Water & Waste Disposal Predevelopment Planning Grants in Arkansas

What does this program do?

This program helps eligible low-income communities plan and develop applications for proposed USDA Rural Development water or waste disposal projects.

Who may apply?

• Most state and local
  governments
• Nonprofit organizations
• Federally-recognized Tribes

What is an eligible area?

• Rural areas and towns with populations of 10,000 or less. Check eligible addresses
• Federally recognized tribal lands
• Colonias  

NOTE: The area must have a median household income below the poverty line or less than 80 percent of the statewide non-metropolitan median household income.

How may the funds be used?

This program helps eligible low income communities plan and develop applications for proposed USDA Rural Development water or waste disposal projects.

What are the terms for grants?

• Grants may not be used to pay for work already completed.
• For projects eligible under several programs, the amount of the pre-development or SEARCH grant will be subtracted from the total grant eligibility as determined in underwriting for the water or waste disposal project.
• These grants do not have to be paid back if the application for the USDA direct loan or loan/grant combination is not successful.
• Grants are based on demonstrated need and subject to the availability of funds.
• Partnerships with other federal, state and local entities are encouraged, and grants are awarded only when the applicant cannot afford to borrow the needed funds.

What are the grant terms?

• Grants cannot be used to pay for work already completed.
• The amount of the grant will be subtracted from the total grant eligibility if a USDA grant is awarded for part of the water or waste disposal project.
• These grants do not have to be paid back if the application for the USDA direct loan or loan and grant combination is not successful.
• Grants are based on demonstrated need and availability of funds.
• Partnerships with other federal, state, and local organizations are encouraged, and grants are awarded only when the applicant cannot afford to borrow the needed funds.

Is there a maximum grant amount?

Maximum of $60,000 or 75 percent of the predevelopment planning costs.

Are matching funds required?

Yes, at least 25 percent of the project cost must come from the applicant or third-party sources. In-kind contributions do not count toward this minimum.

How do we get started?

• Applications for this program are accepted year round through your local RD office.
• Program resources - forms needed, guidance, certifications, are available.

Who can answer questions?

• Help is always available through your local RD office.
• Participating non-profit associations also offer assistance and training. You can work with your local Rural Development staff to learn about available help in your area.

What governs this program?

• Code of Federal Regulations, 7 CFR 1780
• Section 306 of the Consolidated Farm and Rural Development Act