Any locality may by ordinance create a local Stormwater Management Fund consisting of appropriated local moneys for the purpose of granting funds to an owner of private property or a common interest community for stormwater management and erosion prevention on previously developed lands. Grants from such fund shall be used only for (i) the construction, improvement, or repair of a stormwater management facility; (ii) erosion and sediment control; (iii) joint flooding mitigation projects of condominium owners; or (iv) flood mitigation and protection measures that are part of a comprehensive flood mitigation and protection plan adopted by the locality. Grants made pursuant to clause (iv) shall, where practicable, prioritize projects that include nature-based practices.