**RURAL UTILITIES SERVICE**

**WATER AND WASTE**

A. **Water and Waste (WW) program objective.** To provide basic human
amenities, alleviate health hazards and promote the orderly growth of
the rural areas of the nation by meeting the need for new and improved
rural water and waste disposal systems.

B. **Legislative authority.** The Consolidated Farm and Rural
Development Act, Section 306 (7 U.S.C. 1926) as amended.

C. **Funds obligated for FY 1997.**

  ------------------------------------ ----------------------------------
  **Program**                          **Obligation**

                                       

  Direct WW Loans^1^                   833,319,004

  Guaranteed Loans                     2,765,000

  WW Grants^1^                         470,508,682

  Emergency Community Water Assistance 936,140
  Grants (ECWA)                        

  Solid Waste Management Grants        2,400,000

  Technical Assistance and Training    11,883,000
  Grants (TAT)^2^                      

  Section 306C WW Grants (Colonias)^3^ 17,790,503

  Rural Alaskan Village Grants         8,634,700

  **Total**                            1,348,237,029
  ------------------------------------ ----------------------------------

^1^ The amount obligated for includes funds recovered from prior years\'
approprations and funds for natural disasters.

^2^ The TAT grants represents 2.5 percent of initial allocation of WW
grant funds.

^3^ \$18.7 million of appropriated WW grant funds was set aside for
colonias and \$1.5 million was transfered to RHS for individual housing
grants.

D. **Funds appropriated by Congress by Fiscal Years.**

  ------------------------------------------------------------------------------------
            **Water and** **Waste**     **Solid Waste  **Emergency**   **Gurarante**
                                        Management**   **Water**       
  --------- ------------- ------------- -------------- --------------- ---------------
                                                                       

  **FY**    **Loan        **Grant       **Amount**     **Amount**      **Amount**
            Amount**      Amount**                                     

  1986      325,380,000   109,395,000                                  

  1987      330,380,000   109,395,000                                  

  1988      330,380,000   109,395,000                                  

  1989      332,880,000   109,395,000                                  

  1990      350,293,000   207,700,000                                  74,465,000

  1991      500,000,000   300,000,000   1,500,000      10,000,000      35,000,000

  1992^1^   635,500,000   375,600,000   3,000,000      25,400,000      35,000,000

  1993^2^   850,000,000   425,000,000   3,000,000      30,000,000      35,000,000

  1994^3^   715,499,597   500,000,000   3,000,000      10,000,000      35,200,000

  1995^4^   827,892,670   500,000,000   2,995,000      10,000,000      0
  ------------------------------------------------------------------------------------

^1^ This includes Emergency Supplemental Appropriations Act, 1992 of;
\$35.5 million WW loans, \$25.6 million WW grants, and \$15.4 million
Emergency Water grants.

^2^ This includes July 1993, Supplemental Appropriations of; \$250
million WW loans, \$35 million WW grants, and \$20 million ECWA grants
for Midwest floods. Also, \$25 million of WW grant funds set aside for
colonias.

^3^ \$25 million of WW grant funds set aside for colonias and \$15
million of WW grant funds set aside for rural Alaskan villages. Also,
\$12.5 million of WW grant funds rescinded by P.L. 103-211 on 2/12/94.

^4^ \$25 million of WW grant funds set aside for colonias and Emergency
Water grants for only Presidential declared emergencies.

E. **Rural Utilities Assistance Program appropriation by Fiscal Year.**

  ---------------- ------------------ ----------------- ------------------
  **FY**           **Rural Utilities  **Initial         **Initial
                   Assistance         Allocation Direct Allocation Grant**
                   Program^1^**       Loans**           

                                                        

  1996             487,868,000        546,524,444       364,900,000

  1997             566,935,000        739,468,000       500,235,000

  1998             577,242,000        691,004,098       509,800,000
  ---------------- ------------------ ----------------- ------------------

^1^ The Rural Utilities Assistance Program budget authority provides
funding for direct loans, loan guarantees, water and waste grants, and
solid waste management grants.

F. **WW funds obligated and number of direct loans and grants made by
Fiscal Years.**

  ---------------------------------------------------------------------------
                         **LOAN**                         **GRANT**
  --------- ------------ ------------------- ------------ -------------------
  **FY**    **Number**   **Amount**          **Number**   **Amount^1^**

                                                          

  1987      679          330,380,000         319          117,663,250

  1988      662          330,380,000         321          117,062,170

  1989      679          332,879,990         341          121,604,510

  1990      686          350,293,000         463          207,988,330

  1991      862          500,000,000         604          302,224,677

  1992      859          600,000,000         624          348,939,300

  1993      927          647,139,620         684          399,318,723

  1994      993          715,499,597         703          445,789,434

  1995      1,052        827,892,670         713          471,327,215

  1996      895          603,235,083         668          360,038,262

  1997      1003         833,319,004         737          470,508,682
  ---------------------------------------------------------------------------

^1^ This includes amounts obligated in prior years and cancelled in
subsequent years. Does not include Technical Assistance and Training
Grants.

G. **Projects financed and use of WW direct loan and grant funds by
Fiscal Years.**

  -------- --------- ------------- --------- ------------- --------- ------------- --------- -------------
                     **WATER**                                       **WASTE**               

                     **Loan**                **Grant**               **Loan**                **Grant**

  **FY**   **No.**   **Amount**    **No.**   **Amount**    **No.**   **Amount**    **No.**   **Amount**

                                                                                             

  87       419       183,916,130   192       75,140,450    260       146,463,870   127       42,522,800

  88       402       174,301,215   210       68,428,870    260       156,078,785   111       48,633,300

  89       439       207,211,690   204       69,087,610    240       125,668,300   137       52,516,900

  90       483       238,637,600   309       128,379,800   203       111,655,390   154       79,608,530

  91       588       326,195,875   382       166,099,150   274       173,804,125   222       136,125,527

  92       599       394,649,350   418       206,978,730   260       205,350,650   206       141,960,570

  93       642       438,883,920   447       259,441,190   285       208,255,700   237       139,877,533

  94       700       466,345,955   453       260,542,959   293       249,153,642   250       185,246,475

  95       713       542,460,995   448       261,663,823   339       285,431,675   265       209,664,392

  96       617       389,144,427   435       198,186,042   278       214,090,656   233       161,852,220

  97       687       536,939,283   471       260,252,970   316       296,379,721   266       210,255,721
  -------- --------- ------------- --------- ------------- --------- ------------- --------- -------------

The amount of funds provided for combination water and waste projects
have been arbitrarily divided between the two types of facilities. When
there is an odd number this is added to the number of facilities for
water.

H. **Guaranteed Loans by Fiscal Years.**

  ---------------------- ------------ ------------------------------------
  **FY**                 **No.**      **Amount**

                                      

  90                     0            0

  91                     8            664,500

  92                     12           4,609,600

  93                     5            1,675,376

  94                     8            5,150,500

  95                     0            0

  96                     13           59,069,100

  97                     9            2,765,000

  **Total**              55           73,934,076
  ---------------------- ------------ ------------------------------------

I. **Technical Assistance and Training Grants by Fiscal Years.**^a^

  ---------------------- ------------ ------------------------------------
  **FY**                 **No.**      **Amount^1^**

                                      

  88                     7            2,297,000

  89                     3            1,094,000

  90                     4            4,047,400

  91                     8            5,563,020

  92                     4            5,367,000

  93                     6            7,010,730

  94                     7            9,070,000

  95                     8            9,072,490

  96                     5            9,088,000

  97                     9            11,883,000

  **Total**              61           64,492,640
  ---------------------- ------------ ------------------------------------

^1^ Amount of funds represents not less than 1 nor more than 3 percent
of WW grant appropriation.

J. **Emergency Community Water Assistance Grants by Fiscal Years.**

  ----------------------------- ---------- -------------------------------
  **FY**                        **No.**    **Amount**

                                           

  91                            46         9,999,870

  92                            42         9,999,990

  93                            52         10,000,000

  93 (Disaster)                 3          700,450

  94                            38         10,000,000

  94 (Midwest)                  27         10,323,470

  95                            21         5,307,919

  96                            14         4,059,900

  97                            16         936,140

  **Total**                     259        61,327,739
  ----------------------------- ---------- -------------------------------

K. **Solid Waste Management Grants by Fiscal Years.**

  ----------------------------- ---------- -------------------------------
  **FY**                        **No.**    **Amount**

                                           

  91                            12         1,499,670

  92                            26         3,000,000

  93                            30         3,000,000

  94                            37         2,997,610

  95                            39         2,995,000

  96                            27         2,170,900

  97                            31         2,400,000

  **Total**                     202        18,063,180
  ----------------------------- ---------- -------------------------------

L. **Section 306C WWD Grants by Fiscal Years (Colonias).**

  ----------- --------- --------------------- ---------- ---------------------
                        **RUS**                          **RHS**

  **FY**      **No.**   **Amount**            **No.**    **Amount**

                                                         

  93          8         15,537,200            627        1,995,080

  94          25        28,462,800            925        3,104,540

  95          23        23,000,000            666        2,425,410

  96          22        17,156,000            494        1,661,360

  97          37        17,790,503            410        1,169,440

  **Total**   115       101,946,503           3,122      10,355,830
  ----------- --------- --------------------- ---------- ---------------------

M. **EZ/EC Loans and Grants by Fiscal Years.**

  ----------- --------- ---------------------- --------- ----------------------
                        **Loans**                        **Grants**

                                                         

  **FY**      **No.**   **Amount**             **No.**   **Amount**

  95          16        14,404,700             17        16,756,800

  96          24        12,887,966             21        16,000,000

  97          18        13,984,540             18        17,438,552

  **Total**   58        41,277,206             56        50,195,352
  ----------- --------- ---------------------- --------- ----------------------

N. **Direct WW loans and grants for natural disasters**

  ----------- --------- ---------------------- --------- ----------------------
                        **Loans**                        **Grants**

                                                         

  **FY**      **No.**   **Amount**             **No.**   **Amount**

  96 (P.L.    4         2,207,000              3         1,985,000
  104-134)                                               

  97 (P.L.    14        2,624,130              12        3,143,088
  105-18)                                                

  **Total**   18        4,831,130              15        5,128,088
  ----------- --------- ---------------------- --------- ----------------------

O. **Appalachia Regional Commission Grants administered by RUS.**

  ----------- --------- ----------------------------------------------------
                        **Grants**

                        

  **FY**      **No.**   **Amount**

  95          89        23,862,914

  96          62        17,289,340

  97          56        14,525,452

  **Total**   207       55,677,706
  ----------- --------- ----------------------------------------------------

P. **Statistical information on WW direct loan and grant programs**.

1\. **Total loan and grant funds obligated for water and waste.**

  ----------- ------------------- ------------------- ------------- -----------
              **Amount**                              **Percent**   

              **FY 96**           **FY 97**           **FY 96**     **FY 97**

                                                                    

  **Water**   587,330,469         797,192,253         61.0          61.1

  **Waste**   375,942,876         506,635,442         39.0          38.9

  **Total**   963,273,345         1,303,827,695       100.0         100.0
  ----------- ------------------- ------------------- ------------- -----------

2\. **Percentage of funds obligated for water and waste.**

  -------------- -------------- -------------- -------------- --------------
                 **Loans**                     **Grants**     

                 **Percent**                   **Percent**    

                 **FY 96**      **FY 97**      **FY 96**      **FY 97**

                                                              

  **Water**      64.5           64.4           59.5           55.3

  **Waste**      35.5           35.6           40.5           44.6

  **Total**      100.0          100.0          100.0          100.0
  -------------- -------------- -------------- -------------- --------------

3\. **Number of initial loans and grants.**

  ------------------ ------------ ------------ ---------------- ------------ ------------ ----------------
                                  **Loans**                                  **Grants**   

                     **Total**    **FY 97**                     **Total**    **FY 97**    

                     **Number**   **Number**   **Percent^1^**   **Number**   **Number**   **Percent^1^**

                                                                                          

  **Water**          13,651       266          57.1             9,322        235          56.0

  **Waste**          6,950        174          37.3             4,587        170          40.5

  **Combinations**   190          26           5.6              139          15           3.5

  **Total**          20,791       466                           14,048       420          
  ------------------ ------------ ------------ ---------------- ------------ ------------ ----------------

^1^The above percentages are in relation to initial loans and grants
made in FY 97. The totals are from the inception of the programs.

4\. **Amount, percent, and number of loan and grant funds used for
expansion, replacement, and renovation of systems ‑ FY 97.**

  ------------ ------------- ------------- ------------ ------------- -------------
               **Loan**                                 **Grant**     

  **Number**   **Amount**    **Percent**   **Number**   **Amount**    **Percent**

                                                                      

  578          516,693,620   62.00%        448          252,785,163   53.73%
  ------------ ------------- ------------- ------------ ------------- -------------

5\. **Amount, percent of loan and grant funds, and number of projects
for new systems ‑ FY 97.**

  ------------ ------------- ------------- ------------ ------------- -------------
               **Loan**                                 **Grant**     

  **Number**   **Amount**    **Percent**   **Number**   **Amount**    **Percent**

                                                                      

  215          239,113,715   28.69%        209          185,913,347   39.51%
  ------------ ------------- ------------- ------------ ------------- -------------

6\. **Loans and grants obligated for public bodies and for nonprofit
associations ‑ FY 97.**

  ----------- ------------ ------------- ------------- ------------ --------------- -------------
                           **Public                                 **Nonprofit**   
                           Bodies**                                                 

              **Number**   **Amount**    **Percent**   **Number**   **Amount**      **Percent**

                                                                                    

  **Loan**    755          670,705,245   80.49%        248          162,613,759     19.51%

  **Grant**   595          395,980,107   84.16%        142          74,528,575      15.84%
  ----------- ------------ ------------- ------------- ------------ --------------- -------------

7\. **Average water and waste loan and grant.**

  ------------- -------------- -------------- -------------- --------------
                **Loan**                      **Grant**      

                **FY 96**      **FY 97**      **FY 96**      **FY 97**

                                                             

  **Water**     630,700        781,571        455,600        552,554

  **Waste**     770,110        937,911        694,640        790,435

  **Overall**   674,000        830,827        538,980        638,411
  ------------- -------------- -------------- -------------- --------------

8\. **Loans obligated by interest rate ‑ FY 97.**

  ------------------ -------------- -------------- -------------- --------------
  **Interest Rate**  **Number of    **Percent of   **Amount of    **Percent of
                     Loans**        Loans**        Funds**        Funds**

                                                                  

  **Poverty**        481            48.0           399,993,120    48.0

  **Intermediate**   465            46.4           398,505,418    47.8

  **Market**         57             5.6            34,820,466     4.2

  **Total**          1003                          833,319,004    
  ------------------ -------------- -------------- -------------- --------------

9\. **Grant funds obligated by income levels - FY 97.**

  ----------------------- ----------------------- -----------------------
  **Income Level**        **Amount of Funds**     **Percent of Funds**

                                                  

  **Less than 80% of      248,345,423             58.0
  SNMHI**                                         

  **Between 80% and 100%  179,143,307             42.0
  of SNMHI**                                      

  **Over 100% of SNMHI**  0                       0

  **Total**               427,488,730             
  ----------------------- ----------------------- -----------------------

10\. **Total water and waste loans and grants made since the inception
of programs through September 30, 1997.**

  ----------------- -------------------------- --------------------------
                    **Loans**                  **Grants**

                                               

  **Total**                                    

  **Number**        37,254                     19,504

  **Amount**        15,203,093,810             6,258,578,235

  **Water**                                    

  **Number**        27,061                     13,528

  **Amount**        9,581,832,049              3,744,102,740

  **Waste**                                    

  **Number**        10,193                     5,976

  **Amount**        5,621,261,761              2,514,476,504
  ----------------- -------------------------- --------------------------

11\. **Total number of outstanding borrowers and amount as of end of
fiscal year.**

  ----------------- ----------------- ----------------- -----------------
  **Fiscal Year**   **Borrowers**     **Loans**         **Amount**

                                                        

  1992              7,218             12,670            3,580,076,000

  1993              7,468             13,146            3,848,456,000

  1994              7,635             13,561            4,112,987,000

  1995^1^           7,120             14,573            4,565,445,000

  1996              7,348             15,198            5,083,002,399

  1997              7,487             15,645            5,567,134,000
  ----------------- ----------------- ----------------- -----------------

^1^RC&D and Watershed Loans added in FY 95

12\. **Water and waste loan delinquency rate as of end of fiscal year.**

  ----------------- ----------------- ----------------- -----------------
  **Fiscal Year**   **Borrower Rate** **Principal       **Loan Rate**
                                      Rate**            

                                                        

  1993              .64%              .11%              NA

  1994              .84%              .11%              NA

  1995              1.19%             .12%              .75%

  1996              .99%              .11%              .64%

  1997              1.2%              .11%              .78%
  ----------------- ----------------- ----------------- -----------------

13\. **Dollar amount and percentage of water and waste principal and
interest that have been written off through September 30, 1997.**

*\$1*4,664,168 **principal** and **interes**t or *.1 percent* of the
total principal loaned from inception of the program. This represents
approximately *\$1* lost for every *\$1,000* loaned.

14\. **Number and dollar amount of preapplications and unobligated
applications on hand as of end of fiscal year.**

  -------------- ------------ --------------- -------------- ---------------
                 **1997**                     **1996**       

                                                             

                 **Number**   **Amount**      **Number**     **Amount**

  **Loans**      1,714        2,591,138,682   1,799          2,940,000,000

  **Grants**     1,118        1,143,639,216   1,151          1,250,000,000
  -------------- ------------ --------------- -------------- ---------------

15\. **Number of preapplications received by fiscal year.**

  -------------- ------------ -------------- -------------- --------------
                 **1997**                    **1996**       

                                                            

                 **Number**   **Amount**     **Number**     **Amount**

  **Loans**      918          484,457,686    947            503,235,083

  **Grants**     704          364,147,898    670            360,038,262
  -------------- ------------ -------------- -------------- --------------

16\. **Project costs funded with grant funds. (Does not include
deobligations)**

  ----------------------------------- -----------------------------------
  **Fiscal Year**                     **Percent**

                                      

  1992                                42

  1993                                45

  1994                                46

  1995                                31

  1996                                30.9

  1997                                30.8
  ----------------------------------- -----------------------------------

17\. **Project costs funded with loan funds. (Does not include
deobligations)**

  ----------------------------------- -----------------------------------
  **Fiscal Year**                     **Percent**

                                      

  1993                                48

  1994                                49

  1995                                54

  1996                                48.5

  1997                                54.6
  ----------------------------------- -----------------------------------

18\. **Total costs of water, sewer and solid waste projects. (Does not
include deobligations)**

  -------------- ------------------ ------------------ ------------------
  **Fiscal       **Total Costs**    **RUS Funding**    **Other Funding**
  Year**                                               

                                                       

  1992           1,165,576,563                         

  1993           1,214,118,387                         

  1994           1,370,895,795                         

  1995           1,528,200,000      1,299,220,000      228,980,000

  1996           1,137,207,664      963,273,345        173,934,319

  1997           1,527,615,824      1,303,827,695      223,788,129
  -------------- ------------------ ------------------ ------------------

19\. **Users served by active borrowers.**

  -------------- ------------------ ------------------ ------------------
  **Fiscal       **Water**          **Sewer**          **Solid Waste**
  Year**                                               

                                                       

  1995           4,186,550          1,948,767          193,756

  1996           5,009,697          2,338,341          213,130

  1997           5,244,914          2,420,501          214,776

                                                       
  -------------- ------------------ ------------------ ------------------

20\. **Rural people receiving safe, affordable water and waste disposal
service.**

  ------------------------ ------------------------ ----------------------
                           **FY 97**                **FY 96**

                                                    

  **Water**                1,022,563                1,270,000

  **Waste**                475,157                  482,000

  **Total**                1,497,720                1,752,000
  ------------------------ ------------------------ ----------------------

21\. **Water and waste systems developed or expanded to comply with the
Safe Drinking Water Act and the Clean Water Act.**

  --------------- ------------- ------------- ------------- -------------
  **Fiscal Year** **Water**                   **Waste**     

                                                            

                  **Number**    **Amount**    **Number**    **Amount**

                                                            

  1995            713           542,460,995   339           285,431,675

  1996            617           389,144,427   278           214,090,656

  1997            687           536,939,283   316           296,379,721

  1998^1^         559           445,240,287   257           245,763,713
  --------------- ------------- ------------- ------------- -------------

^1^ Projections

22\. **Jobs created with water and waste funds.**

  -------------------- --------------------------------------------------
  **Fiscal Year**      **Total Jobs^1^**

                       

  1995                 29,882

  1996                 22,155

  1997                 30,052

  1998^2^              28,819
  -------------------- --------------------------------------------------

**^1^** Based on 1990 Bureau of Labor Statistics information that
reflects 23 jobs generated per \$1 million invested in water and sewer
systems.

^2^ Projections

O. **Statistical information on WW guaranteed loan program.**

1\. **Loan funds obligated for water and waste disposal.**

  ---------- ------------ ------------- ------------ ------------ ------------- ------------ ------------
  **Fiscal                **Water**                               **Waste**                  **Total
  Year**                                                                                     Amount**

             **Amount**   **Percent**   **Number**   **Amount**   **Percent**   **Number**   

                                                                                             

  1994       3,600,500    69.9                       1,550,000    30.1                       5,150,500

  1995       0                                       0                                       0

  1996       9,000,000    15.2          11           50,068,700   84.8          2            59,069,100

  1997       2,765,000    100           9            0            0             0            2,765,000
  ---------- ------------ ------------- ------------ ------------ ------------- ------------ ------------

The amount of funds provided for combination water and waste projects
have been arbitrarily divided between the two types of facilities. When
there is an odd number this is added to the number of facilities for
water.

2\. **Outstanding Guaranteed Borrowers.**

  ----------------- ------------------------ -----------------------------
  **Fiscal Year**   **Borrowers**            **Amount**

                                             

  1995              20                       7,114,478

  1996              22                       7,857,399

  1997              23                       7,254,847
  ----------------- ------------------------ -----------------------------

3\. **Delinquency rate as of September 30, 1997.**

**No delinquent loans.**

N. **Circuit Rider Program.**

  ----------------------------------- -----------------------------------
  **Fiscal Year**                     **Amount**

                                      

  1994                                4,368,000

  1995                                4,263,000

  1996                                4,500,000

  1997                                5,200,000
  ----------------------------------- -----------------------------------

P. **Rural Alaskan Villages.**

  ----------------------- ----------------------- -----------------------
  **Fiscal Year**         **Number**              **Amount**

                                                  

  1994                    16                      13,220,500

  1995                    1                       1,779,500^1^

  1996                    0                       0

  1997                    24                      8,634,700
  ----------------------- ----------------------- -----------------------

^1^ Carry over from FY 94.