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Consortium seeks clarity on CREZ award letters as $120,000 operations gap constrains work

Morrow County Clean Water Consortium · November 14, 2025
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Summary

Morrow County Clean Water Consortium staff said CREZ award letters appear limited to capital spending, leaving about $120,000 a year available for operations against estimated $300,000 annual needs; staff will seek official clarification and consider partner contributions or SEP/OHA funds.

Consortium staff told the Morrow County Clean Water Consortium on Nov. 1 that the three CREZ award letters they reviewed appear to restrict those funds to capital improvements, complicating efforts to cover ongoing administrative and operational costs.

Why it matters: The consortium estimated an operational budget near $300,000 per year for core functions such as engineering oversight, outreach and a managing director, while the committed revenues currently available for operations total about $120,000 from partner contributions. Without explicit permission to use certain awards for operations, staff said, the consortium will struggle to fund day‑to‑day management needed to move capital projects forward.

Staff asked the board for direction on three options: seek increased partner contributions, formally request an amendment or clarification of award letters to allow some operational spending, or pursue SEP or other one‑time funds and plan to request administrative allocations as part of project grants. The consortium’s fiscal contact reported award letters on file that reference capital use; staff offered to contact the CREZ manager (referred to in the meeting as Chris) to request written clarification prior to the next meeting.

Members noted that recipient practices vary: some organizations treat CREZ funds de facto as capital-only while using other donation streams or allotted administration percentages to pay for overhead. Board members suggested an easy first step: ask the CREZ manager in writing whether any portion of the award can be allocated for administration, and circulate the award letters and minutes to the group for review.

Next steps: Staff will request written clarification from CREZ and circulate award-letter documentation before the next meeting; the board discussed amending minutes or orders if they conflict with award-letter language.