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CONSUMPTIVE USE MITIGATION GRANTS 

2024 PROGRAM GUIDELINES 

Published On October 25, 2023 
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Mission 

The Susquehanna River Basin Commission’s mission is to enhance 

public welfare through comprehensive planning, water supply 

allocation, and management of the water resources of the 

Susquehanna River Basin. 

Cover photo: Commission-owned water supply storage at Curwensville Lake, Clearfield County, PA, that 

is released to mitigate for downstream consumptive use during low flow periods. 
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Grant Opportunity At A Glance 

Grant Funding Provided By: Susquehanna River Basin Commission 

Consumptive Use Mitigation Grant Program 

4423 North Front Street 

Harrisburg, PA 17110-1788 

General Grant Program and/or 

Application Inquiries: 

(717) 238-0423, ext. 1017 or cugrant@srbc.net 

Dates: Application Due Date: 

Wednesday, January 31, 2024 

4:00 pm Eastern Standard Time 

Eligible Applicants: 

(See Guidelines Sec. IV.A.) 

SRBC Project Sponsors (i.e., entities with SRBC 

approval or docket) 

Local, State, and Federal Government Entities 

Tax Exempt Non-Profit Organizations 

Institutions of Higher Education 

Eligible Projects:

(See Guidelines Sec. IV.B.) 

Projects that mitigate consumptive use or otherwise 

improve drought resilience in the Basin. 

Grant Recipient Cost Share: 

(See Guidelines Sec. V.A.) 

A minimum cash match of 10 percent or 25 percent, 

depending on the total requested SRBC grant funding, 

and expended within the grant period of performance. 

Period of Performance: 

(See Guidelines Sec. VI.) 

In general, project funds should be expended, and 

projects completed, within three (3) years of the grant 

agreement effective date. 

Project Schedules: 

(See Guidelines Sec. VI.)

Project schedules for which grant funding is requested 

must start on or after Monday, July 1, 2024. 

SRBC Funding Amount: 

(See Guidelines Sec. VI.) 

Approximately $4 million to $6 million in total grant 

funding available, with anticipated individual project 

awards of $100,000 or more. 

Estimated Number of Grants to be 

Awarded: 

Approximately 10-20 projects, contingent on quality 

and scope of applications received and available 

SRBC funding. 

 
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Application Checklist 

In addition to completing the Susquehanna River Basin Commission’s (SRBC’s/Commission’s) 

online application, applicants must upload the mandatory documents listed below to their online 

application. Optional application documents are project-specific and, therefore, applicants 

should consult the relevant sections within these guidelines. All documents listed below may 

be downloaded from the Commission’s Consumptive Use Mitigation Grant Program web 

page (https://www.srbc.net/our-work/grants/consumptive-use-mitigation-grant.html). 

What Information to Submit Relevant Guidelines 

Section When to Submit 

Mandatory Application Documents: 

☐ Matching Funds Commitment Letter See Sec. V.A. with application

☐ Detailed Budget Spreadsheet See Sec. V.A. with application 

Optional Application Documents: 

☐ Landowner Consent Letter See Sec. VIII. with application 

☐ Project Location Map N/A with application 

Recommended Documents to Review Prior to Starting a CU Mitigation Grant Application: 

☐ Consumptive Use Mitigation Policy 

☐ Grant Agreement Template 

☐ Priority Watersheds Map 

☐ Grant Application Preview 

 
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TABLE OF CONTENTS 

I. Background ......................................................................................................................... 6

II. Introduction ......................................................................................................................... 6

III. Purpose ................................................................................................................................ 6

IV. Eligibility ............................................................................................................................ 7

A. Eligible Applicants ........................................................................................................... 7

B. Eligible Projects ............................................................................................................... 7

C. Eligible Use of Funds ..................................................................................................... 12

V. Program Requirements...................................................................................................... 13

A. Cost Share Requirements ............................................................................................... 13

B. Permit Requirements ...................................................................................................... 15

C. Other Requirements ........................................................................................................ 15

VI. Grants ................................................................................................................................ 15

VII. Application Procedures ..................................................................................................... 15

VIII. Application Evaluation ..................................................................................................... 16

IX. Accessing Funds ............................................................................................................... 18

 
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I. Background 

The Susquehanna River Basin Commission (SRBC/Commission) is a federal-interstate compact 

commission responsible for coordinated management of the water resources of the 27,510-squaremile Susquehanna River Basin (Basin). The Basin is situated in New York, Pennsylvania, and 

Maryland and comprises 43 percent of the Chesapeake Bay’s drainage area. Under the authority 

of the Susquehanna River Basin Compact (Compact), the Commission regulates groundwater 

withdrawal, surface water withdrawal, diversion, and consumptive use (CU) projects in the Basin. 

II. Introduction 

The Commission’s regulations (18 CFR §806.22(b)) regarding review and approval of projects 

require mitigation for CU of water. CU is broadly defined as the loss of water due to a variety of 

processes by which the water is not returned to the waters of the Basin undiminished in quantity. 

The Commission’s CU regulation, adopted in 1976, requires project sponsors to provide mitigation 

for their consumptive use during low flow events. The Commission’s mitigation strategy is based 

on the elimination of man-made impacts caused by CU during low flows and the return to natural 

flow conditions. Sponsors are expected to comply with the regulation by providing compensatory 

water or discontinuing CU during low flow events. This has proved impractical and/or 

unreasonable for most CU projects. Therefore, the Commission enacted a measure in 1993 to 

allow project sponsors to pay a fee to the Commission in lieu of providing compensatory water. 

The payment of these fees allows the Commission to undertake projects to provide CU mitigation, 

including funding projects through a grant program. 

The Commission adopted its CU Mitigation Policy (Policy) in 2020. This Policy outlines the 

Commission’s fundamental objective of CU mitigation, defines contemporary standards for 

planning and implementing mitigation projects, provides insight into factors considered in 

determining an acceptable manner of mitigation, and expands the scope of alternatives for 

Commission-initiated mitigation projects. Per the Policy, and in addition to pursuing traditional 

water storage and low flow augmentation projects, the Commission may also implement 

alternative methods of CU mitigation, including water conservation and reuse, groundwater 

recharge, and water quality improvements. 

III. Purpose 

The purpose of the Commission’s CU Mitigation Grant Program is to implement projects that 

mitigate consumptive use or otherwise improve drought resilience in the Basin. These projects 

are intended to help protect public health and safety, avoid water use conflicts, prevent water 

quality impacts, sustain economic production, and support ecological flow needs throughout the 

Basin. 
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IV. Eligibility 

A. Eligible Applicants 

Any of the following entities may apply for a grant under the CU Mitigation Grant 

Program: 

1. Project Sponsor – Any person who owns, operates, or proposes to undertake a water 

withdrawal, consumptive use, or water supply project and has a docket or other 

approval to operate issued by the Commission. 

2. Local, State, and Federal Government Entity – Any federal, state, county, or local 

government entity, including government-led coalitions, municipal authorities, school 

districts, and home rule municipalities. 

3. Tax-Exempt Non-Profit Organization – A tax-exempt, non-profit organization under 

§ 501(c)(3) of the Internal Revenue Code involved in research, restoration, 

rehabilitation, planning, acquisition, development, education, or other activities, which 

furthers the protection, enhancement, conservation, preservation, or management of the 

Basin's water resources. 

4. Institution of Higher Education – An entity that is an accredited university, college, 

seminary college, community college, or two-year college. 

B. Eligible Projects 

The subsequent project types and examples are intended to assist applicants in determining 

whether their project is eligible and how it may best fit with the objectives of the 

Commission’s CU Mitigation Policy. However, the Commission encourages applicants to 

submit grant applications for other innovative or non-conventional projects that increase 

drought resilience in the Basin, for which an example is not included. 

 
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Water Supply Alternatives (WSAs) 

Description: Projects that provide water supply storage at federal, state, 

and/or private-owned water storage assets for use in offsetting

CU during low flow periods. Also included are projects that 

increase water capacity via system interconnections to mitigate

drought-related water supply emergencies. 

Project Types and 

Examples: 

(See Consumptive 

Use Mitigation 

Policy – Sec. VI.A.)

WSA project types and examples may include the following: 

Surface Water Impoundments that provide water supply 

storage for withdrawal or release during low flow periods. 

Examples of eligible projects include: 

 Rehabilitating former water supply reservoirs to 

provide additional water storage. 

 Upgrading dam outlet infrastructure to facilitate low 

flow augmentation releases. 

Flooded Quarries and Mine Pools that provide water supply 

storage for withdrawal or release during low flow periods. 

Examples of eligible projects include: 

 Repurposing inactive quarries to provide additional 

water storage. 

 Incorporating withdrawal infrastructure to utilize 

underground mine pools for backup water supply. 

Newly Constructed Impoundments that are located offstream and refilled by capturing runoff or pumping water 

from an adjacent perennial stream during high flows. 

Examples of eligible projects include: 

 Constructing a new off-stream pond for use as a 

backup water supply for irrigation. 

Water Supply Interconnections that redistribute excess 

water supply from one system to another, including contracts 

for buying and selling of excess water for emergency 

purposes. 

Key Application 

Information: 

Applicants should include documented or estimated water 

quantity benefits (e.g., acre-feet, million gallons, million 

gallons per day), including supporting calculations and 

assumptions. 

 
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Project Operation Alternatives (POAs) 

Description: Projects that provide low flow augmentation and/or 

conservation releases through a change of operations to help 

offset CU during low flow periods. Also included are projects 

that modify operations at public or private reservoirs, 

implement aquifer storage and recovery, employ conjunctive 

use management, develop drought response actions, and related 

activities. 

Project Types and 

Examples: 

(See Consumptive 

Use Mitigation 

Policy – Sec. VI.B.) 

POA project types and examples may include the following: 

Aquifer Storage and Recovery that provides subsurface 

storage by holding water in aquifers during high to normal 

flow periods and withdrawing or releasing water during low 

flow periods. Examples of eligible projects include: 

 Constructing managed aquifer recharge systems to 

increase groundwater availability for supply wells. 

 Constructing injection wells to add water into an 

aquifer for storage and use during low flow 

conditions. 

Conjunctive Use Management that entails planned 

coordination and efficient management of surface and 

groundwater sources to maximize long-term water 

availability. Examples of eligible projects include: 

 Developing groundwater sources for use during low 

flow periods instead of, or in combination with, 

surface water withdrawals. 

Drought Operations Plans that outline specific actions a 

water user will take in response to drought or water shortage 

conditions, including operational changes, water 

conservation measures, and utilization of emergency 

supplies. 

Reservoir Conservation Releases that are continuously 

maintained downstream of an impoundment to protect other 

water users and aquatic resources during low flow periods. 

This includes modifying existing reservoir operations to 

facilitate continuous conservation releases. 

Key Application 

Information: 

Applicants should include documented or estimated water 

quantity benefits (e.g., million gallons, million gallons per day, 

cubic feet per second), including supporting calculations and 

assumptions. 
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Demand Modification Alternatives (DMAs) 

Description: Projects that decrease the amount of water withdrawn or 

consumptively used during low flow periods. This includes 

projects that implement water conservation technologies, 

employ water reuse or recycling systems, and improve 

groundwater recharge. 

Project Types and 

Examples: 

(See Consumptive 

Use Mitigation 

Policy – Sec. VI.C.) 

DMA project types and examples may include the following: 

Water Conservation that reduces water consumption, 

reduces water loss or waste, and/or improves water use 

efficiency in the Basin. Examples of eligible projects 

include: 

 Implementing leak detection systems and/or deploying 

leak detection technology. 

 Eliminating single-pass cooling systems. 

Water Reuse or Recycling that reuses treated effluent or 

other water sources (e.g., agriculture runoff, cooling water, 

produced water) prior to reintroduction into the water cycle 

in the Basin. Examples of eligible projects include: 

 Installing cooling tower plume capture and reuse 

systems. 

 Installing condensate reuse systems. 

 Installing irrigation tailwater recovery and reuse 

systems. 

Groundwater Recharge that captures surface runoff and 

allows it to infiltrate into underlying soils and aquifers via 

engineered systems or preservation of areas with high 

recharge potential. Examples of eligible projects include: 

 Sub-surface drip, rapid or spray irrigation systems 

paired with reuse systems. 

 Converting impervious areas to porous pavement with 

infiltration beds. 

 Installing infiltration basins, infiltration trenches, 

and/or subsurface infiltration beds. 

Key Application 

Information: 

Applicants should include documented or estimated water 

quantity benefits (e.g., million gallons per year, gallons per 

day, inches per year), including supporting calculations and 

assumptions. 

 
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Environmental and Water Quality Alternatives (EWQAs)

Description: Projects that improve environmental and water quality 

conditions to increase watershed resilience during low flow 

periods. This includes projects that increase groundwater 

recharge, restore streams and wetlands, treat abandoned mine 

drainage, retrofit stormwater best management practices 

(BMPs), and restore and preserve floodplains. 

Project Types and 

Examples: 

(See Consumptive 

Use Mitigation 

Policy – Sec. VI.D.) 

EWQA project types and examples may include the following: 

Wetland and Stream Restoration that rehabilitates degraded 

stream reaches and/or wetland areas in the Basin. Examples 

of eligible projects include: 

 Restoring headwater wetlands to sustain groundwater 

resources and baseflow. 

 Restoring a degraded stream reach to improve water 

quality and instream habitat during low flow periods. 

Abandoned Mine Drainage (AMD) Treatment that 

remediates AMD discharges and associated impaired waters 

in the Basin. Examples of eligible projects include: 

 Installing AMD treatment and/or conveyance 

systems. 

 Reclamation of Abandoned Mine Lands. 

Stormwater Best Management Practices that significantly 

improve water quality and/or increase groundwater recharge. 

Examples of eligible projects include: 

 Retrofitting an existing stormwater basin to enhance 

groundwater recharge. 

 Replacing an existing stormwater conveyance with a 

regenerative stormwater conveyance system to 

reduce erosion and increase infiltration. 

Floodplain Restoration and Preservation that reconnects 

and/or preserves floodplains, and establishes riparian buffers 

along surface waters. 

Key Application 

Information: 

Applicants should include documented or estimated water 

quality benefits (e.g., pounds per year, reduction in 

concentrations) and water quantity benefits (e.g., gallons per 

day, inches per year), including supporting calculations and 

assumptions. 
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C. Eligible Use of Funds 

CU Mitigation Grant funds may be used by the applicant to pay for any of the following 

project costs: 

1. Acquisition, construction, improvement, expansion, repair, maintenance, or 

rehabilitation of new or existing CU mitigation projects. Construction contingency is 

limited to 10% of actual construction costs. 

2. Acquisition of land, rights-of-way, and easements required to develop the project. 

3. Planning, site characterization, design, and permitting work needed to complete the 

project. 

4. Purchase of equipment and technology required to implement the project. 

5. Technical assistance necessary to carry out the project. For construction projects, this 

includes costs for engineering and construction oversight, inspections, and 

performance monitoring. 

6. Project monitoring to assess CU mitigation project effectiveness. 

7. Operation and maintenance costs are limited to a period of no more than 20 years, and 

any funds requested for this purpose will be part of the evaluation of the proposed 

project. 

8. Administrative costs of the applicant necessary to administer the grant, which could 

include advertising, legal, audits, and documented staff expenses. 

a. If the organization has an approved fringe benefit and/or indirect cost rate, then 

applicants must include a fringe benefits letter. 

b. If the organization does not have an approved fringe benefit cost rate, then 

fringe benefits are limited to 10% of labor costs included. 

9. Public relations, education, and outreach specifically related to the proposed project. 

Ineligible costs include, but are not limited to, routine facility maintenance, unrelated 

infrastructure replacement, routine regulatory obligations, contingency costs not associated 

with actual expenses, lobbying, litigation, fees for securing other financing or associated 

with bad debts, interest on borrowed funds, business/marketing events and/or related 

entertainment expenses, alcoholic beverages, illegal activities or substances, costs 

associated with personal expenses of board members and/or officers/staff, application 

preparation fees, and other costs incurred prior to the award of grant funds. 
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V. Program Requirements 

A. Cost Share Requirements 

Applicants must submit a complete Matching Funds Commitment Letter agreeing to 

provide the required cash match as defined below. The Commission may consider cash 

match in excess of the required minimum, as well as in-kind match, as part of its evaluation 

of an application. 

1. Cash Match. Includes applicant and project partner cash contributions and other grant 

funds as defined below. 

a. Applicants requesting grant funds up to $500,000 must provide a minimum cash 

match equal to 10% of the total requested funds. 

b. Applicants requesting grant funds in excess of $500,000 must provide a 

minimum cash match equal to 25% of the total requested funds. 

c. Cannot include other SRBC funding resources. 

d. Secured by, and available to, the applicant at the time of submission of this 

application. 

e. Expended during the CU Mitigation Grant period of performance as established 

by the grant agreement and scope of work, and verifiable by the requisite 

documentation (e.g., payroll, invoices, financial statements). 

f. Eligible cash match must be integral and necessary to the project and directly 

paid by the applicant or by project partners identified in the application and 

scope of work. Project partners pledging cash match must complete their own 

Matching Funds Commitment Letter and submit it with the grant application. 

g. Eligible sources of cash match are listed below. 

i. Construction Costs – Include those for planning, site characterization, 

design, permit fees, construction inspection and oversight, rental 

charges for construction equipment, mobilization/demobilization of 

equipment and materials, and materials that are expended, consumed, or 

internal to construction (i.e., those that remain onsite). 

ii. Contractual Services – Include those for consultants such as engineers, 

geologists, architects, etc. 

iii. Direct Labor – Labor itemized by position for those contributing to the 

direct work of the project. Do not include administrative functions. 

iv. Federal, State, and/or Other Grant Awarded Funds. 

 
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v. Real Property Acquisition Costs: 

1) Real Property means land, including land, improvements, 

structures, and appurtenances thereto, but excludes moveable 

machinery and equipment. 

2) Acquisition costs may include the total costs for purchase of 

Real Property, including attorney fees, document preparation 

fees, and deed recording fees. 

3) The value of Real Property must be based on a recent appraisal 

for fair market value and included with the grant application. 

Recent appraisals must meet the following minimum 

requirements: 

• Be dated less than one year from the date of submission 

of the CU Mitigation Grant Application. 

• Appraisals must be prepared by a member jurisdiction 

(i.e., Maryland, New York, Pennsylvania) qualified or 

certified appraiser. 

• Appraisal reports must conform to the Uniform 

Standards of Professional Appraisal Practice. 

• Appraisal reports must show separate land and structure 

values, if structures are present. 

• Appraisal reports must contain a minimum of three (3) 

comparable properties. 

4) Real Property included as cash match to the grant application 

can only constitute 50% of the minimum required cash match. 

Applicants may apply the remaining Real Property value to InKind Match. 

h. To be eligible, cash match sources included in the SRBC grant application 

cannot be included as a cost or used to meet cost sharing or matching 

requirements of any other grant awarded funds. 

2. In-Kind Match. Includes donated goods and services as detailed below. Applicants 

may provide in-kind match towards the project. The Commission does not count inkind match towards the applicant’s required minimum cash match. However, the 

Commission may consider in-kind match in its evaluation of an application. In-kind 

match must comply with the requirements below. 
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a. In-kind match must be donated to the applicant and/or project partners within 

the grant period of performance and verifiable by the requisite documentation 

(e.g., receipts for donated equipment, volunteer timesheets). 

b. In-kind match is limited to the fair market value of donated equipment, goods, 

labor, services, and/or Real Property. 

c. Applicants may provide the remaining value of Real Property not applicable to 

the minimum cash match requirement as provided in the previous section. 

B. Permit Requirements 

Applicants must certify that they will secure all necessary permits and/or approvals prior 

to commencement of any project-related work and that all work will comply with any 

applicable permits and approvals. 

C. Other Requirements 

For a full understanding of the Commission’s grant requirements, including terms and 

conditions, please download and review the SRBC’s Grant Agreement Template. 

VI. Grants 

A. The total grant funding available may range from approximately $4 million to $6 million. 

B. Individual grant projects are anticipated to be in the range of $100,000 or more, with 

funding requests evaluated by project type and proposed activities. 

C. To be eligible for grant funds, project costs must be incurred within the grant period of 

performance as established by the grant agreement. Grant agreement start dates are 

determined by the Commission and will generally align with the Commission’s required 

project schedule start date. 

D. Projects are anticipated to span up to three years. 

E. Project schedules for which grant funding is requested must start on or after Monday, 

July 1, 2024. Project costs incurred prior to this date will not be covered by SRBC grant 

funds. 

VII. Application Procedures 

To apply for funding, the applicant must submit the online application located at 

https://www.srbc.net/our-work/grants/consumptive-use-mitigation-grant.html. 

All applications and required supplemental information must be submitted through the online 

application system by 4:00 pm on Wednesday, January 31, 2024. 
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VIII.Application Evaluation 

All applications submitted will be reviewed by the Commission to determine eligibility of the 

proposed project. Applications will be evaluated on a competitive basis using the criteria below. 

Please note bulleted questions are intended for applicant consideration only. 

Application Evaluation Criteria Summary Maximum 

Potential Points 

Project Purpose and Benefits 

30 

• How well does the proposed project mitigate consumptive use and

otherwise improve drought resilience in the Susquehanna River 

Basin? 

• Does the proposed project provide quantifiable water quantity and 

water quality benefits in the Susquehanna River Basin? 

Project Tasks – Scope of Work 

20 

• How well do the proposed tasks explain the project work to be 

completed using Commission grant funds? 

• Can the proposed project generally be implemented within a three 

year timeframe? 

Site Access, Permits and O&M 

15 

• Does the proposed project require additional site access and will it 

impact implementation within a reasonable time frame? 

• Does the proposed project require additional permits and/or 

approvals and will they impact implementation within a reasonable 

time frame? 

• How will the proposed project be maintained post-implementation? 

Grant-Funded Budget 

20 

• Is the proposed grant funded budget reasonable given the Scope of 

Work? 

• How much of the budget is dedicated to actual implementation 

(e.g., construction)? 

• What is the commitment of matching funds given the proposed 

grant-funded budget? 

Applicant Experience 

• Does the applicant have the capacity and experience to implemen 15 t 

the proposed project? 

Potential Total Baseline Points = 100 

 
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Bonus Application Evaluation Criteria Summary Maximum 

Potential Points 

Project Partners 

5 

• Does the proposed project have multiple partners providing 

resources and/or supporting implementation? 

• What level of resources and/or support are the project partners

providing during implementation of the proposed project? 

Priority Watershed 

5 • Does the proposed project provide direct water quantity and/or 

water quality benefits to a Commission identified priority 

watershed (see Priority Watersheds Map)? 

Climate Change 

• Did the proposed project meaningfully consider climate change 

projections for future temperature and precipitation, including

impacts to Susquehanna River Basin water resources? 

• How well does the proposed project improve climate resilience in 

the Basin relative to water supply, water demand, drought 

operations, and/or water quality? 

5 

Environmental Justice 

5 

• Did the applicant meaningfully involve communities in an 

environmental justice area? 

• How well will the proposed project directly benefit the 

environmental justice area relative to water affordability, legacy 

pollution, or outdoor recreation? 

Potential Total Bonus Points = 20 
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IX. Accessing Funds 

Upon approval of a grant agreement by the Commission, a commitment letter and grant agreement 

will be issued to the applicant detailing the terms and conditions of the grant. The grant agreement 

must be signed by an authorized individual and returned to the Commission within 30 days of the 

date of the commitment letter or the offer may be withdrawn by the Commission. 

The Commission provides grant funds to selected applicants (i.e., grantees) in the form of 

Reimbursement. However, applicants may request Advance Funding in their online grant 

application. The Commission reserves the right to award a grant using a different funding method 

than that preferred by the applicant. Applicants may decline a grant award made by the 

Commission. For applicant consideration only, the Reimbursement and Advance Funding methods 

are outlined as follows: 

• Reimbursement. Under this funding method the Commission will reimburse grantees 

for expenses only after they provide paid invoices and/or receipts for completed work as 

per the grant agreement, including Scope of Work and Budget. All reimbursable expenses 

must occur within the grant period of performance. 

• Advance Funding. Under this funding method the Commission will advance grant funds 

to grantees prior to commencing any work as defined by the grant agreement, including 

Scope of Work and Budget. The Commission may provide up to 25% of the total grant 

award per funding advance. Following completion of the work, grantees must provide 

the Commission with paid invoices and/or receipts showing drawdown of the funds. The 

Commission will only advance grant funds during the period of performance.

For more information on grant funding methods and their requirements, please review the 

Commission’s Grant Agreement Template.