(1) Any person, association, or representative of a governing unit may submit an application for funding of a cultural and aesthetic project from the income of the trust fund. The term "governing unit" includes state, regional, county, city, town, or Indian tribe. The governing unit may itself seek funds or sponsor the application of other persons, organizations, associations or coalitions of organizations.

(a) The applicant is defined as the governing unit submitting the application and having fiscal and legal responsibility for the project.

(b) The benefitting organization is defined as the organization directly benefitting from the grant whether it is the applicant or another organization, association or coalition of organizations.