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Exhibit 2 <br />• Sub -granting or regranting <br />• Development projects where the applicant cannot satisfactorily gain permission to <br />develop/maintain the site <br />• Development projects that are intended to correct problems caused by inadequate <br />maintenance <br />SELECTION PROCESS <br />Step 1 <br />• Applicants submit Project Proposals though the System for Online Application <br />Review (SOAR). No hardcopy Project Proposals are required. <br />• Project Proposals are reviewed and evaluated. Incomplete or ineligible Project <br />Proposals may be removed from the competitive process. <br />Step 2 <br />Field Inspections are conducted for the most competitive projects. Applicants maybe <br />required to provide additional documentation prior to a field inspection. <br />Step 3 <br />• Applicants selected to further compete submit additional documentation. <br />• Documentation is evaluated, with the most competitive projects being recommended <br />for funding. <br />Once Step 3 evaluations have been completed, recommendations are submitted to the <br />California Secretary for Natural Resources. Upon approval by the Secretary, grant <br />awards are announced. <br />All information contained in the Project Proposal and supporting documentation is <br />confidential until grant awards are announced. <br />The State reserves the right to reject any Project Proposal from an applicant who is in <br />violation of law or policy at any other public agency. Potential violations include, but are <br />not limited to, being in default of performance requirements in other contracts or grant <br />agreements issued by the State, being engaged in or suspected of criminal conduct that <br />poorly reflects or beings discredit to the State or failing to have all required licenses <br />necessary to carry out the project. <br />The State further reserves the right to reject any Project Proposal from an applicant who <br />has a history of performance issues with past grants or other agreements with any public <br />entity. <br />Tribal Consultation <br />Applicants should consult and involve Native American Tribes and stakeholder groups <br />regarding projects that affect California tribal communities. <br />5 <br />55B-14 <br />