Section 306C Water and Waste Disposal Grants to alleviate health risks

Purpose: To provide water and waste disposal facilities and services to low income rural communities whose residents face significant health risks. Every effort is made to identify and fund the neediest projects.

Eligibility: These funds have been set aside for eligible projects that benefit members of Federally Recognized Native American Tribes and the Colonias area. Colonias is a term used to describe subdivisions that exist outside incorporated areas located along the United States-Mexico border. Colonias are generally characterized as small communities with inadequate drinking water, poor sanitary waste disposal facilities, and substandard housing. Residents of the rural area to be served must face significant health risks due to the fact that a significant proportion of the community residents do not have access to, or are not served by, adequate, affordable, water and/or waste disposal systems. Documentation to support the poor sanitary waste disposal and health risks should be provided to USDA.

Requirements: The use of RD loan funds, as well as funds from other sources, in conjunction with the grant funds is strongly encouraged whenever feasible to maximize the investment. Generally, applicants are expected to borrow as much as they can afford to repay, as in the regular loan program. However, water and waste disposal systems can obtain up to 100 percent grants to construct basic drinking water, sanitary sewer, solid waste disposal and storm drainage to serve the residents of Colonias. Also, under this program, the systems can obtain funds to provide grant assistance directly to individuals to install necessary indoor plumbing like bathrooms and pay other costs of connecting to the system.

Basic Instruction: RUS Instruction 1777

Where to apply: Applications are accepted at any time through our Rural Development State and Area Offices. To locate an office near you go to http://www.rurdev.usda.gov/recd_map.html