RENEWABLE RESOURCE GRANT AND LOAN PROGRAM – PROJECT GRANTS

PROJECT GRANT GUIDELINES

PURPOSE

The Renewable Resource Grant and Loan Program (RRGL) funds the conservation, management, development, and preservation of Montana's renewable resources. The RRGL Project Grant Program has funded numerous public facility projects including drinking water, wastewater and solid waste development and improvement projects have received funding through this program. Other renewable resource projects that have been funded include irrigation rehabilitation, dam repair, soil and water conservation and forest enhancement.

ELIGIBLE APPLICANTS

Eligible applicants include any division of state government, tribal government, or other county, city, or local political subdivision MCA 85-1-605. These governmental entities have included:

• cities,
• towns,
• counties,
• water and/or sewer districts,
• conservation districts,
• irrigation districts,
• school districts and universities,
• regional water authority,
• state agencies, and
• tribal governments

Private or non-profit entities are NOT ELIGIBLE for funding but may partner with a local government to submit an application if the project aligns with the sponsor’s organization.

ELIGIBLE PROJECTS

Eligible funding types are specified in MCA 85-1-602.

“Either grants or loans may be provided to fund the following types of projects:

(a) feasibility, design, research, and resource assessment studies; (b) preparation of construction, rehabilitation, or production plans; and (c) construction, rehabilitation, production, education, or other implementation effort”

Example Projects:

•  Water, Wastewater or Stormwater Infrastructure
• Irrigation Infrastructure
•  Dams
• Renewable Energy
•  Restoration
• Studies
   

Ineligible Projects

RRGL Project Grants are not eligible for projects that are eligible for grant funds within another grant program in DNRC, such as Reclamation Development Grants, Aquatic Invasive Species Grants, etc.

If a project is determined to have adverse environmental impacts that cannot be mitigated and does  not preserve the state's renewable resources per 85-1-601, MCA, it is ineligible for a grant.

ELIGIBLE EXPENSES

DNRC grants reimburse eligible project costs:

• Staff time or professional services associated with grant administration.
• Contracted technical or engineering services for survey, project management, design, project oversight.
• Contracted construction services.
• Equipment, materials, or supplies.
• Project related permits or fees.

DNRC grants require compliance with the Montana Procurement Act and/or local procurement local rules and regulations.

Ineligible Expenses

DNRC grants do not reimburse:

• Program Costs aka indirect costs:  "Program costs" means non-reimbursable costs not directly related to the project. Program costs include but are not limited to: office rent that will be incurred whether or not the project is implemented; salaries of existing fully funded staff positions unless the work- hours associated with the project are accounted for; or any other costs that pay for ongoing or general services of the applicant. For example: rent, utilities, licenses, reoccurring/regular meetings/newsletters (unrelated to planning or specific capacity development), staff time (unrelated to planning or specific capacity development), ongoing cost deemed necessary to continue business (operations).
• Political lobbying or litigation
• Land or property acquisition
• Food or beverages
• Activities that limit lawful access to property (see MCA 85-1-602 (4))

GRANT LIMITS

The Montana Legislature appropriates funds directly to each project, based on amounts recommended by DNRC. DNRC limits grant funding recommendations to a maximum of $125,000 for a renewable resource project.
 

MATCH

RRGL Project Grants do not require financial match. However, DNRC is required to evaluate project applications’ financial and technical feasibility which considers reasonable project costs and committed matching funds.

HOW TO APPLY

Application materials are available through the DNRC website https://dnrc.mt.gov/Conservation/Grant-and- Loan-Programs/Renewable-Resource-Grants-and-Loans/. 

Applications are due May 15, 2024.

DNRC requires that applications and supporting materials are submitted BOTH online and by mail.

1. Online: Applications are available online through http://grants.dnrc.mt.gov/submit and are accepted online through the grant management system.

AND

     2. Mail:

• One (1) original Authorizing Statement.
• One (1) unbound original application and all supporting documentation. Public Facility Projects will include a copy of the signed Preliminary Engineering Report (PER).

    3. $250.00 application fee (online or check by mail).

Mail to:   MT DNRC RRGL Program, PO BOX 201601, Helena MT 59620

RANKING

Infrastructure and irrigation projects will be ranked separately.

Applications will be reviewed and competitively ranked based on the renewable resource benefits of  the proposed project. The proposed project must measurably conserve, manage, develop or preserve/protect Montana’s renewable resources. Points will be awarded for public benefits, whether the project implements the state water plan priorities and/or mitigates human health or safety problems.
 

DNRC must consider technical and financial feasibility as well as the applicant’s ability to manage a project. Projects that are not technically or financially feasible are not eligible. Financial feasibility considers the committed match in relation to total project cost. Technical feasibility includes but is not limited to:

• adequacy of the alternative analysis;
• adequacy of cost estimates for potential alternatives and the preferred alternative;
• preferred alternative selection;
• thoroughness and feasibility of the project's implementation plan and schedules; and
• quality of supporting technical data submitted with the application.

RRGL Project Grants do not require financial match. However, DNRC is required to evaluate project applications’ financial and technical feasibility which considers reasonable project costs and committed matching funds.

DNRC solicits, evaluates, and ranks each application and forwards its recommendations for funding to the Governor’s  Office  before  each  regular  legislative  session.  With  the  governor’s  approval  these recommendations are submitted to the legislature. The legislature makes the final decision on which projects will be funded MCA 85-1-605.

Funds for projects approved by the legislature are awarded according to the funding priority list set by the legislature and are contracted according to available revenue. Not all approved projects will be funded if the total amount requested exceeds available funds.

GRANT MANAGEMENT

Awards

DNRC will provide an award letter to successful applicants. The applicant will be responsible for providing the necessary startup conditions within the timeframe identified in the award letter. Failure to meet startup conditions within a 24-month timeframe may result in a rescinded award.
 

PROJECT EXPENSES INCURRED PRIOR TO THE GRANT AWARD LETTER ARE NOT ELIGIBLE FOR REIMBURSEMENT.

Contracting

DNRC grant recipients are required to enter into an agreement with the DNRC prior to requesting reimbursement for eligible project costs. All local procurement and state laws are required to be followed under this agreement. DNRC may require a project kickoff call and monthly or quarterly progress meetings to ensure project success.
 

Reimbursement & Reporting

DNRC requires grant recipients to provide quarterly or more frequent progress reports. See for additional details. DNRC requires grant recipients submit requests for reimbursement using the state vendor invoice. In addition to the DNRC vendor invoice, the grant recipient will submit copies of all applicable invoices and/or receipts eligible for reimbursement. All reimbursement and reporting are submitted through the online grant management system www.grants.dnrc.mt.gov.

Grant Closeout

DNRC grants require final reports, deliverables, and invoices in compliance with the agreement to process final reimbursement. Ten percent (10%) of the total grant will be withheld until the sponsor has submitted an acceptable final report.
 

LEGAL AUTHORITY

Montana Code Annotated Title 85, Chapter 1 Part 6.

Administrative Rules of Montana 36-17-607 – 36-17-612