DWR announced the release of the first projects recommended (draft) for grant funding within the Continuous Application Process (CAP1).
Published:
Water Desalination Grant Program
Continuous Application Process schedule is revised as follows: March 12: GRanTS open for application preparation for Continuous Application process. March 30: Begin receiving applications for Continuous Application Process.
Published:
DWR announced the Round 4 final funding awards. Nine projects were awarded a total of $44.4 million. The remaining $48.7 million still available will be offered on a continuous basis and awarded on a first-ready, first-awarded basis until all grant funds are exhausted.
Published:
Desalination Grant Program Background
DWR provides grants to local agencies for the planning, design, and construction of water desalination facilities for both brackish and ocean water. It also provides grants for pilot, demonstration, and research projects. DWR conducted three rounds of funding since 2005 using Proposition 50 funds. The rules and procedures for funding vary depending on funding source, availability of funds, and DWR priorities at the time of funding. A fourth round of funding is planned, using primarily Proposition 1 funds.
Each round of funding generally begins with the drafting of a Proposal Solicitation Package (PSP), which contains detailed grant funding program rules and procedures for that round of funding. The PSP has a description of types of agencies that can apply, types of projects that can be funded, instructions for application, the proposal review process, and the criteria for proposal selection for funding. The draft PSP is issued for public comment. After adoption of a final PSP, the application period begins. Applications received by the deadline are reviewed according to the selection criteria, and a draft list of proposals recommended for grant funding is released for public comment. Subsequently, approved projects are awarded funding.
DWR uses an online application tool called GRanTS. An applicant must register to establish an account in GRanTS. Detailed procedures are described in the PSP applicable to the current round of funding.
Applicants of awarded projects must enter into a grant agreement (contract). Grant disbursements generally occur after costs are incurred and are provided after review of expense documentation provided by the grantee with invoices. After project completion, there may be annual reporting for up to five years to describe briefly the results of the project.
Rounds of Funding
The first funding rounds used funds authorized by Proposition 50. The fourth round uses funds from Proposition 1. The Continuous Funding Process will use available funds from Proposition 1 and potentially available funds from Proposition 50. The links below provide more information:
Continuous Application Process
DWR will begin a continuous application process that will be conducted with the same submittal and review process described in the Round 4 Proposal Solicitation Package (PSP). Applications will be reviewed and qualified projects will be awarded on a first ready, first awarded basis until all grant funds are exhausted.
Applications will be submitted in GRanTS using the same process as Round 4. The applications will be screened for eligibility and then reviewed and scored. On a quarterly basis, applications recommended for funding will be submitted to the deputy director in a draft funding letter and an online meeting held within 10 days to receive comments prior to the release of the final funding decision. This will continue the overall process implemented in previous funding rounds.
Resources
- Presentation on Water Desalination Grant Program Round 4 Draft Funding Recommendation and Continuous Application Process - presented at February 5, 2018 public meeting
- Guidance specific to the Continuous Application Process - this brief document provides additional information for topics such as notifying DWR of the application submittal through GRanTS and how funding recommendation notifications will occur
- Proposal Solicitation Package
- Round 4 Proposal Solicitation Package - describes the overall application process
- Errata - provides corrections and clarifications to the PSP.
Project Types for Continuous Applications
Desalination Grants will be funded by Propositions 1 and 50. The 4 types of desalination projects that can be funded are:
-
Construction projects generally consists of the design and construction of a full-scale permanent desalination facility and related infrastructure to result in an operable municipal water supply project. A Construction project can include funding for design, but design will not be funded as a stand-alone project. Construction projects that depend upon future phases for an operable facility are not eligible.
-
Feasibility Study projects are used to determine the need for a water supply project, to analyze the alternatives to meet the project objective, to determine whether a desalination project is the “preferred alternative”, and if it is, to identify the implementation steps for the project.
-
Environmental Documentation projects are stand-alone projects for compliance with CEQA or National Environmental Policy Act (NEPA) where the basic feasibility study has already been completed and there is a likelihood for initiation of a construction project. As a requirement for funding, the completed portions of the feasibility study must be submitted with the application.
-
Design Pilot project is a small-scale prototype for a full-scale project or a full-scale component of a project and is intended to refine design criteria, aid site selection, or study particular technologies or methodologies (conventional or innovative) for the purpose of implementing an already proposed full-scale municipal desalination facility.
Schedule
| Date | Activity/Milestone |
| February 5, 2018 | Desalination Grant public workshop with Continuous Application Process |
| March 12, 2018 | GRanTS open to begin application preparation |
| March 30, 2018 | Begin accepting applications through the Continuous Application Process |
Application Attachment Templates and Additional Guidance
The completed application will consist of both online submittal and one hard copy to DWR. The on-line Grant Review and Tracking System (GRanTS) has forms and questions that must be completed. In addition, up to 22 additional electronic files are to be provided to DWR as part of the grant application package. Links to the attachments with templates are provided below. For attachments with a provided template, the template is required to be used. The other attachments require the applicant to provide the requested information in files they create or as existing documents. Guidance is also provided below for Attachment 20, Economic Analysis. Templates and guidance are provided for:
- Attachment 1 – Signature Page
- Attachment 2 – Proposal Authorization
- Attachment 3 – Other Participating Organizations
- Attachment 4 – Funding Contributions
- Attachment 10 – Project Budget
- Attachment 11 – Project Schedule
- Attachment 12 – Greenhouse Gas Estimation (Principle Desalination Component only)
- Attachment 13 – Outreach, Community Involvement, and Acceptance
- Attachment 20 – Economic Analysis
- Guidance for Attachment 20, Economic Analysis (including Narrative Template). Click here.
- Economic Analysis Computations Template. Click here.
- Attachment 22 – Reduction or Waiver of Cost Share for Disadvantaged Communities or Economically Distressed an Areas.
- Resubmitted Applications – Include the form entitled Status of Attachments Resubmitted under the Continuous Application Process as part of the application when resubmitting an amended proposal previously reviewed under and not yet funded within this Water Desalination Grant Program. See the Application Resubmittal section of the Continuous Application Process Guidance for additional information on resubmittals.
End of Continuous Application Process
2017 Grant Funding (Round 4)
On Sept. 1, 2017, DWR received 30 proposals for the Water Desalination Grant Program, Round 4, funded by Proposition 1. The total request for funding was approximately $139 million for the 30 projects, with estimated total project costs of $622.5 million. DWR is awarding funds to nine proposals, for a total of $44.4 million. These projects are in the following table.
Round 4 Draft Funding Awards
| Funding Category | Application | Project Title | Total Project Cost | Grant Award |
| Construction | City of Santa Barbara | Reactivation of the Charles E. Meyer Desalination Plant | $72,000,000 | $10,000,000 |
| South Coast Water District | Doheny Ocean Desalination Phase 1 Project | $107,108,400 | $10,000,000 | |
| City of Antioch | City of Antioch Brackish Water Desalination Project | $62,217,732 | $10,000,000 | |
| City of Camarillo | North Pleasant Valley Desalter | $31,930,663 | $10,000,000 | |
| Design Pilot | Eastern Municipal Water District | Enhanced Brine Concentration Design Pilot Project | $5,965,078 | $1,500,000 |
| Olivenhain Municipal Water District | San Dieguito Valley Brackish Groundwater Desalination Design Pilot | $1,340,856 | $650,000 | |
| Feasibility Study | Indian Wells Valley Water District | Indian Wells Valley (IWV) Brackish Groundwater Feasibility Study | $1,518,389 | $1,083,984 |
| Water Replenishment District of Southern California | Feasibility Study for the West Coast Basin Brackish Water Reclamation Project | $1,400,000 | $700,000 | |
| Research Pilot | University of Southern California | System Configurations and Cooling Technologies for Waste-Heat-Driven Membrane Distillation in Desalination Applications with High Water Recovery | $1,007,852 | $503,490 |
| Total Funding | $44,437,474 | |||
A public meeting to receive comments on the draft funding recommendations was held on February 5, 2018 at Metropolitan Water District’s headquarters (presentation). Information on this meeting and the Notice of Public Meeting and Comment Period on Draft Funding Recommendation Water Desalination Grant Program Round 4 - Proposition 1 Grants, January 24, 2018, is found here.(pdf)
Round 4 Project Types
This fourth round of grant funding includes funding for 5 types of projects as follows (see the PSP for full descriptions of project types):
-
Construction projects generally consists of the design and construction of a full-scale permanent desalination facility and related infrastructure to result in an operable municipal water supply project. A Construction project can include funding for design, but design will not be funded as a stand-alone project. Construction projects that depend upon future phases for an operable facility are not eligible.
-
Feasibility Study projects are used to determine the need for a water supply project, to analyze the alternatives to meet the project objective, to determine whether a desalination project is the “preferred alternative”, and if it is, to identify the implementation steps for the project.
-
Environmental Documentation projects are stand-alone projects for compliance with CEQA or National Environmental Policy Act (NEPA) where the basic feasibility study has already been completed and there is a likelihood for initiation of a construction project. As a requirement for funding, the completed portions of the feasibility study must be submitted with the application.
-
Design Pilot project is a small-scale prototype for a full-scale project or a full-scale component of a project and is intended to refine design criteria, aid site selection, or study particular technologies or methodologies (conventional or innovative) for the purpose of implementing an already proposed full-scale municipal desalination facility.
-
Research Pilot projects are typically small-scale prototypes for a full-scale device, equipment, process, or other technology and are intended to advance the knowledge base of new desalination technology, related infrastructure, and by-products treatment and disposal.
Schedule
| Date | Activity/Milestone |
| April 3, 2017 | Draft PSP posted online |
| May 8, 2017 | Public Workshop for Draft PSP – Southern Region CA |
| May 9, 2017 | Public Workshop for Draft PSP – Central Valley Region CA |
| May 10, 2017 | Public Workshop for Draft PSP – Northern Region CC |
| May 18, 2017 | Comments on Draft PSP Due |
| June 16, 2017 | Final PSP Release |
| August 1, 2017 | Southern CA Public Workshop for Final PSP, Los Angeles |
| August 3, 2017 | Central Coast CA Public Workshop for Final PSP, Monterey |
| September 1, 2017 | Proposals Due, 5 pm PDT. |
| January 24, 2018 | Released Draft Funding Recommendation and Continuous Application Process |
| February 5, 2018 | Conducted public workshop to receive comments on Draft Funding Recommendation and describe the Continuous Application Process |
| February 16, 2018 | Close comment period |
| March 12, 2018 | Release Director’s Final Round 4 Funding Decision |
| April 2018 | Desalination Agreement Negotiations Begin |
| Spring/Summer 2018 | Desalination Agreements Executed |
Application Attachment Templates and Additional Guidance
The completed application consisted of both an online submittal and one hard copy to DWR. The on-line Grant Review and Tracking System (GRanTS) had forms and questions that needed to be completed. In addition, up to 22 additional electronic files were provided to DWR as part of the grant application package. Links to the attachments with templates are provided below. For attachments with a provided template, the template was required to be used. The other attachments required the applicant to provide the requested information in files they created or had as existing documents. Guidance is also provided below for Attachment 20, Economic Analysis. Templates and guidance are provided for:
- Attachment 1 – Signature Page
- Attachment 2 – Proposal Authorization
- Attachment 3 – Other Participating Organizations
- Attachment 4 – Funding Contributions
- Attachment 10 – Project Budget
- Attachment 11 – Project Schedule
- Attachment 12 – Greenhouse Gas Estimation (Principle Desalination Component only)
- Attachment 13 – Outreach, Community Involvement, and Acceptance
- Attachment 20 – Economic Analysis
- Guidance for Attachment 20, Economic Analysis (including Narrative Template). Click here.
- Economic Analysis Computations Template. Click here.
- Attachment 22 – Reduction or Waiver of Cost Share for Disadvantaged Communities or Economically Distressed Areas.
Frequently Asked Questions (FAQs)
Additional information on various topics and issues in the form of questions & answers. FAQs may be down loaded here. (DOC), (PDF).
State Funding Agreement (FA) Sample
A sample funding agreement has been provided for review here (DOC), (PDF). The actual agreement for Round 4 or subsequent funding may differ.
Proposal Solicitation Package (PSP)
The draft guidelines for conducting the Round 4 grant solicitation were contained in the Public Review Draft of the Round 4 Proposal Solicitation Package. The PSP contains detailed grant funding program information, including eligibility, application submittal process, review and award process, and program guidelines and requirements.
Final PSP. The final Round 4 PSP was adopted on June 16, 2017.
Draft PSP. The Public Review Draft was available for public comment April 3 through May 18, 2017. DWR accepted comments in writing and at public workshops.
Public Review Draft PSP, click (PDF), (DOC)
End of 2017 Grant Funding (Round 4)
Sources of Funds
Proposition 50
In November 2002, California voters passed Proposition 50, the Water Security, Clean Drinking Water, Coastal and Beach Protection Act of 2002 (incorporated into Division 26.5 of the California Water Code, beginning with section 79500). Section 79545(a) in Chapter 6 provided $50 million for grants for desalination of ocean or brackish water. Sections 79547 and 79547.2 in Chapter 6 have other conditions that apply to this funding. Subsequent to passage of Proposition 50, the California State Legislature passed “trailer bills” that contain additional requirements for implementation of Proposition 50.
Proposition 50, as passed by voters
Division 26.5 of the California Water Code, including trailer bill sections.
Proposition 1
In November 2014, California voters passed Proposition 1, a part of which is the Water Quality, Supply and Infrastructure Improvement Act of 2014 (California Water Code, Division 26.7, Section 79700 et seq.). Chapter 9 of Proposition 1 (the proper legal reference is Chapter 9 of Division 26.7 of the Water Code, Sections 79765-79768) provides $725 million for grants/loans for water recycling and advanced treatment, including desalination projects. DWR’s Water Desalination Grant Program will incorporate the Proposition 1 desalination elements in Section 79765(b), (d), and (f). The portion of funds allocated to desalination is $100 million, 7 percent of which is reserved for bonds and program administration. Proposition 1 funding of desalination shall be administered consistent with Proposition 50 desalination programs administered pursuant to sections 79545 and 79547.2 of the Water Code. These funds will be appropriated over several years. The current plan for budgeting these funds is shown in the following table.
| ITEM | FUNDING ($) | DESCRIPTION |
| Bond | 100,000,000 | Voter approved General Obligation Bond |
| Bond Expense (2%) |
2,000,000
|
State Agency Bond Financing Costs |
|
Program Allocation
|
98,000,000 | Programmatic Implementation Funding |
| Program Administration (5%) | 4,900,000 | Programmatic Administrative Costs |
|
Available for Grants
|
93,100,000 | Available for Grant Recipients |
| Program Round 4 | 93,100,000 | Fiscal Year (FY) 15/16 and FY 18/19 appropriation |
Proposition 1 as passed by voters
Division 26.7 of the Water Code, including any additions by later legislation.
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Contact Us
If you need any additional information, please contact DWR’s Water Recycling and Desalination Section.
Richard Mills, Section Chief
Richard.Mills@water.ca.gov | (916) 651-0715
Nancy King
Nancy.King@water.ca.gov | (916) 651-7200
Toni Pezzetti
Tonianne.Pezzetti@water.ca.gov | (916) 651-7024