Together, America Prospers 

Individual Water & Wastewater Grants
 

What does this 

program do? 

This program provides funds to 

households in an area recognized 

as a Colonia before October 1, 1989. 

Grant funds may be used to connect 

service lines to a residence, pay 

utility hook-up fees, install plumbing 

and related fixtures, e.g., bathroom 

sink, bathtub or shower, commode, 

kitchen sink, water heater, outside 

spigot, or bathroom. 

What is an 

eligible area? 

These grants are only available in 

Arizona, California, New Mexico, and 

Texas. The Colonia must be located 

in a rural area i.e., unincorporated 

areas and any city or town with 

a population of 10,000 of less 

and is identified as a community 

designated in writing by the state 

or county in which it is located; 

determined to be a Colonia on the 

basis of objective criteria including 

lack of: potable water supply, 

adequate sewage systems, decent, 

safe and sanitary housing, or have 

inadequate roads and drainage. 

Who is eligible? 

Applicants must meet the 

following requirements: 

• Own and occupy a dwelling located 

in a Colonia and have evidence 

of ownership. 

• Have a total taxable income (based 

on the latest federal income tax form 

from all individuals residing in the 

household) that is below the most 

recent poverty income guidelines 

established by the U.S. Department 

of Health and Human Services. 

• Have no delinquencies on any 

federal debt. 

How may funds be used? 

Grant funds may be used to pay the 

reasonable costs for individuals to: 

• Extend service lines from a system 

to a residence. 

• Connect service lines to a 

residence’s plumbing. 

• Pay reasonable charges or fees for 

connecting to a system. 

• Pay for necessary installation of 

plumbing and related fixtures within 

dwellings lacking such facilities. 

This is limited to one bath tub, 

sink, commode, kitchen sink, water 

heater, and outside spigot. 

• Construct and/or partition off 

a portion of the dwelling for a 

bathroom, not to exceed 4.6 square 

meters (48 square feet) in size. 

• Pay reasonable costs for closing 

abandoned septic tanks and water 

wells when necessary to protect 

the health and safety of recipients of 

a grant. 

• Make improvements to individual’s 

residence when needed to allow 

the use of the water and/or waste 

disposal system. 

Grant Restrictions 

1. Maximum grant 

• Maximum grant to any individual 

for WATER service lines, 

connections, and/or construction 

of a bathroom is $3,500. 

• Maximum grant to any individual 

for SEWER service lines, 

connections, and/or construction 

of a bathroom is $4,000. 

• Lifetime assistance to any 

individual for initial or subsequent 

grants may not exceed a 

cumulative total of $5,000. 

2. Limitations on use of grant funds 

Grant funds may not be used to: 

• Pay any debt or obligation of the 

grantee other than obligations 

incurred under the grant. 

• Pay costs that are not considered 

reasonable by the Agency. 
Individual Water & Wastewater Grants
 

How do we get started? 

Applications for this program are 

accepted year round. Please apply 

through your local RD office. 

What governs this program? 

Basic Instruction: 7 CFR Part 3550, 

Subpart C and HB-1-3550, Appendix 8 

Why does USDA Rural Development 

do this? 

This program facilitates the use 

of community water and/or waste 

disposal systems by the residents of 

Colonias along the U.S./Mexico border. 

NOTE: Because citations and other information may be subject to change, 

please always consult the program instructions listed in the section above 

titled “What Governs This Program?” You may also contact your local office for 

assistance. You will find additional forms, resources, and program information at 

rd.usda.gov. USDA is an equal opportunity provider, employer, and lender. 

Last Updated December 2019