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USDA Invests $256 Million in Water Infrastructure in Rural Communities

Name
Tammi Schone
City
Little Rock
Release Date

Assistant to the Secretary for Rural Development Anne Hazlett today announced that the U.S. Department of Agriculture (USDA) is investing $256 million in 81 projects to improve water and wastewater infrastructure in rural areas in 35 states.

“These investments underscore USDA’s commitment to improving rural infrastructure,” Hazlett said. “Through a strong partnership with rural America, USDA is ensuring that rural residents and businesses have the modern, reliable infrastructure services they need to support the quality of life in rural America.”

During her keynote address at the state’s Arkansas Rural Development conference, Hazlett spoke about USDA’s longstanding partnership with state and local officials to improve the quality of life in rural communities. She met with various representatives on issues important to rural Arkansas residents and businesses, such as ways USDA is partnering with local communities to support opioid treatment, prevention and recovery services. She also highlighted USDA efforts to support e-Connectivity in the state.

South Dakota is receiving one of the 81 rural water and wastewater infrastructure projects Hazlett announced during the conference.  Mid-Dakota Rural Water System has been awarded a $31,272,000 USDA loan.  This Rural Development investment will be used to help alleviate low pressure and capacity issues in the Mid-Dakota Rural Water System and will aid in providing additional water resources to meet current and future demands.

“Strong infrastructure is critical to keeping South Dakota’s communities thriving, and USDA is proud to help improve the livelihood of our towns by providing access to reliable water and wastewater systems,” said Julie Gross, USDA Rural Development South Dakota State Director.  “Projects like these are critical to the economy, health, and future of our rural areas, and today 25 million South Dakota residents now have improved water and wastewater services.”

The project will install 17.5 miles of waterline parallel to the existing waterline along Highway 14 between Highmore and Wolsey. In addition, a new 1.5-million-gallon water tower will be constructed in Highmore to increase above-ground storage.  A booster station will be constructed near Wolsey to increase flow and pressure to all users and meet the demands of the current users.  Mid-Dakota's service area covers about 7,000 square miles, including 16 communities in 14 counties.  This project will serve approximately 6.5 percent of the rural population in South Dakota.  Additional funding includes a $3.8 million Rural Development Water & Waste Disposal Guarantee through CoBank, the first of its kind done in South Dakota.

The recently enacted Fiscal Year (FY) 2018 Omnibus spending bill includes a significant boost in financial support for water and wastewater projects. It provides $5.2 billion for USDA loans and grants, up from $1.2 billion in FY 2017. It also directs Agriculture Secretary Perdue to make investments in rural communities with the greatest infrastructure needs.

In addition to the 2018 bill, President Trump has proposed a $200 billion infrastructure plan. Twenty-five percent of new federal money ($50 billion of $200 billion) would be allocated to rural projects.

The loans and grants Hazlett announced today are being awarded through USDA’s Water and Waste Disposal Loan and Grant program. The funds can be used to finance drinking water, storm water drainage and waste disposal systems for households and businesses in communities with 10,000 or fewer residents.

In April 2017, President Donald J. Trump established the Interagency Task Force on Agriculture and Rural Prosperity to identify legislative, regulatory and policy changes that could promote agriculture and prosperity in rural communities. In January 2018, Secretary Perdue presented the Task Force’s findings to President Trump. These findings included 31 recommendations to align the federal government with state, local and tribal governments to take advantage of opportunities that exist in rural America. Increasing investments in rural infrastructure is a key recommendation of the task force.

To view the report in its entirety, please view the Report to the President of the United States from the Task Force on Agriculture and Rural Prosperity (PDF, 5.4 MB). In addition, to view the categories of the recommendations, please view the Rural Prosperity infographic (PDF, 190 KB).

USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports infrastructure improvements; business development; housing; community services such as schools, public safety and health care; and high-speed internet access in rural areas. For more information, visit www.rd.usda.gov.