1. (1) The division shall:

   1. (a) review and prioritize an application submitted under Section R653-10-4; and
   2. (b) recommend to the board which applicants should be awarded a grant under this rule.

2. (2) In reviewing and prioritizing applications submitted under Subsection (1), the division:

   1. (a) may contact an applicant to:

      1. (i) verify information in the application;
      2. (ii) seek clarifications and supplemental information; and
      3. (iii) address and correct anomalies and inconsistencies in the application; and

   2. (b) shall score the applications based on the following:

      1. (i) Return on Investment---projects that provide the greatest level of water conservation from funds contributed by the state.

         1. (A) The metric for measuring Return on Investment is the ratio of estimated annual water use savings resulting from the project divided by the total state contribution to the project, including grants, loans, and other forms of financial assistance provided by the state.

      2. (ii) Need---applicants facing imminent secondary water shortages where the project will delay or eliminate the need for new water development.

         1. (A) The metric for measuring Need is the imminency of secondary water shortage and the period of time the project will delay the shortage and the need for new water development.

      3. (iii) Shovel Readiness---projects with accelerated construction schedules.

         1. (A) The metric for measuring Shovel Readiness is the project's start date, and

            time to completion divided by the number of meters installed.

3. (3) Each scoring category in Subsection (2) will be weighted as follows:

   1. (a) Return on Investment---60% weight;
   2. (b) Need---20% weight; and
   3. (c) Shovel Readiness---20% weight.

4. (4)(a) The division will prioritize each application based on the scoring criteria in Subsection (2) and weighting requirements in Subsection (3).

   1. (b) The prioritization will form the basis for the division's recommendation to the board on applicants that should be awarded a grant.

KEY: secondary water meter funding

Date of Last Change: June 1, 2022

Authorizing, and Implemented or Interpreted Law: 73-10