ARSD 74:05:07:10. Eligible use of funds

The board may award funds for facilities included in the state water facilities plan for one or more of the following uses: (1) To improve, restore, enlarge, extend, construct, or protect facilities, lakes, streams, rivers, watersheds, and other surface or ground water resources; (2) To construct, acquire, or lease buildings and works essential to the operation or protection of facilities; (3) To construct or relocate roads, bridges, utilities, fences, and other public improvements or relocate roads, bridges, utilities, fences, and other private improvements related to the construction and operation of facilities; (4) For the following if they are necessary for the construction or operation of a facility funded under subdivisions (1), (2), or (3) of this section: (a) Fees, services, and costs such as legal, engineering, environmental, architectural, fiscal advisory, recording, planning, management, and for establishing or acquiring rights; (b) The purchase of an interest in or access to existing facilities if the purchase is necessary to provide efficient service and an agreement between buyer and seller is reached; (c) The acquisition of interests in land, water rights, permits, rights-of-way, and other evidence of land or water control which are necessary for development of the facility; (d) Purchase or lease of equipment necessary to install, maintain, extend, protect, operate, or use facilities; (e) Start-up expenses for a period not exceeding one year if the recipient will be unable to pay such expenses; (f) Refinancing debts incurred by or on behalf of a water resources project sponsor if both of the following conditions exist: (i) The debts were incurred for the facility, any part of the facility, or a service being refinanced; and (ii) Arrangements cannot be made with the creditors to extend or modify the terms of the debt so that the project can remain fiscally sound; (5) To pay eligible expenses incurred before approval of funding if there were reasons for proceeding before funding was approved; (6) Capitalized interest; or (7) Televising and cleaning sewer lines. The board may consider in-kind contributions as match at a level established by usual and customary rates. All in-kind contributions require prior approval by the board or its designated agent.