Program 101

Program Fact Sheet

Are applications currently being accepted: YES
 

What does this program do?

This program 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 who 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, a grant 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 facilities to improve service or prevent loss of service
  • Other costs determined to be necessary for completion of the project
  • See 7 CFR Part 1780.7 and 1780.9 for a complete list

What is the loan term and rate?

  • Up to 40-year payback period, based on the useful life of the facilities financed
  • Fixed interest rates, 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 nonprofit entities that offer financial assistance are encouraged.
  • Projects must be financially sustainable.

How do we get started?

Button image for RD Apply

  • Applications are accepted year round and may be filed electronically using RD Apply. The RD Apply Customer Help Guide is provided to help you get started and work through the application process
  • Applications are also accepted through your local RD office.
  • Program resources are available online (i.e., forms, guidance, certifications, etc.).

Who can answer questions?

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

What governs this program?

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 program specialist in your local RD office for assistance or consult the program instructions listed in the section above titled "What Governs this Program?"

Forms & Resources

NOTE: Please ensure that your state is selected in the dropdown menu above to find the state office contact information, and speak to a program specialist before attempting to fill out any forms or applications. This will save you time in completing your application.

Engineering

Key WEP Engineering Resource Page

 

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

Interest Rates

Current interest rates for 1 st Quarter FY 2019, effective October 1, 2018 to December 31, 2018

Poverty:  2.375%
Intermediate:  3.250%
Market:  4.000%

Contacts

AREA OFFICES

Forrest City Area Office
 Ms. Betty Searcy, Area Specialist (Betty.Searcy@ar.usda.gov)
 Ms. Flora Pruitt, Area Specialist (Flora.Pruitt@ar.usda.gov)
 Phone: 870-633-3055 (Ext. 4)
 Fax: 855-681-7082
 USDA Service Center
 4401 N. Washington
 Forrest City, AR 72335
 Counties served: Arkansas, Crittenden, Cross, Lee, Lonoke, Monroe, Phillips, Prairie, Pulaski, St. Francis, White, and Woodruff Counties.

Fort Smith Area Office
 Mr. Jamie Scott, Area Specialist (Jamie.Scott@ar.usda.gov)
 Phone: 479-646-8300 (Ext. 4)
 Fax: 877-504-6540
 USDA Service Center
 3913 Brooken Hill Drive, Suite 400
 Ft. Smith, AR 72908-9289
 Counties served: Conway, Crawford, Franklin, Faulkner, Johnson, Logan, Perry, Pope, Sebastian, Scott, Van Buren, and Yell Counties.

Harrison Area Office
 Mr. Neal Hodges, Area Specialist (Neal.Hodges@ar.usda.gov)
 Phone: 870-741-8600 (Ext. 4)
 Fax: 855-681-7080
 Federal Building, Room 219
 402 N. Walnut
 Harrison, AR 72601
 Counties served: Baxter, Benton, Boone, Carroll, Fulton, Izard, Madison, Marion, Newton, Searcy, Stone, and Washington Counties

Hope Area Office
 Ms. Beckie Buck, Area Specialist (Rebecca.Buck@ar.usda.gov)
 Phone: 870-777-8800 (Ext. 4)
 Fax: 855-747-7792
 USDA Service Center
 300 W. Commerce Blvd., Suite D (Mail to P. O. Box 768)
 Hope, AR 71802
 Counties served: Clark, Garland, Hempstead, Hot Spring, Howard, Lafayette, Little River, Miller, Montgomery, Nevada, Pike, Polk, Saline, and Sevier Counties

Jonesboro Area Office
 Mr. Keith Huskey, Area Specialist (Keith.Huskey@ar.usda.gov)
 Phone: 870-741-8600 (Ext. 4)
 Fax: 855-681-7080
 USDA Service Center
 3407 S. Caraway, Suite 4
 Jonesboro, AR 72404
 Counties served: Clay, Cleburne, Craighead, Green, Independence, Jackson, Lawrence, Mississippi, Poinsett, Randolph, and Sharp Counties.

Monticello Area Office [INTERIM BASIS]
 Ms. Betty Searcy, Area Specialist (Betty.Searcy@ar.usda.gov)
 Ms. Flora Pruitt, Area Specialist (Flora.Pruitt@ar.usda.gov)
 Phone: 870-633-3055 (Ext. 4)
 Fax: 855-681-7082
 USDA Service Center
 419 W. Grimes Street, Suite 4
 Monticello, AR 71655
 Counties served: Ashley, Bradley, Calhoun, Chicot, Cleveland, Columbia, Dallas, Desha, Drew, Grant, Jefferson, Lincoln, Ouachita, and Union Counties.


STATE OFFICE

Mr. Stephen Lagasse, Community Programs Director (Stephen.Lagasse@ar.usda.gov)
 Phone: 501-301-3265
 Fax:  855-747-7800

Mr. David Kirchner, Community Programs Specialist (David.Kirchner@ar.usda.gov)
 Phone: 501-301-3265
 Fax:  855-747-7800

Ms. Lauren Chambers, State Engineer (Lauren.Chambers@ar.usda.gov)
 Phone: 501-301-3265
 Fax:  855-747-7800