The executive administrator will prioritize applications based on the following point system:
  (1) Projects will be evaluated on the criteria provided in paragraphs (2) - (5) of this section. The points awarded for paragraphs (2) - (5) of this section shall be the lesser of the sum of the points for paragraphs (2) - (5) of this section, or 50 points.
  (2) Either stand-alone projects or projects in conjunction with other recommended water management strategies relying on the same volume of water that the project relies on, in accordance with Chapter 357 of this title (relating to Regional Water Planning), that will serve in total when the project water supply volume is fully operational:
    (A) at least 10,000 population, but not more than 249,999 population, 6 points; or
    (B) at least 250,000 population, but not more than 499,999 population, 12 points; or
    (C) at least 500,000 population, but not more than 749,999 population, 18 points; or
    (D) at least 750,000 population, but not more than 999,999 population, 24 points; or
    (E) at least 1,000,000 population, 30 points; or
    (F) less than 10,000 population, zero points.
  (3) Projects that will serve a diverse urban and rural population:
    (A) serves one or more urban populations and one rural population, 10 points; and
    (B) for each additional rural population served, 4 points up to a maximum of 30 points; or
    (C) serves only an urban population, or only a rural population, zero points.
  (4) As specified in the application, projects which provide regionalization:
    (A) serves additional entities other than the applicant, 5 points per each political subdivision served for a maximum of 30 points; or
    (B) serves only applicant, zero points.
  (5) Projects that meet a high percentage of the water supply needs of the water users to be served calculated from those served and needs that will be met during the first decade the project becomes operational, based on state water plan data:
    (A) at least 50 percent of needs met, 10 points; or
    (B) at least 75 percent of needs met, 20 points; or
    (C) at least 100 percent of needs met, 30 points; or
    (D) less than 50 percent of needs met, zero points.
  (6) Projects will receive additional points of the project's score on each of the criteria of paragraphs (17) - (12) of this section.
  (7) Local contribution to be made to implement the project, including federal funding, and including up-front capital, such as funds already invested in the project or cash on hand and/or in-kind services to be invested in the project, provided that points will not be given for principal forgiveness or grants from the board:
    (A) other funding at least 10 percent, but not more than 19 percent, of total project cost, 1 point; or
    (B) other funding at least 20 percent, but not more than 29 percent, of total project cost, 2 points; or
    (C) other funding at least 30 percent, but not more than 39 percent, of total project cost, 3 points; or
    (D) other funding at least 40 percent, but not more than 49 percent, of total project cost, 4 points; or
    (E) other funding at least 50 percent of total project cost, 5 points; or
    (F) other funding less than 10 percent of total project cost, zero points.
  (8) Financial capacity of the applicant to repay the financial assistance provided:
    (A) applicant's household cost factor is less than or equal to 1 percent, 2 points; or
    (B) applicant's household cost factor is greater than 1 percent but not more than 2 percent, 1 point; or
    (C) applicant's household cost factor is greater than 2 percent, zero points.
  (9) Projects which address an emergency need:
    (A) applicant, or entity to be served by the project, is included on the list maintained by the Commission of local public water systems that have a water supply that will last less than 180 days without additional rainfall, or is otherwise affected by a Commission emergency order, and drought contingency plan has been implemented by the applicant or entity to be served, 3 points; plus
    (B) water supply need is anticipated to occur in an earlier decade than identified in the most recent state water plan, 1 point; plus
    (C) applicant has used or applied for federal funding for emergency, 1 point; or
    (D) none of the above, zero points.
  (10) Projects which are ready to proceed:
    (A) preliminary planning and/or design work (30 percent of project total) has been completed or is not required for the project, 3 points; plus
    (B) applicant is able to begin implementing or constructing the project within 18 months of application deadline, 3 points; plus
    (C) applicant has acquired all water rights associated with the project or no water rights are required for the project, 2 points; or
    (D) none of the above, zero points.
  (11) Entities that have demonstrated water conservation or projects which will achieve water conservation, including preventing the loss of water:
    (A) for municipal projects, applicant has already demonstrated significant water conservation savings, as determined by comparing the highest rolling four-year average total gallons per capita per day within the last twenty years to the average total gallons per capita per day for the most recent four-year period based on board water use data; or significant water conservation savings will be achieved by implementing the proposed project, as determined by comparing the conservation to be achieved by the project with the average total gallons per capita per day for most recent four-year period:
      (i) 2 to 5.9 percent total gallons per capita per day reduction, 2 points; or
      (ii) 6 to 9.9 percent total gallons per capita per day reduction, 4 points; or
      (iii) 10 to 13.9 percent total gallons per capita per day reduction, 6 points; or
      (iv) 14 to 17.9 percent total gallons per capita per day reduction, 8 points; or
      (v) 18 percent or greater total gallons per capita per day reduction, 10 points; or
      (vi) less than 2 percent total gallons per capita per day reduction, zero points.
    (B) for municipal projects, applicant has achieved the water loss threshold established by §358.6 of this title (relating to Water Loss Audits), as demonstrated by most recently submitted water loss audit:
      (i) less than the threshold, 5 points; or
      (ii) at or above the threshold, zero points.
    (C) for wholesale water providers, applicant has already demonstrated significant water conservation savings, as determined by comparing the highest rolling four-year average total gallons per capita per day within the last twenty years to the average total gallons per capita per day for the most recent four-year period based on board water use data for customers affiliated with the application; or significant water conservation savings will be achieved by implementing the proposed project, as determined by comparing the conservation to be achieved by the project with the average total gallons per capita per day for the most recent four-year period for customers affiliated with the application.
      (i) 2 to 5.9 percent total gallons per capita per day reduction, 2 points; or
      (ii) 6 to 9.9 percent total gallons per capita per day reduction, 4 points; or
      (iii) 10 to 13.9 percent total gallons per capita per day reduction, 6 points; or
      (iv) 14 to 17.9 percent total gallons per capita per day reduction, 8 points; or
      (v) 18 percent or greater total gallons per capita per day reduction, 10 points; or
      (vi) less than 2 percent total gallons per capita per day reduction, zero points.
    (D) for agricultural projects, significant water efficiency improvements will be achieved by implementing the proposed project, as determined by the projected percent improvement:
      (i) 1 to 1.9 percent increase in water use efficiency, 1 point; or
      (ii) 2 to 5.9 percent increase in water use efficiency, 3 points; or
      (iii) 6 to 9.9 percent increase in water use efficiency, 6 points; or
      (iv) 10 to 13.9 percent increase in water use efficiency, 9 points; or
      (v) 14 to 17.9 percent increase in water use efficiency, 12 points; or
      (vi) 18 percent or greater increase in water use efficiency, 15 points; or
      (vii) less than 1 percent increase in water use efficiency, zero points.
  (12) If two or more projects receive the same priority ranking, priority will be assigned based on the relative score(s) from paragraph (11) of this section. If after considering the relative scores of the projects based on the criteria of paragraph (11) of this section, then priority will be assigned based on the relative score(s) from paragraph (9) of this section.

Source Note: The provisions of this §363.1304 adopted to be effective November 26, 2014, 39 TexReg 9209; amended to be effective February 3, 2021, 46 TexReg 832; amended to be effective May 1, 2022, 47 TexReg 2550