Grant Program to Establish a Fund for Financing Water and Wastewater Projects


To make grants to private, nonprofit organizations to establish a revolving loan fund to make small, short term loans for pre-development or small capital water or waste disposal projects.

General information about this opportunity
Last Known Status
Program Number
Federal Agency/Office
Rural Utilities Service, Department of Agriculture
Type(s) of Assistance Offered
B - Project Grants
Program Accomplishments
Not applicable.
Consolidated Farm and Rural Development Act, as amended, Section 6002, Public Law 107-171, 7 U.S.C. 1926e.
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
An applicant must be a private organization, organized as a non-profit corporation. The applicant must have the legal capacity and authority to perform the obligations of the grant. The applicant must have sufficient expertise and experience in making and servicing loans.
Beneficiary Eligibility
Municipalities, counties, and other political subdivisions of a State, such as districts and authorities, associations, cooperatives, corporations operated on a not-for-profit basis, Indian tribes on Federal and State reservations and other Federally recognized Indian tribes. Facilities shall primarily serve rural residents and rural businesses. The service area shall not include any area in any city or town having a population in excess of 10,000 inhabitants according to the latest decennial census of the United States. The loan recipient must be unable to finance the proposed project from their own resources or through commercial credit at reasonable rates and terms. The loan recipient must have or will obtain the legal authority necessary for owning, constructing, operating and maintaining the proposed service or facility, and for obtaining, giving security for, and repaying the proposed loan.
Evidence of legal capacity, economic feasibility, ability to administer and service a revolving loan fund, commitment and sources of financial resources the organization controls.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. The Water and Environmental Programs of the USDA Rural Utilities Service administers the program. Application Form SF-424 is filed at the National Office in Washington, DC, from which assistance may be obtained.
Award Procedure
The Water and Environmental Programs staff in Washington, DC, will review and process the application. Following completion of application processing requirements and grant approval, funds are made available to the applicant.
Contact the headquarters or regional location, as appropriate for application deadlines
Approval/Disapproval Decision Time
From 30 to 60 days. From 30 to 60 days.
If an application is rejected, the reasons for rejection are stated fully. The applicant may request a review of this decision at the RUS National level.
Not applicable.
How are proposals selected?
RUS assistance for grant projects will be directed toward truly rural areas and rural communities. Considerations for available funds emphasize such criteria as; population, low income, unemployment; health and sanitary problems. RUS financed facilities will not be inconsistent with any development plans of the State, multi-jurisdictional area, county, or municipality in which the proposed project is located.
How may assistance be used?
Grant funds will be used to establish and maintain a revolving loan fund to finance pre-development costs associated with proposed water and wastewater projects or with existing water and wastewater systems, and short-term costs incurred for replacement equipment, small-scale extension of services, or other small capital projects that are not part of the regular operations and maintenance activities of existing water and wastewater systems.
What are the requirements after being awarded this opportunity?
Not applicable.
In accordance with the provisions of 2 CFR 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements, Subpart F, Audit Requirements (Revised, December 26, 2013)nonfederal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Subpart F. Annual audit or Management Report
Records and accounts are required to reflect the project operations.
Other Assistance Considerations
Formula and Matching Requirements
Statutory formula is not applicable to this assistance listing.

Matching is voluntary. 20%. Applicants must provide funds from other sources equal to at least 20 percent of the RFP grant.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
A time limitation is not specified for the RUS grant funds. Funds will be awarded when all RUS requirements are met and the project can be completed on a timely basis. Funds will be awarded when all RUS requirements are met and the project can be completed on a timely basis.
Who do I contact about this opportunity?
Regional or Local Office
Consult your local telephone directory for Rural Development local number. If no listing, get in touch with the appropriate Rural Development State Office listed in Appendix IV of the Catalog.
Headquarters Office
Assistant Administrator, Water and Environmental Programs,
Rural Utilities Service, 1400 Independence Ave., SW, Stop 1548
Washington, DC 20250 US
Phone: (202) 690-2670.
Website Address
Financial Information
Account Identification
(Project Grants) FY 18$1,000,000.00; FY 19 est $1,000,000.00; FY 20 est $1,000,000.00; -
Range and Average of Financial Assistance
$250,000 to $500,00. Average grant: $333,333
Regulations, Guidelines and Literature
7 CFR 1783, Grant Program to Establish a Fund for Financing Water and Wastewater Projects; The Revolving Fund Program 2005 Grant Application Guide.
Examples of Funded Projects
Not applicable.


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