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Article 5. Administrative Provisions of California Water Code >> Division 6. >> Part 6. >> Chapter 7.7. >> Article 5.

In developing its recommendations for the appropriation of funds pursuant to this chapter, the department shall consult with the Department of Fish and Game and other appropriate local, state, and federal agencies and interested private groups and members of the public.
(a) Programs and projects pursuant to this chapter may be undertaken by means of any of the following:
  (1) Direct expenditure by the department.
  (2) Loans to public and private agencies.
  (3) Grants to public agencies.
  (4) Any combination of paragraphs (1), (2), and (3).
  (b) All grants shall be matched by at least an equal amount from the applicant public agency.
The department may seek participation by, or a sharing of costs with, the beneficiaries of programs and projects undertaken pursuant to this chapter, including, but not limited to, public and private local entities. The department may also seek federal funds or participation by, cost sharing with, or financial assistance from, federal agencies which have related programs.
Money may be expended pursuant to this chapter for, among other purposes, acquisition of interests in real property.
The department may adopt rules and regulations as it determines to be necessary to carry out this chapter.
Any contract for a grant or loan entered into pursuant to this chapter shall include, but not be limited to, all of the following provisions:
  (a) An estimate of the reasonable cost of the project or program.
  (b) An agreement by the borrower or grantee to proceed expeditiously with, and complete, the project or program; to commence operation of any project upon completion and to properly operate and maintain the project in accordance with applicable provisions of law; to provide for the payment of the agency's share of the cost of the project or program, including the principal of, and the interest on, any state loan made pursuant to this chapter; and if appropriate, to apply for, and make reasonable efforts to secure, federal assistance for the project or program.
All loan repayments received pursuant to this chapter shall be deposited in the fund from which the loan was made.