Plan Implementation Grant: Frequently Asked Questions
Source Water Protection

Who is eligible to receive this type of grant?

All community and noncommunity nontransient public water suppliers that have a Minnesota Department of Health (MDH) approved/endorsed source water protection plan (wellhead protection plan, surface water intake plan, or wellhead protection action plan)

Where does the grant funding come from?

Clean Water, Land and Legacy Amendment funds

Are grants tax exempt?

Yes. Grants from the Clean Water, Land and Legacy Amendment funds are not taxable. Grants fall under the "aid” and “assistance” category.

What activities are eligible for a grant?

• Activities in a MDH approved/endorsed source water protection plan
• Activities inside the geographic extent of the source water protection area

Who can help me fill out a grant application and decide what to apply for?

The MDH planner assigned to your district can help you put together an application. See Source Water Protection Planner and Hydrologist Areas map (PDF) for contact information.

Can I use the grant funds for activities that took place in the past?

No. You can only use grant money for activities that take place after MDH approves the grant. The grant agreement must have all required signatures.

Can I use grant funds to pay for staff salary?

Yes. You can use grant funds for staff salary if your plan references the activity.

Is there a time limit for spending grant money?

Yes. You must spend the money within the terms of the grant agreement.

What does a good budget look like?

A good budget:

• Contains enough detail for the reviewers to understand how you will spend the money
• Specifies a line item for each project task in the application
• Is consistent with attached cost estimates

Does MDH require a bid or a quote with the grant application?

No. You are not required to submit a bid or quote with your grant application.

Will MDH review incomplete applications?

No. MDH will not review incomplete applications.

Can I submit an application before I see an official announcement from the grant program?

No. MDH only accepts grant applications during the period specified in schedule on the Source Water Protection Grants homepage.

I have two source water protection plans for two separate Drinking Water Supply Management Areas (DWSMAs). Can I apply for up to $10,000 for each plan?

No. MDH accepts only one application at a time per grant category.

Can I submit more than one application for the same category of grant at a time?

No. MDH will score only the first grant application received.

Can I apply for more than one of the same category of grant?

Yes. You can apply for another grant within the same category once you receive final payment from MDH for the existing grant.

If I receive a plan implementation grant, can I also apply for a competitive grant at the same time?

Yes. You can get an implementation and competitive grant for two distinct projects or phases of a single project. You cannot use the plan implementation grant as a cost-share for competitive grants.

If I realize that I miscalculated the budget after I am awarded the grant, can I ask for more money?

No. Once you get a grant you cannot change the amount or the work items. You may have other options. You can refuse the grant and apply again with the correct amount in the next cycle. You can use your own funds to make up the difference.

Am I allowed to reallocate funds between budget lines?

You can reallocate up to 10% of the amount awarded for a category to another approved category. If it is under 10%, you do not need to get approval from MDH. If it is over 10%, you must submit a written or email request to MDH for approval.

Can I use the grant funds to pay for preparing and/or mailing the consumer confidence report?

No. You can use the grant funds to add source water protection materials to the consumer confidence report.

Can I use the grant funds to pay fees for well sealing or well construction?

No. MDH will not reimburse you for inspection or permitting fees.

What are the contractual requirements for being a grantee of MDH?

See example grant agreements at Grants Management Policies, Statutes and Forms

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