Opportunity Information: Apply for RDRUS 24 DWS

The Rural Decentralized Water System (DWS) Grant Program is a discretionary grant opportunity run by the USDA Rural Utilities Service (RUS) to expand access to safe, reliable household water and wastewater services in rural areas. The program is designed specifically to help low- to moderate-income individuals afford the costs associated with individually owned household drinking water wells and decentralized wastewater systems (most commonly septic systems) that they already own or expect to own. Instead of providing direct grants to homeowners, the program funds an intermediary that uses the award to set up and operate a revolving loan fund, meaning the money is lent out and then repaid so it can be reused to help additional households over time.

Grant recipients are required to use the federal funds to establish and maintain a revolving fund that provides loans and sub-grants to eligible individuals. Those household-level financial supports can then be used for core improvements to decentralized water infrastructure, including constructing new systems, refurbishing older ones, rehabilitating damaged or failing components, or replacing systems that are no longer functional or safe. For water wells, eligible work can generally be covered up to the "point of entry" to the home, which is defined as the junction where water enters the home’s internal plumbing after it has been pumped from the well. For septic and other decentralized wastewater systems, the equivalent boundary is the "point of exit," defined as where wastewater leaves the home’s internal collection system and flows into the septic tank and drain field. In practical terms, this framing clarifies that the program is focused on the privately owned well and septic infrastructure serving the home, rather than interior household plumbing upgrades.

The program also recognizes that administering small loans and sub-grants takes staffing and systems, so it allows grant funds to be used for administrative expenses tied directly to delivering the DWS financial assistance. That can include the costs of managing the revolving fund, underwriting and servicing loans, processing sub-grants, and maintaining the compliance and reporting needed to operate the program responsibly. The intent is to ensure the intermediary can run the program effectively while keeping the main emphasis on financing household well and septic projects.

From a funding listing standpoint, the opportunity is titled "Rural Decentralized Water System Grant Program" (Funding Opportunity Number: RDRUS 24 DWS). It is categorized as a grant under a discretionary funding opportunity, associated with assistance listing/CFDA number 10.862, and it aligns with activity areas such as agriculture, community development, environment, and health. The agency expects to make about 10 awards. The posting indicates an original closing date of June 28, 2024, and lists an award ceiling of $0 (which typically means the ceiling was not specified in that field rather than implying no maximum in practice). Eligibility details are not fully spelled out in the text provided, and applicants are directed to the USDA Rural Development website for the specific eligibility requirements and program rules: https://www.rd.usda.gov/programs-services/water-environmental-programs/rural-decentralized-water-systems-grant-program.

  • The Rural Utilities Service in the agriculture, community development, environment, health sector is offering a public funding opportunity titled "Rural Decentralized Water System Grant Program" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 10.862.
  • This funding opportunity was created on 2024-04-24.
  • Applicants must submit their applications by 2024-06-28. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • The number of recipients for this funding is limited to 10 candidate(s).
  • Eligible applicants include: Others.
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Frequently Asked Questions (FAQs)

What is the Rural Decentralized Water System (DWS) Grant Program?

The Rural Decentralized Water System (DWS) Grant Program is a discretionary grant opportunity administered by the USDA Rural Utilities Service (RUS). Its purpose is to expand access to safe, reliable household water and wastewater services in rural areas by supporting improvements to privately owned household drinking water wells and decentralized wastewater systems (most commonly septic systems).

Who runs this grant opportunity?

The program is run by the USDA Rural Utilities Service (RUS) under USDA Rural Development.

Is this a direct grant for homeowners?

No. The program does not provide direct grants to homeowners. Instead, the federal grant is awarded to an intermediary organization, which then uses the funds to set up and operate a revolving loan fund that provides loans and sub-grants to eligible individuals.

What is an intermediary in this program?

An intermediary is the grant recipient that receives the federal funds and is responsible for establishing and maintaining a revolving fund. That revolving fund is then used to deliver household-level financial assistance (loans and sub-grants) for eligible well and septic/decentralized wastewater projects.

What is a revolving loan fund, and why does the program use one?

A revolving loan fund is a funding structure where money is lent out and then repaid, so the funds can be reused to support additional households over time. The DWS program uses this approach to extend the long-term impact of the federal award beyond a single round of assistance.

What must grant recipients do with the federal funds?

Grant recipients are required to use the federal funds to establish and maintain a revolving fund that provides loans and sub-grants to eligible individuals for decentralized household water and wastewater improvements.

What kinds of household projects can loans and sub-grants support?

The program supports core improvements to individually owned household drinking water wells and decentralized wastewater systems. This includes constructing new systems, refurbishing older systems, rehabilitating damaged or failing components, or replacing systems that are no longer functional or safe.

Are drinking water wells covered under this program?

Yes. The program is specifically designed to help low- to moderate-income individuals afford costs associated with individually owned household drinking water wells that they already own or expect to own, within the program’s defined boundaries for eligible work.

Are septic systems covered under this program?

Yes. The program commonly supports decentralized wastewater systems, most often septic systems, including work to construct, refurbish, rehabilitate, or replace eligible components within the program’s defined boundaries.

Does the program cover interior plumbing upgrades inside the house?

The information provided emphasizes that the program is focused on the privately owned well and septic infrastructure serving the home, rather than interior household plumbing upgrades. The eligible work boundaries are defined using the point of entry (for wells) and point of exit (for wastewater), which generally excludes interior plumbing work.

What does "point of entry" mean for well-related projects?

For water wells, the "point of entry" is defined as the junction where water enters the home’s internal plumbing after it has been pumped from the well. Eligible work can generally be covered up to that point of entry.

What does "point of exit" mean for septic or decentralized wastewater projects?

For septic and other decentralized wastewater systems, the "point of exit" is defined as where wastewater leaves the home’s internal collection system and flows into the septic tank and drain field. Eligible work is framed around the privately owned system beyond the home’s internal plumbing, starting at that boundary.

Can the grant funds be used to pay for program administration?

Yes. The program allows grant funds to be used for administrative expenses tied directly to delivering DWS financial assistance. This can include managing the revolving fund, underwriting and servicing loans, processing sub-grants, and carrying out compliance and reporting required to operate the program.

What is the main goal of allowing administrative costs?

The intent is to ensure the intermediary has the staffing and systems needed to run small loans and sub-grants effectively, while keeping the main emphasis on financing household well and septic projects.

What is the official title of this funding opportunity?

The opportunity is titled "Rural Decentralized Water System Grant Program."

What is the Funding Opportunity Number (FON)?

The Funding Opportunity Number provided is RDRUS 24 DWS.

What is the Assistance Listing (CFDA) number for this program?

The assistance listing/CFDA number provided is 10.862.

Is this a discretionary or formula grant?

This is described as a discretionary grant opportunity.

How many awards does the agency expect to make?

The agency expects to make about 10 awards.

What is the application closing date listed?

The posting indicates an original closing date of June 28, 2024.

Is there a maximum award amount (award ceiling)?

The listing shows an award ceiling of $0. As noted in the information provided, this typically means the ceiling was not specified in that field rather than implying there is no maximum in practice.

What activity areas does the program align with?

The opportunity aligns with activity areas such as agriculture, community development, environment, and health.

Who is the program designed to help?

The program is designed specifically to help low- to moderate-income individuals afford the costs associated with individually owned household drinking water wells and decentralized wastewater systems that they already own or expect to own.

Where can applicants find official eligibility requirements and program rules?

The eligibility details are not fully spelled out in the information provided. Applicants are directed to the USDA Rural Development website for the specific eligibility requirements and program rules: https://www.rd.usda.gov/programs-services/water-environmental-programs/rural-decentralized-water-systems-grant-program.

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Applicants also applied for:

Applicants who have applied for this opportunity (RDRUS 24 DWS) also looked into and applied for these:

Funding Opportunity
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Funding Number: RDRUS 25 DWS
Agency: Rural Utilities Service
Category: Agriculture, Community Development, Environment, Health
Funding Amount: Case Dependent
Revolving Fund Program Apply for RDRUS 25 RFP

Funding Number: RDRUS 25 RFP
Agency: Rural Utilities Service
Category: Agriculture, Community Development, Environment, Health
Funding Amount: Case Dependent

 

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