This agreement provides a capitalization grant for the recipient's drinking water state revolving fund (DWSRF) program

Environmental Protection Agency Region 8 awarded the North Dakota Department of Environmental Quality $4.610 million on June 5, 2026, under the Drinking Water State Revolving Fund program (CFDA 66.468) to capitalize the state's drinking water infrastructure financing mechanism.

The recipient will provide low-interest rate financing to eligible public water systems for planning, design, and construction of drinking water improvement projects. The award also funds set-asides including, but not limited to, technical assistance to small systems, operator certification activities, and source water protection activities. The state SRF program will issue subawards and principal forgiveness to communities for infrastructure improvements, with anticipated deliverables spanning project financing, planning, design, and construction of eligible public health-related projects. The funding increases the technical, managerial, and financial capacity of public water systems, with intended beneficiaries including citizens throughout North Dakota.

Performance extends from the award date through May 31, 2028, with all work performed in North Dakota. The North Dakota Department of Environmental Quality operates the state's drinking water SRF as the financial intermediary and program administrator, channeling federal capitalization grants into long-term, low-cost infrastructure financing for municipalities, water districts, and other eligible entities across the state.

The award furthers the public health protection objectives of the safe drinking water act (SDWA). 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 setasides, including but not limited to providing technical assistance to small systems, for operator certification activities, and source water protection activities. Subrecipient:this grant agreement capitalizes the state SRF program, allowing the state SRF program to make loans and give principal forgiveness (SUBAWARDS) to communities for infrastructure improvements.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.