Program 101

Program Status: Open
Program Fact Sheet: PDF

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What does this program do?

Provides funding for clean and reliable drinking water systems, sanitary sewage disposal, sanitary solid waste disposal, and storm water drainage to households and businesses in eligible rural areas.

Who may apply?

This program assists qualified applicants that are not otherwise able to obtain commercial credit on reasonable terms. Eligible applicants include:

What is an eligible area?

Areas that may be served include:

What kinds of funding are available?

  • Long-term, low-interest loans
  • If funds are available, grants may be combined with a loan if necessary to keep user costs reasonable

How may the funds be used?

Funds may be used to finance the acquisition, construction or improvement of:

  • Drinking water sourcing, treatment, storage and distribution
  • Sewer collection, transmission, treatment and disposal
  • Solid waste collection, disposal and closure
  • Storm water collection, transmission and disposal

In some cases, funding may also be available for related activities such as:

  • Legal and engineering fees
  • Land acquisition, water and land rights, permits and equipment
  • Start-up operations and maintenance
  • Interest incurred during construction
  • Purchase of existing facilities to improve service or prevent loss of service
  • Other costs determined to be necessary for completion of the project
  • For a complete list, see 7 CFR Part 1780.7 and 1780.9

What is the loan term and rate?

  • Up to 40-year payback period, based on the useful life of the facilities financed
  • Fixed interest rate
  • The interest rate is based on the need for the project and the median household income of the area to be served
  • Contact us for details and current interest rates applicable for your project

Are there additional requirements?

  • Borrowers must have the legal authority to construct, operate and maintain the proposed services or facilities
  • All facilities receiving federal financing must be used for a public purpose
  • Partnerships with other federal, state, local, private and non-profit entities that offer financial assistance are encouraged
  • Projects must be financially sustainable

How do we get started?

  • Applications for this program are accepted through your local offices year round
  • Program Resources are available online (i.e. forms, guidance, certifications, etc.)

Who can answer questions?

  • Contact the local representative who serves your area
  • Participating non-profits in your area may also offer assistance and training

What governs this program?

  • Basic Program – 7 CFR, Part 1780
  • Loan Servicing – 7 CFR, Part 1782
  • This program is authorized by Section 306 of the Consolidated Farm and Rural Development Act (CONACT)

Why does USDA Rural Development do this?

This program helps very small, financially distressed rural communities extend and improve water and waste treatment facilities that serve local households and businesses. Good practices can save tax dollars, improve the natural environment, and help manufacturers and businesses to locate or expand operations.

NOTE: Program details may change over time. Before you begin an application, please confirm you have the most current information by contacting a specialist in your local office for assistance or consult the program instructions listed in the section above titled "What Governs this Program?"

Forms & Resources

NOTE: If state specific forms are not shown above, please ensure that your state is selected in the dropdown menu above to find the State Office contact information and speak to a Specialist before attempting to fill out any forms or applications. This will save you valuable time in your application.


Key WEP Engineering Resource Page


Individual states will have particular requirements based on state and local regulations. Please contact the state office in the state where your project is located.

Interest Rates

Current interest rates for 4th Quarter 2016, effective October 1 -December 31, 2016

Poverty:  1.375%
Intermediate:  1.875%
Market:  2.375%


State Office:

Main Phone Number: (530) 792-5800

USDA Rural Development
Attn: Water Programs
430 G St, Agency 4169
Davis, CA 95616

Pete Yribarren, California Water Programs Director
(805) 928-9269 ext. 107

Dave Hartwell, CP Specialist
(530) 792-5817

Katie Schmitt, CP Specialist
(530) 792-5827

Lisa Butler, CP Specialist
(559) 734-8732 ext. 103

Christina Swegles, CP Specialist
(760) 948-4138

Mike Starinsky, Engineer
(530) 792-5814

Robert Neilson, Engineer
(559) 724-8732 ext.113

Lantenna Hungate, CP Technician
(530) 792-5815

Local Offices:

Northern California Region

Lassen, Modoc, Plumas, Shasta and Tehama Counties
Mike Colbert, Alturas Office
(530) 233-4137 ext. 112

Angela Cross, Alturas Office
(530) 233-4137 ext. 113

Siskiyou and Trinity Counties
Kevin DeMers, Yreka Office
(530) 842-6123 ext. 112

Butte, Colusa, Glenn, Sutter and Yuba Counties
Colleen Crowden, Oroville Office
(530) 533-4401 ext. 123

Alameda, San Benito, San Mateo, Santa Clara and Santa Cruz Counties
Katie Schmitt, Davis Office
(530) 792-5827

El Dorado, Nevada, Placer, Sacramento, Sierra, Solano and Yolo Counties
Doug Colucci, Elk Grove Office
(916) 714-1104 ext. 106

Michael Velez, Auburn Office
(530) 885-6505 ext. 101

Del Norte, Humboldt, Lake, Marin, Mendocino, Napa, San Francisco and Sonoma Counties
Reef Atwell, Santa Rosa Office
(707) 536-0246

Quinn Donovan, Santa Rosa Office
(707) 536-0248

Central California Region

Alpine, Amador, Calaveras, Contra Costa, Mono and San Joaquin Counties
Frank Risso
(916) 425-4768

Mariposa, Merced, Stanislaus and Tuolumne Counties
Jose Guardado, Modesto Office
(209) 538-3783

Tonja Galentine, Modesto Office
(209) 491-9320 ext. 101

Fresno County
Sally Tripp, Fresno Office
(559) 276-7494 ext. 132

Inyo, Kern and Madera Counties
Antonio Ybarra, Fresno Office
(559) 276-7494 ext. 138

Kings and Tulare Counties
Lisa Butler, Area Specialist
(559) 734-8732 ext. 103

Southern California Region

Monterey, San Luis Obispo, Santa Barbara and Ventura Counties
Al Correale, Area Specialist
(805) 928-9269 ext. 119

Imperial, Los Angeles, Orange, Riverside, San Bernardino and San Diego Counties
Luis Andrade, Area Specialist
(760) 355-2208 ext. 108

Daniel Cardona, Area Specialist
(760) 355-2208 ext. 107