Chapter NR 335

NR 335.07 NR 335.07 Grant application.

NR 335.07(1) (1) Procedure. Subject to the availability of funds, the department shall:

NR 335.07(1)(a) (a) Solicit applications on an annual basis for projects to be funded under this chapter by providing notice that the application materials are available upon request.

NR 335.07(1)(b) (b) Distribute to any potential applicant that requests it a copy of the application, instructions for completing the application and guidelines that the department shall use to score the project application.

NR 335.07(1)(c) (c) Require a separate grant application shall be submitted to the department for each individual dam for which financial assistance is requested under this chapter. Only one application under this chapter may be received for any particular dam in any year.

NR 335.07(2) (2) Contents of application. An application for a grant under this chapter shall be made on forms furnished by the department. In addition to the application form, the application shall include the following:

NR 335.07(2)(a) (a) Certified copies of a resolution of the governing body of the municipality or lake district that reflects the following information:

NR 335.07(2)(a)1. 1. Designates an authorized representative and authorizes the representative to apply for a grant under s. 31.385, Stats., and this chapter, on behalf of the owner.

NR 335.07(2)(a)2. 2. A statement that the owner agrees to pay a share of the eligible costs which is equal to the total project cost minus the state share.

NR 335.07(2)(b) (b) Proof of receipt of a letter sent by certified mail, from the dam owner to any county, city or village that may be affected by the hydraulic shadow of the dam, informing the municipality or municipalities that a change in the land use controls may be necessary to secure the hazard rating for the dam.

NR 335.07(2)(c) (c) Information to show that the applicant holds the permit or approval under ch. 31, Stats., for the dam and information indicating who owns the parcels of land under and adjacent to the land. Also, a map showing the dam in relationship to the adjacent land parcels shall be provided.

NR 335.07(2)(d) (d) Proof that the applicant requested, in writing, funding assistance under this chapter within 6 months after receiving directives or an order for repair, modification or abandonment of the dam resulting from a department investigation or inspection of the dam.

NR 335.07(2)(e) (e) All data and calculations to show that upon completion of the project, dams to be repaired or modified will meet all requirements of ch. NR 333 where applicable. All owners shall provide the following with the application:

NR 335.07(2)(e)1. 1. A dam failure analysis sufficient to identify the appropriate hazard of the dam based on current downstream development.

NR 335.07(2)(e)2. 2. A project description, conceptual design and detailed cost estimate for the construction phase of the project defining the eligible project costs.

NR 335.07(2)(e)3. 3. A cost estimate for the engineering work required to complete the project, including preparation of all documents required under this chapter.

NR 335.07 Note Note: The cost estimates should be broken into the following categories where applicable: dam failure analysis; alternatives analysis and grant application; preparation of plans and specifications and project bidding; construction related services; and preparation of the emergency action plan and inspection, operation and maintenance plan.

NR 335.07(2)(f) (f) All data and calculations to show that dams to be abandoned will meet the requirements of ch. 31, Stats. All owners shall provide the following with the application:

NR 335.07(2)(f)1. 1. An application, under ch. 31, Stats., for a permit or approval to abandon the dam.

NR 335.07(2)(f)2. 2. All information necessary for the municipality responsible for implementation of land use controls to implement controls in the area flooded during the regional flood without the dam in place.

NR 335.07(2)(f)3. 3. A project description, conceptual design and detailed cost estimate for the construction portion of the project defining eligible project costs.

NR 335.07(2)(f)4. 4. A cost estimate for the engineering work required to complete the project, including preparation of all documents required under this chapter.

NR 335.07 Note Note: The cost estimates should be broken into the following categories where applicable: floodplain analysis; alternatives analysis and grant application; preparation of plans and specifications and project bidding; and construction related services.

NR 335.07(2)(g) (g) All sources of funding from outside the owners resources that will be used to meet the sponsors match for the grant.

NR 335.07(2)(h) (h) All information requested in the grant materials to help establish the priority ranking points for the dam.

NR 335.07(2)(i) (i) Any other information required on the application that the department may require to process the applications.

NR 335.07 Note Note: Application forms may be obtained from the DNR Bureau of Community Financial Assistance, PO Box 7921, Madison, WI 53707.

NR 335.07 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91; CR 10-032: renum. (1) (a), (2) (a) 3., (b) and (c) to be (1) (c), (2) (b), (e) and (f) and am. (1) (c), (2) (b), (e) (intro.), 1., 2. and (f) 3., am. (1) (b) and (2) (a) (intro.) to 2., cr. (1) (intro.), (a), (2) (c), (d), and (g) to (i) Register October 2010 No. 658, eff. 11-1-10.

NR 335.08 NR 335.08 Eligible and ineligible costs.

NR 335.08(1) (1) Eligible costs. The following project costs, whether incurred under contract or in the form of salaries and benefits, may be reimbursed under this chapter, if the grant is awarded:

NR 335.08(1)(a) (a) Actual and reasonable engineering costs incurred in preparing the studies and application form required under s. NR 335.07 (2) (e) and (f);

NR 335.08(1)(b) (b) Actual and reasonable engineering costs incurred in preparing plans and specifications as required in s. NR 335.06 (4), the operation, inspection and maintenance plan, and the emergency action plan;

NR 335.08(1)(c) (c) Actual and reasonable construction costs incurred in the repair, modification or abandonment of the dam, including labor and materials;

NR 335.08(1)(d) (d) Actual and reasonable engineering costs involved in the on-site inspection of the repair, modification or abandonment of the dam. On-site inspection by an engineer registered in the state of Wisconsin is required, at a minimum, during critical stages of construction and could be required full time for certain projects.

NR 335.08(1)(e) (e) Actual and reasonable costs for activities other than the maintenance, repair or modification of the dam (structural alternative) only if the cost of that activity is less than the cost of the structural alternative.

NR 335.08(2) (2) Ineligible costs. Ineligible costs include:

NR 335.08(2)(a) (a) Costs incurred prior to August 9, 1989;

NR 335.08(2)(b) (b) The cost of materials and labor for installation or repair of items directly associated with hydroelectric power facilities at the dam;

NR 335.08(2)(c) (c) Costs incurred prior to the date of the state grant award except engineering costs as provided in sub. (1) or construction costs for a project that was under department orders, was approved by the department and was undertaken as emergency repairs or modifications to a high or significant hazard dam. Construction work shall have started within 1 year prior to the grant application deadline;

NR 335.08(2)(d) (d) Costs of routine maintenance including, but not limited to, mowing grass, painting signs and debris removal;

NR 335.08(2)(e) (e) Costs of equipment necessary for routine maintenance of the dam;

NR 335.08(2)(f) (f) Costs for which payment for a dam abandonment and removal project has been or will be received under another state or federal cost sharing or grant program or from another municipality or any other outside funding source;

NR 335.08(2)(g) (g) Costs attributable to the correction of errors or deficiencies in construction funded under this chapter due to failure to comply with department approved construction plans and specifications.

NR 335.08(3) (3) Allocation of costs. Total project costs may be allocated between eligible and ineligible costs using one of the following methods:

NR 335.08(3)(a) (a) Unit cost method. When the unit cost method is used, costs for individual work items shall be prorated between eligible and ineligible portions of the project based on an equal cost per unit.

NR 335.08(3)(b) (b) Project cost method. When the project cost method is used, eligible project costs shall be based on engineering costs plus the cost of construction reflected in the contractor’s billings to the owner. Owners using this method shall submit the contractor’s itemized billings showing the breakdown of eligible work items.

NR 335.08 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91; CR 10-032: am. (1) (a) to (d), (2) (c) and (f), cr. (1) (e) Register October 2010 No. 658, eff. 11-1-10.

NR 335.09 NR 335.09 Criteria for priority ranking.

NR 335.09(1) (1) The department shall develop a priority ranking process for the purpose of determining funding priorities for applications under this chapter.

NR 335.09(2) (2) The department may use an advisory committee to help develop the priority ranking process.

NR 335.09(3) (3) The priority ranking process shall be reviewed and adjusted, if necessary, based on experience from past grant cycles and public safety priorities, prior to the notice of a new grant cycle.

NR 335.09(4) (4) The following criteria may be used by the department in the priority ranking process. The criteria are not listed in any order of priority:

NR 335.09(4)(a) (a) Hazard of the dam based on existing land use downstream.

NR 335.09(4)(b) (b) Extent of land use controls currently in effect downstream of the dam to prevent development in the hydraulic shadow of the dam.

NR 335.09(4)(c) (c) Financial need of the applicant.

NR 335.09(4)(d) (d) Total eligible project costs.

NR 335.09(4)(e) (e) Navigability of the watercourse.

NR 335.09(4)(f) (f) Size classification of the dam.

NR 335.09(4)(g) (g) Extent to which the project improves the safety in the area downstream of the dam.

NR 335.09(4)(h) (h) Severity of the deficiencies of the dam.

NR 335.09(4)(i) (i) Time frame in which the project can start construction.

NR 335.09(4)(j) (j) Presence of approved emergency action plan and inspection, operation and maintenance plan for the dam.

NR 335.09(4)(k) (k) Availability of public access to the impoundment created by the dam.

NR 335.09(4)(L) (L) Extent of effort by the owner to responsibly operate and maintain the dam.

NR 335.09(4)(m) (m) Any other criteria that the department identifies as necessary to improve the ranking process based on past experience with the grant program.

NR 335.09(5) (5) The department shall determine the priority ranking points for an applicant based on information found on the grant application and in supplemental material; department files, map repositories and databases; on-site inspections or reports from past inspections; and discussion with the owner.

NR 335.09 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91; CR 10-032: r. and recr. Register October 2010 No. 658, eff. 11-1-10.

NR 335.10 NR 335.10 Construction period.

NR 335.10(1) (1) All construction performed on an eligible project shall be completed in accordance with s. NR 335.12 within one year from the date of the grant award unless the department extends that period for good cause. If an extension is warranted by the circumstances and is requested in writing by the grantee before the end of the initial one-year construction period, the department may extend the construction period for up to 2 additional years.

NR 335.10(2) (2) If the grantee fails to comply with sub. (1), the grantee may not receive any further state funds and shall reimburse the department for any state funds already received under this chapter. The uncompleted portion of the project shall be considered for funding in the next year in which money becomes available upon submission of a new application in compliance with this chapter.

NR 335.10 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91.

NR 335.11 NR 335.11 Final project approval. After the project is complete and approved by the owner, the owner shall submit 3 copies of as-constructed plans and specifications, monthly inspection reports prepared by the inspecting engineer on the project, and written certification from the owner’s engineer stating that the project was completed in compliance with s. 31.12 (4), Stats. The department shall conduct a final inspection of the project within 60 days after receiving the as-constructed plans and specifications, inspection reports, and certification. A project approval letter shall be sent to the owner within 30 days of final inspection by the department.

NR 335.11 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91.

NR 335.12 NR 335.12 Grant payments. The grantee shall be paid the state share of those eligible project costs which have prior department approval in the following installments:

NR 335.12(1) (1) If the dam is repaired or modified:

NR 335.12(1)(a) (a) 50% of the state share of total eligible costs, of the engineering contract and the construction bids, shall be paid to the grantee, following 50% completion of the project, within 90 days after the department has received a written request and supporting documentation by the owner’s authorized representative. The department shall inspect the project, review the supporting documentation, and determine that the owner has expended at least 50% of the state share of total eligible costs and that the work meets the requirements of this chapter prior to making payment to the owner; and

NR 335.12(1)(b) (b) If the emergency action plan and inspection, operation and maintenance plan are approved by the department prior to the completion of the project, the state share of the remaining eligible costs, based on the final audited project cost, shall be paid to the grantee within 90 days after the department has conducted a final audit and has determined the final audited eligible costs. A final audit shall be conducted within 90 days after the project has been completed and approved by the owner and the department pursuant to s. NR 335.11; or

NR 335.12(1)(c) (c) If the emergency action plan and inspection, operation and maintenance plan are not approved by the department prior to the completion of the project, the state share of the remaining eligible costs less 10%, based on the final audited project cost, shall be paid to the grantee within 90 days after the department has conducted a final audit and has determined the final audited eligible costs. A final audit shall be conducted within 90 days after the project has been completed and approved by the owner and the department pursuant to s. NR 335.11. The remaining state share of eligible costs shall be paid to the grantee within 60 days after the grantee has received approval, by the department, of an emergency action plan and an inspection, operation and maintenance plan.

NR 335.12(2) (2) If the dam is abandoned:

NR 335.12(2)(a) (a) 50% of the state share of total eligible costs, based on the engineering contract and the construction bids, shall be paid to the grantee, following 50% completion of the project, within 90 days after the department has received a written request and supporting documentation by the owner’s authorized representative. The department shall inspect the project, review the supporting documentation, and determine that the owner has expended at least 50% of the state share of total eligible costs and that the work meets the requirements of this chapter prior to making payment to the owner; and

NR 335.12(2)(b) (b) The state share of the remaining eligible costs, based on the final audited project cost, shall be paid to the grantee within 90 days after the department has conducted a final audit and has determined the final audited eligible costs. A final audit shall be conducted within 90 days after the project has been completed and approved by the owner and the department pursuant to s. NR 335.11.

NR 335.12 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91.

NR 335.13 NR 335.13 Adoption of land use controls in the hydraulic shadow. If the grantee or the municipality responsible for the implementation of land use controls in the hydraulic shadow, or both, fail to adopt the land use controls necessary to secure the dam hazard rating in accordance with ch. NR 333, the grantee may not receive any further state funds under this chapter and shall reimburse the department for any state funds already received under this chapter. The necessary land use controls shall be adopted within one year after the department has approved the dam failure analysis submitted with the application. If adequate justification is received and approved by the department an extension of the one year deadline may be given.

NR 335.13 History History: Cr. Register, April, 1991, No. 424, eff. 5-1-91.

NR 335.14 NR 335.14 Grantee accountability.

NR 335.14(1) (1) Records management. Each grantee shall maintain an accounting system that accurately reflects all fiscal transactions, incorporates appropriate controls and safeguards, and provides good audit trails, particularly to source or original documents.

NR 335.14(1)(a) (a) Accounting procedures. Financial schedules and statements filed with grant applications and payment requests shall be based on records maintained under generally accepted accounting principles which meet the following minimum requirements:

NR 335.14(1)(a)1. 1. Accounts shall separate grant receipts and eligible project costs from those allocable to other programs and activities.

NR 335.14(1)(a)2. 2. Payments received under another state or federal cost sharing or grant program or from another municipality or any other outside funding source and expenditures shall be listed in sufficient detail to provide a basis for accurate and complete reporting.