USDA/Rural Development/Rural Utilities Service (RUS) administers water and wastewater loan and grant programs to improve the quality of life and promote economic development in Rural America.

Applicant Eligibility

Funds are made available to public entities such as incorporated towns, water and/or sewer districts, counties, Indian Tribes, and cooperatives. The community must have a population of 10,000 or less, but priority is given to communities of 5,500 or less. Population and income are determined by using census data provided by the latest ten-year census.

Project Eligibility

Direct loans and grants may be made to develop or improve water and wastewater systems, solid waste disposal and storm drainage in rural areas. The purpose of the grant program is to reduce the user fees to the level of those fees paid by users of comparable systems. Grant eligibility is based on financial need, population, health considerations, and other criteria. Maximum grant assistance is limited to 75% of the total project costs. The median household income of the community will determine the amount of grant assistance for which the community will be eligible.

Application Process

RUS has an open application cycle which means applications may be received and funded at any time during the year.