(1) Own property in this State that:

(i) Has an existing failed septic system; or

(ii) Is unimproved, was platted before 1972, and has failed percolation testing requirements;

(2) Have made a good faith effort to obtain approval of or to utilize a conventional septic system;

(3) Agree to conditions of experiment as outlined by the Office of Environmental Programs; and

(4) Only apply for 1 grant to serve 1 home site to upgrade an existing system or to improve 1 unimproved site with a new home and innovative and alternative septic system.

(b) This section does not apply to the development of an unimproved parcel of land that is proposed to be subdivided into building lots.