• Real estate purchases.
• Repayment of loans or mortgages.
• Rent or contract payments for time periods prior to or extending beyond the term of the grant contract.
• Equipment purchases.
• Administrative or overhead costs that are not direct costs of the grant project.
Lobbying.
Grant Proposals
Under this permanent rule, the Department must issue at least one request for grant proposals in each state fiscal biennium (the Department may issue more frequent requests, if it chooses to do so). The request for proposals must describe the required form and content of grant proposals, and must specify a deadline for submitting grant proposals. Applicants must submit grant proposals to the Department, in the manner prescribed within the Department’s request for proposals.
Grant Awards
Under this permanent rule, the Department must evaluate grant proposals and issue its grant awards within 60 days after the closing of the grant proposal deadline. The Department must clearly identify each award recipient, the amount of the award, the purposes for which the award is given and what is to be included in the annual report. At a minimum, the Department must consider all of the following criteria when evaluating grant proposals and making grant awards:
• Whether the proposed project will improve water quality within their respective watershed.
• The extent to which a proposed project will increase nonpoint pollution abatement activities and producer participation.
• Whether the proposal complies with the Department’s request for proposals and budget requirements.
• Whether the proposed project meets the standards prescribed in this permanent rule.
• The viability of the proposed project.
• The management and technical qualifications of the grant applicant.
• The qualifications of the persons, collaborators, and/or legal entities who will carry out the project.
• The financial capacity of the grant applicant to complete the project as proposed.
• The adequacy of the project plan and budget.
• Whether the grant proposal and budget adequately identifies the nature of project expenses to be reimbursed under the proposed grant.
• Whether grant funds have been awarded to grant applicant in previous funding cycles.
• Past performance under previous grant awards and contracts.
• Other factors deemed by the Department to be consistent with the purpose of s. 93.59, Stats. Grant Contracts
Under this rule, the Department must enter into a contract with a legal entity before distributing funds. The contract will be with the producer-led group, a legal entity accepting the grant funds on behalf of the producer led group, or both as appropriate. The contract must spell out grant terms and conditions, including performance requirements, reporting requirements and payment terms. Grant recipients will be required to file an annual report with the Department and attend an annual information-sharing workshop hosted by the Department.
Grant Payments
Under this rule, the Department may distribute grant funds in one or more payments, based on documented progress toward completion of the grant project. The contract must describe payment terms and conditions. The Department will require grant recipients to submit expense documentation as necessary to support grant payments.
Fiscal Impact
This rule will have a fiscal impact on the Department operations. Under this rule, the Department must issue at least one request for grant proposals in each state fiscal biennium and host annual information-sharing workshop. Department staff must review grant proposals, recommend grant awards, administer grants, and ensure compliance with applicable requirements. Department staff will also provide technical assistance to grant applicants and recipients, as appropriate.
Program administration will occupy at least 0.50 FTE staff in the Department’s Division of Agricultural Resource Management (this does not include legal, managerial, Department central accounting, or other indirect staff support). The cost for the 0.50 FTE staff will be $70,000 per year, including salary, fringe benefits and support costs. A complete Economic Impact Analysis and Fiscal Estimate is attached.
Effect on Small Business
This rule will have no adverse effect on small business. The producer led watershed protection grants program is voluntary and thus imposes no cost on businesses. By providing grant funding to agricultural producers, the “producer led watershed protection grants” program will benefit agricultural producers, other agricultural businesses and communities that participate in the grant program. Grant recipients will benefit directly, while others will benefit indirectly from the creation of a stronger agricultural industry and improved soil and water quality. The Department plans to use proposal procedures that will make the cost of applying insignificant. A complete Regulatory Flexibility Analysis is attached.
Analysis and Supporting Documents used to Determine Effect on Small Business
Because it is a voluntary grant program, neither analysis nor supporting documents are needed to determine that the proposed rule will impose no cost or other obligation on small business.
Economic Impact
The “Producer led watershed protection grants” program is voluntary and thus imposes no cost on businesses. This program imposes no cost on utility rate payers or the general public. By providing grant funding to producer led groups, the Producer led watershed protection grants program will benefit all types of farming operations, other businesses and communities that participate in production, distribution or marketing of agricultural products. Grant recipients will benefit directly, while others will benefit indirectly from the creation of a stronger agricultural industry. The Department plans to use application procedures that will make the cost of applying insignificant. This rule will have a positive effect on the agricultural sector of the economy and therefore on the state economy and in that way will produce positive results for the general public. This program will have an effect on local governments that choose to participate in this program in partnership with a producer led group. The costs associated with their involvement can be covered by this grant program.
Federal and Surrounding State Programs
Federal Programs
There are currently no similar federal programs.
Surrounding State Programs
The Iowa Department of Agriculture funds the Hewitt Creek Watershed Group, which is a producer-led, performance-based farm and watershed management group in eastern Iowa that was formed to improve soil and water quality. The group was established in 2004 in response to the 2002 impaired waters listing of the Hickory Creek, located in the Hewitt-Hickory Creek Watershed. Funding for this project began with an Iowa Farm Bureau Federation grant and additional funding from the Iowa Department of Agriculture has helped to sustain the project.
Data and Analytical Methodologies
The Department worked with representatives of the agriculture industry, potential producer-led groups and collaborators to develop standards for grant determinations contained in this rule.
DATCP Contact
Questions and comments related to this rule may be directed to:
Rachel Rushmann
Department of Agriculture, Trade and Consumer Protection
P.O. Box 8911
Madison, WI 53708-8911
Telephone: (608) 224-4501
