The purpose of this agreement is for a capitalization grant which provides funds for the recipient's drinking water state revolving fund (DWSRF) program

The Environmental Protection Agency (EPA) awarded the State of Idaho Department of Environmental Quality a $13.2 million Formula Grant under the Drinking Water State Revolving Fund (CFDA #66.468) program for the period of July 1, 2021 through June 30, 2026. The grant funds Idaho's Drinking Water State Revolving Fund program to provide low-interest financing to local subrecipients for drinking water infrastructure projects that protect public health.

Through subawards, the funding will support groundwater nutrient modeling by the University of Idaho, source water protection planning by the Idaho Rural Water Association, and infrastructure loans to five local governments for projects including well rehabilitation, water treatment systems, water main replacements, and backup power installations. The subawards thus deliver technical assistance and project financing to help local communities maintain safe drinking water systems. The grant and revolving loan program model work to establish long-term sustainable funding for Idaho's drinking water infrastructure needs.

The activities are to provide low interest financing to numerous subrecipients for costs associated with the planning, design, and construction of their eligible drinking water improvement projects and activities to protect human health. The expected outcomes are to establish and manage an effective comprehensive drinking water program and to maintain a self-sustaining revolving fund to provide safe drinking water and protect public health for citizens throughout the state.