The Targeted Watersheds Grant program builds on the successes of existing partnerships that are ready to implement actions to protect critical watersheds. In FY 06 and FY 07, EPA received over 130 nominations nation-wide for proposals (i.e., those outside the Chesapeake Bay watershed), and selected 15 watershed organizations and/or coalitions to make on-the-ground improvements to water quality. In its first four years, a total of 62 grants for restoration or protection activities and 11 cooperative agreements for capacity building activities have been awarded. In the next few years, EPA will see environmental results such as the return of native fish species, clearer lakes, and increased recreational opportunities. In FY 08, EPA is issuing a competitive announcement for trading projects located within the six Mississippi River Sub-basins to support market-based water quality programs that will potentially reduce the size and duration of the hypoxic zone in the Northern Gulf of Mexico. In FY 08, EPA is issuing competitive announcements for watershed projects as part of the Western Estuaries Initiative to support projects that conserve, restore and protect the water quality, habitat and environment of coastal waters, estuaries, surrounding basins, bays and near shore waters through comprehensive approaches to water quality management.

Uses and Use Restrictions

Funds are used to support both on-the-ground and educational activities relating to the prevention, reduction, and elimination of water pollution.

Funds are awarded to eligible entities that best meet the selection criteria described in the Request for Proposals.

Successful candidates will have a thorough knowledge of their watershed, have a watershed management plan in place, propose a specific project to address identified problems or barriers to water quality, demonstrate broad-based support from a number of public and private entities, and have a demonstrated record of managing watershed project(s).

Eligible activities should be able to show tangible outputs and outcomes within a relatively short time period of two to five years.

For implementation grants, candidates must also have a specific water quality monitoring and evaluation plan demonstrating measurable environmental outputs and outcomes, and a strong peer and/or public outreach and education component.

EPA has chosen to declare certain projects or activities ineligible for funding.

These include activities required or regulated under the CWA.

For example, activities for the development of Total Maximum Daily Loads (TMDLs) and Phase II Stormwater projects will not be funded.

Activities implementing the non-regulatory component of TMDLs (e.g., the elements of a watershed plan that address non-point source pollution), however, are eligible.

Specific uses and restrictions on funds will be described in detail in the competitive announcements.

Assistance agreement awards under this program may involve or relate to geospatial information.

Further information regarding geospatial information may be obtained by viewing the following website: http://geodata.epa.gov.

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Eligibility Requirements

Applicant Eligibility

States, local governments, public and private nonprofit institutions/organizations, federally recognized Indian tribal governments, U.S.

territories or possessions, and interstate agencies are eligible.

For-profit commercial entities and all federal agencies are ineligible.

Nonprofit organizations described in Section 501 (c)(4) of the Internal Revenue Code that engage in lobbying activities as defined in Section 3 of the Lobbying Disclosure Act of 1995 are not eligible.

For certain competitive funding opportunities under this CFDA description, the Agency may limit eligibility to compete to a number or subset of eligible applicants consistent with the Agency's Assistance Agreement Competition Policy.

Beneficiary Eligibility

Anyone/General Public.

Credentials/Documentation

None.

Aplication and Award Process

Preapplication Coordination

Regarding pre-application/pre-proposal assistance with respect to competitive funding opportunities under this program description, EPA will generally specify the nature of the pre-application/pre-proposal assistance, if any, that will be available to applicants in the competitive announcement.

For additional information, contact the individual(s) listed as "Information Contacts" or see Appendix IV of the Catalog.

This program is eligible for coverage under E.O.

12372, "Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review.

Application Procedures

Applicants will be required to submit a formal grant application. The standard application forms as furnished by the Federal agency and required by OMB Circular No. A-110 and A-102 must be used for this program. EPA requires final applications to be made on Standard Form 424. Requests for application kits must be submitted to the Environmental Protection Agency, Grants and Interagency Agreements Management Division, 1200 Pennsylvania Avenue, N.W., Mail Code 3903R, Washington, DC 20460 or through the appropriate EPA Regional Office listed in Appendix IV of the Catalog. Additional information on the EPA grant package can be found at: http://www.epa.gov/ogd/grants/how_to_apply.htm. Applicants may be able to use http://www.grants.gov to electronically apply for certain grant opportunities under this CFDA.

Award Procedures

For competitive awards, EPA will review and evaluate applications, proposals, and/or submissions in accordance with the terms, conditions, and criteria stated in the competitive announcement. Competitions will be conducted in accordance with EPA policies/regulations for competing assistance agreements.

Deadlines

Prospective grantees may contact the EPA Regional or Headquarters Office for information and to confirm deadlines. Information on deadlines may also be found at http://www.epa.gov/twg.

Authorization

Consolidated Appropriations 2005, Public Law 108-447; Dept. of Interior, Environmental and Related Agencies Appropriations Act, 2006, Public Law 109-54. Revised Continuing Appropriations Resolution 2007, H.J. Res. 20 Public Law 110-5.

Range of Approval/Disapproval Time

Regional or Headquarters review will typically be completed within approximately 120 - 150 days following the deadline for submissions.

Appeals

Assistance agreement competition-related disputes will be resolved in accordance with the dispute resolution procedures published in 70 FR (Federal Register) 3629, 3630 (January 26, 2005). Copies of these procedures may also be requested by contacting the individual(s) listed as "Information Contacts." Disputes relating to matters other than the competitive selection of recipients will be resolved under 40 CFR 30.63 or 40 CFR 31.70, as applicable.

Renewals

Not applicable.

Assistance Considerations

Formula and Matching Requirements

This program has no statutory formula. Applicants are required to demonstrate a minimum non-federal match of 25% of the total cost of the project or projects. Match may be cash or in-kind consistent with the regulation governing match requirements (40 CFR 31.24 or 40 CFR 30.23). Tribes and tribal watershed groups may be exempt from this match requirement if they are constrained to such an extent that fulfilling the match requirement would impose undue economic hardship.

Length and Time Phasing of Assistance

The term of the grant shall be determined at the time of grant award.

Post Assistance Requirements

Reports

Progress report requirements will be a part of each assistance agreement.

Headquarters issued agreements will normally require quarterly and annual reports.

A schedule showing interim milestones and the outputs that will be completed by the end of the project period will also be included, as will any specific requirements included in the assistance agreement.

Regionally issued agreements will have reporting requirements specific to each region.

Audits

Grants and cooperative agreements are subject to inspections and audits by the Comptroller General of the United States, the EPA Office of Inspector General, other EPA staff, or any authorized representative of the Federal government. Reviews by the EPA Project Officer and the Grants Specialist may occur each year. In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Nonprofit Organizations," nonfederal entities that expend $500,000 or more in a year in Federal awards shall have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in OMB Circular No. A-133.

Records

Financial records, including all documents to support entries on accounting records and to substantiate changes to each grant must be kept available to personnel authorized to examine EPA grant accounts. All records must be maintained until expiration of three years from the date of submission of the final expenditure report. If questions still remain, such as those raised as a result of an audit, related records should be retained until the matter is completely resolved.

Financial Information

Account Identification

68-0103-0-1-304; STAG.

Obigations

FY 07 $4,000,000; FY 08 $10,000,000; and FY 09 est. $0; National Targeted Watersheds Grants Program: FY 08 est. $0; Water Quality Trading: FY 07 est. $4,000,000; Western Estuaries Initiative: FY 08 est. $10,000,000.

Range and Average of Financial Assistance

Water Quality Trading: $100,000 to $200,000/fiscal year; $130,000 (Priority I); $400,000 to $1,000,000/fiscal year; $600,000 (Priority II); Western Estuaries Initiative: $250,000 to $625,000/fiscal year; $437,500/fiscal year (Region 10); $500,000 to $1,000,000/fiscal year; $750,000/fiscal year (Region 9).

Regulations, Guidelines, and Literature

For grants and agreements with States, local governments and Indian tribal governments, the procedures and requirements should be in conformance with 40 CFR Part 31 "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments", 40 CFR Part 35, "Environmental Program Grants-State, Interstate, and Local Governments Agencies" and OMB Circular Nos. A-87 "Cost Principles for State and Local Governments" and A-102, "Grants and Cooperative Agreements for States and Local Governments." For grants and agreements with other entities the procedures should be in conformance with 40 CFR Part 30, "Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Nonprofit Organizations."

Information Contacts

Regional or Local Office

Contact the appropriate EPA Regional Office listed below. Region I: Connecticut, Maine, Massachusetts, Rhode Island, Vermont, New Hampshire; Contact: Rob Adler or Gerry Potamis, Telephones: (617) 918-1396 and (617) 918-1651; E-mails: adler.robert@epa.gov and potamis.gerald@epa.gov respectively. Region II: New Jersey, New York, Puerto Rico, U.S. Virgin Islands; Contact: Cyndy Kopitsky, Telephone: (212) 637-3844; E-mail: kopitsky.cyndy@epa.gov. Region III: Delaware, Maryland, Pennsylvania, Virginia, West Virginia, Washington, DC; Contact: Ralph Spagnolo, Telephone: (215 814-2718); E-mail: spagnolo.ralph@epa.gov. Region IV: Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina, Kentucky, Tennessee; Contact: William L. Cox, Telephone: (404) 562-9351; E-mail: cox.williaml@epa.gov. Region V: Illinois, Indiana, Michigan, Minnesota, Ohio, Wisconsin; Contact: Paul Thomas, telephone (312) 886-7742; E-mail: thomas.paul@epa.gov. Region VI: Louisiana, Texas, Oklahoma, Arkansas, New Mexico; Contact: Brad Lamb, Telephone: (214) 665-6683; E-mail lamb.brad@epa.gov. Region VII: Iowa, Kansas, Missouri, Nebraska; Contact: Jaci Ferguson, Telephone: (417) 575-8028; E-mail: ferguson.jaci@epa.gov. Region VIII: Colorado, Montana, North Dakota, South Dakota, Utah; Contact: Eric Steinhaus, Telephone: (303) 312-6837, E-mail: steinhaus.eric@epa.gov . Region IX: Arizona, California, Hawaii, Nevada, American Samoa, Mariana Islands, Guam; Contact: Sam Ziegler, Telephone: (415)972-3399; E-mail: ziegler.sam@epa.gov. Region X: Alaska, Idaho, Oregon, Washington; Contact: Bevin Reid, Telephone (206) 553-1566; E-mail: reid.bevin@epa.gov.

Headquarters Office

Erin Collard, Office of Wetlands, Oceans, and Watersheds, EPA, Room 7136G, EPA West, 1200 Pennsylvania Avenue N.W., Washington DC, 20460. Telephone: (202) 566-2655. Fax: (202) 566-1326. E-mail: Collard.Erin@epa.gov.

Criteria for Selecting Proposals

The evaluation and selection criteria for competitive awards under this CFDA description will be described in the competitive announcement.