Section 33. The division may make a grant to a public entity for the eligible costs of a planning, design or construction project for abatement facilities where the federal government has awarded the public entity a grant pursuant to Title II of the FWPCA, as amended.

Where (i) the federal government has awarded a seventy-five per cent grant for the eligible costs of the project, the division may award a fifteen per cent grant for such eligible project costs, or (ii) the federal government has awarded a fifty-five per cent grant for the eligible costs of the project the division may award a thirty-five per cent grant for such eligible project costs; provided, however, that in the event the grant awarded by the federal government is less than seventy-five per cent or fifty-five per cent of such eligible costs, as the case may be, the division may award a grant in such amount to assure that the public entity's share of the eligible costs of such project does not exceed ten per cent; or (iii) that in the event that a project eligible for such a federal grant has not been awarded a federal grant, the divisions may award a grant of up to thirty-five per cent of the eligible costs of such project; or (iv) that in the event that a combined sewer outfall project or a project eligible for such a federal grant has not been awarded a federal grant, the division may, in fiscal years nineteen hundred and eighty-six through nineteen hundred and ninety-four, inclusive, award a grant of up to seventy percent of the eligible costs of such project. Where, because the project entails the use of innovative or alternate technology, the federal government has awarded an eighty-five per cent grant for the eligible costs of the project, the division may award a nine per cent grant for such eligible project costs; provided, however, that in the event the grant awarded for such a project is less than eighty-five per cent the division may award a grant in such amount to assure that public entity's share of the eligible costs of such project does not exceed six per cent.

In the event that the federal government does not award grants for the planning and design of such facilities, the division may advance such funds as may be necessary to enable the public entity to complete the eligible portions of said approved projects; provided, that funds advanced for planning and design shall be considered part of the total grant for said project, and the division shall deduct from the construction grant such sums as it deems necessary. The division may award grants in an amount not exceeding ninety per cent of the approved eligible costs for the planning and design of such facilities; provided, however, that in the event the federal government includes an allowance for such costs in their construction grant, the division shall deduct from its construction grant such sums as it deems necessary.

Payments of financial assistance by the commonwealth pursuant to this section shall be made in accordance with a payment schedule established by the division with the approval of the commissioner of administration. The division may require any information from the public entity necessary to ensure that the public entity is complying with the conditions of the grant awarded for the project, and the division may withdraw its approval of the project if such information is not supplied or if the public entity is not complying with the conditions of the grant. Nothing in this section shall be construed to prevent the division from conditioning the grant of financial assistance under this section, or section thirty A or thirty-one upon the establishment of a district or other intermunicipal arrangement for the purpose of abating water pollution.