Funding Available for Rural Water Projects

The USDA has financial assistance available to provide water to rural Americans.  Originally the USDA program provided only modest loans for household and farm use, but over the years it has expanded to providing loans and grants for the development of water and waste water infrastructure and technical assistance.  Over the last three years, $51 million has been invested statewide in Colorado through this funding from USDA Rural Development. 

“Our program has always held fast to the mission of providing clean, reliable, and affordable water to empower rural Americans in rural areas with a population of 10,000 or less,” said Jerry Tamlin, Director Community Programs, Colorado USDA Rural Development. “We currently have program funding available.  So far this fiscal year we have obligated nearly $3.6 million for water projects and have over $10 million still available in loan and limited grant funding,” said Tamlin. 

Loan funds may be used in developing, upgrading and/or repairing water, sewer, and storm drainage facilities; as well as solid waste systems.  Grant funding can assist communities and rural areas identify and evaluate solutions to water or wastewater problems, improve facility operation and maintenance activities, or prepare funding applications for water or wastewater treatment facility projects.  Public bodies, non-profit organizations and recognized Indian tribes may qualify for assistance.  Examples of projects funded this year include the replacement of water distribution lines and upgrading a water treatment system; dredging an existing wastewater lagoon and installing synthetic liners; and replacing sewer lines in an existing system.

If your community needs assistance with a water or waste water project, please contact your local USDA Rural Development Office.  To find your local office visit Colorado’s web site at