7 CFR §622.10

1. (a)Watershed projects are sponsored by one or more local organizations qualifying as sponsors. All watershed plans must be sponsored by entities legally organized under State law or by any Indian Tribe or Tribal organization having the authority to carry out, operate, and maintain works of improvement.
   1. (1)In General. Those plans that incorporate the use of nonstructural or structural measures must be sponsored by organizations that, individually or collectively, have:
      1. (i)The power of eminent domain, except as provided in paragraph (a)(2) of this section; and
      2. (ii)The authority to levy taxes or use other adequate funding sources, to finance their share of the watershed project cost and all operation and maintenance costs.
   2. (2)Exception. Paragraph (a)(1)(i) of this section does not apply to Indian Tribes or Tribal organizations.
2. (b)To receive Federal assistance for project installation, sponsors must commit themselves to use their powers and authority to carry out and maintain the project as planned.