining cost of the facility planning in the form of cash;
   2. (2) Upon written request of an applicant for a greater grant percentage and if the applicant has unrestricted cash reserves of less than one and one-half times but equal to or greater than one times the preceding year's average monthly operation and maintenance expenses, the board may fund 87.5% of the cost of the facility planning, with the applicant providing for the remaining portion of the facility planning by providing in-kind services or any combination of cash and in-kind services;
   3. (3) Upon written request of an applicant for a greater grant percentage and if the applicant has unrestricted cash reserves of less than one times the preceding year's average monthly operation and maintenance expenses, the board may fund 87.5% of the cost of the facility planning, with the applicant providing for the remaining portion of the facility planning by providing in-kind services; provided however, upon certification by the applicant that the applicant does not have the staff or that the applicant's staff lacks sufficient expertise to perform any in-kind contribution, the board may provide 100% of the cost of the facility planning; or
   4. (4) Funds made available to the board pursuant to an agreement which specifies terms and conditions under which the board may distribute such funds shall be provided to eligible applicants based on the availability of the funds and pursuant to the criteria and in the manner set forth in such funding agreements. Any such agreements shall be available upon request.
2. (b) Engineering. To make the most effective use of the limited amount of funds available, the applicant will confer with the board on all significant decisions related to facility planning.
3. (c) Professional engineer. All applicable facility planning reports and plans shall be signed and sealed by a professional engineer in accordance with the Texas Engineering Practice Act, Texas Civil Statutes, Article 3271a.

Source Note:The provisions of this §355.71 adopted to be effective October 11, 1991, 16 TexReg 5329; amended to be effective May 6, 1992, 17 TexReg 3001; amended to be effective March 15, 1994, 19 TexReg 1466; amended to be effective August 12, 1994, 19 TexReg 5846.