Why Does Funding Go To FLTF and Not the Counties?

Where funding and grants are directed depends on the funding source.

• For federal matching grants, a project is approved by the federal government, and once the work is completed, the supplier or contractor sends an invoice to FLTF. FLTF then submits the invoices to the USDA (United States Department of Agriculture). For the approximately $30 million of funding, the federal grant holds the money, not FLTF or the county

• For state funds that are specific to lake restoration, the State of Michigan holds the funds and allows FLTF to draw money from the funds. FLTF then submits invoices to demonstrate the use of the funds, and then the state allows another draw of funds. We expect this will occur the same way for funds currently being considered in legislation. Funds are designated to the “delegated authority of the county.” A project is approved through a bidding process. During projects, the state holds the funds and there are progressive payments based on completion of work and verification of funds spent
• Private donations and grants have been given directly to FLTF as a 501(c )(3) non-profit organization. We are obliged to account for them and how they’re spent, and fulfill any reporting requirements the donor requires
• For funds spent by the county from its general funds, or funds spent from the Four Lakes Special Assessment District, the counties must approve the funds and oversee the collection of the funds. The counties also have the authority to audit and request reports for funds acquired through assessments. To date, NO funds from the counties or the Four Lakes Special Assessment District have been used by FLTF for the recovery or restoration of the lakes.

FLTF is the delated authority of the counties, through county resolution and a contract with FLTF. The counties’ contract with FLTF requires annual audited reporting but specifically recognizes that FLTF plays the role of general contractor for FLTF. The counties look to FLTF to seek grants and other sources of funding to lower the financial burden on the counties and Special Assessment District.
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For funds directed for restoration or recovery, FLTF must follow the process of the grantor, whether that is a federal, state, county or private donor. Much of the state or federal funds remain with them.