USDA Offers $5 Billion in Loan/Grant Funds for Water Systems and Wastewater Treatment Plants

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   USDA’s Rural Utilities Service has more than $4 billion in Direct loan funds and $1 billion in grant funds available for rural community water and wastewater system improvements.  In Fiscal Year 2018 Congress provided a historic amount of resources for this type of infrastructure.

   The funding is available for small towns (populations of 10,000 or fewer) to construct a water tank, install new water or sewer lines, or build a wastewater treatment plant along with a myriad of other projects.  USDA’s Water and Environmental Program (WEP) offers long-term low-interest loans and grants.

   “Reliable infrastructure is a necessity for any community to thrive and when we address this need, many other challenges in rural places become much more manageable,” said USDA Rural Development State Director Karl Elmshaeuser.  “I encourage rural communities to utilize the funds available to help strengthen their water and wastewater systems.”

   Rural community leaders can apply electronically by using our interactive RDApply application or for more information about USDA’s funding or contacts visit

   USDA WEP eligibility information is available at




Last Modified: 07/13/2018