NR 162.04(1)(c)1.c.c. Estimate the eligible project costs associated with each of the conditions in subd. 1. a. and b.

NR 162.04(1)(c)1.d.d. Divide the cost of the reduced capacity condition by the costs of the total design capacity.

NR 162.04(1)(c)2.2. The amount of market rate project costs in par. (b) 1. to 4. is calculated as follows:

NR 162.04(1)(c)3.3. If the department determines that the project includes other market rate costs as described in par. (b) 5. and 6., the amount of those costs shall be subtracted from the amount eligible for below–market rate financing and added to the amount of market rate costs calculated in subd. 2.

NR 162.04 NoteNote: All questions relating to cost eligibility or allocation shall be resolved prior to the execution of the financial assistance agreement in accordance with s. NR 162.15.

NR 162.04(2)(2) Ineligible costs. Costs for items and activities not directly associated with or not necessary for the construction or startup of a scored project are not eligible for financial assistance unless specifically approved by the department as necessary and reasonable for the efficient operation or integrity of the overall treatment works or BMP. Ineligible items and activities include all of the following:

NR 162.04(2)(a)(a) Allowances. Any allowance or contingency amounts built into a bid contract for nonspecific or ineligible items or activities.

NR 162.04(2)(b)(b) Basin planning. Basin or areawide planning not related to the scored project.

NR 162.04(2)(c)(c) BCPL ineligibles. For a project receiving interest rate subsidy under subch. IV, project costs determined to be ineligible for loan assistance from the BCPL.

NR 162.04(2)(d)(d) Bonus payments. Bonus payments not legally required for completion of construction before a contractual completion date.

NR 162.04(2)(e)(e) Buying capacity. Purchase cost of buying capacity in an existing treatment works that is not being expanded.

NR 162.04(2)(f)(f) Certification. Fees for operator certification training.

NR 162.04(2)(g)(g) Conflict of interest. Costs incurred under a contract that creates a real or apparent conflict of interest. An apparent conflict of interest arises when an official or employee of a recipient participates in the selection, award, or administration of a contract supported by the CWFP and any of the following conditions exist:

NR 162.04(2)(g)1.1. The official or employee or the official’s or employee’s spouse has an ownership interest in the firm selected for the contract.

NR 162.04(2)(g)2.2. Any person identified in subd. 1. receives any contract, gratuity, or favor from the award of the contract.

NR 162.04(2)(h)(h) Engineering. Engineering costs relatable to ineligible construction costs when the ineligible construction and equipment costs are more than 10 percent of total construction and equipment costs.

NR 162.04(2)(i)(i) Grant administration. Any costs for administering or applying for funding from sources other than the CWFP, such as U.S. department of agriculture’s rural development programs, a community development block grant program, federal state and tribal assistance grants, U.S. army corps of engineers, focus on energy, or other non-CWFP federal or state government loan or grant programs, or other types of financial assistance programs.

NR 162.04(2)(j)(j) Hookup charges. Hookup charges imposed by one municipality on another for hooking into a treatment works or BMP, or transport system to such a facility, unless the charges are based on identifiable capital improvement costs incurred by the municipality imposing the charge, proportional to the capacity to be used by the municipality hooking up, and included in an intermunicipal agreement meeting the requirements of s. NR 162.05 (4) (h).

NR 162.04(2)(k)(k) Industrial facilities. Costs associated with privately-owned pretreatment facilities and monitoring equipment used by industry for sampling discharges to a municipal treatment works.