This agreement provides a capitalization grant, funded by the infrastructure investment and jobs act (IIJA) (PL 117-58), for the recipient's drinking water state revolving fund (DWSRF) program

The U.S. Environmental Protection Agency (EPA) Region 9 awarded the Hawaii Department of Health a $24.9 million capitalization grant under the Drinking Water State Revolving Fund (DWSRF) program (CFDA 66.468) on October 1, 2025, funded through the Infrastructure Investment and Jobs Act. The award provides low-interest financing to eligible public water systems throughout Hawaii for planning, design, and construction of drinking water infrastructure improvements. Additionally, the grant supports set-aside activities including technical assistance to small water systems, operator certification programs, and source water protection initiatives. The award is designed to increase the technical, managerial, and financial capacity of public water systems while protecting public health through enhanced drinking water infrastructure.

Under this capitalization grant, the Hawaii Department of Health is distributing funds to sub-grantees for specific water system improvement projects. The Board of Water Supply has received sub-awards dated March 15, 2026, for the Aliipoe Drive and Paihi Street Area Water System Improvement and the Mailiili Road 20-Inch Main project from Paakea Road to Lualualei Homestead Road. The County of Hawaii Water Supply Department received a sub-award dated February 15, 2026, for the Lalamilo 10 Million Gallon Reservoir project. These sub-awarded projects represent the direct application of capitalization grant funds toward critical drinking water infrastructure improvements across Hawaii's islands. The award period extends through September 30, 2030, with total dollars obligated at approximately $29.9 million.

The award furthers the public health protection objectives of the safe drinking water act (SDWA). This agreement provides full federal funding in the amount of $24,898,000. Refer to terms and conditions. Activities:the recipient of these funds will provide low interest rate financing to eligible public water systems for the costs associated with the planning, design, and construction of eligible drinking water improvement projects. The recipient may also use some of the funding for specific set-asides, including but not limited to providing technical assistance to small systems, for operator certification activities, and source water protection activities.subrecipient:no subawards are included in this assistance agreement.outcomes:the anticipated deliverables include financing, planning, design, and construction of eligible public health-related projects. Deliverables will also be used to increase the technical, managerial, and financial capacity of public water systems. The expected outcome is public health protection. The intended beneficiaries include citizens throughout the state.