Together, America Prospers

Water and Waste Disposal

Predevelopment Planning Grants

What does this 

program do?

This program helps eligible 

low-income communities plan 

and develop applications 

for proposed USDA Rural 

Development water or waste 

disposal projects.

Who can apply?

• Most state and local 

governments

• Nonprofit organizations

• Federally recognized Tribes 

(A list is available at this link: 

https://tinyurl.com/4vfb3n4m)

What is an eligible area?

• Rural areas and towns with 

populations of 10,000 or 

fewer. (Check your eligibility at this 

link: https://go.usa.gov/xhWZ2)

• Federally-recognized Tribal lands

• Colonias

NOTE: The area must have a median 

household income below the poverty 

line or less than 80 percent of the 

statewide non-metropolitan median 

household income.

How can funds be used?

This program helps eligible lowincome communities plan and develop 

applications for proposed USDA Rural 

Development water or waste disposal 

projects. 

What are the grant terms?

• Grants cannot be used to pay for 

work already completed.

• The amount of the grant will be 

subtracted from the total grant 

eligibility if a USDA grant is awarded 

for part of the water or waste 

disposal project.

• These grants do not have to be 

paid back if the application for the 

USDA direct loan or loan and grant 

combination is not successful. 

• Grants are based on demonstrated 

need and availability of funds.

• Partnerships with other federal, 

state, and local organizations are 

encouraged, and grants are awarded 

only when the applicant cannot afford 

to borrow the needed funds.

Is there a maximum grant amount?

The maximum grant award is $60,000 

— or 75 percent of predevelopment 

planning costs. 

Are matching funds required?

Yes. At least 25 percent of the project 

cost must come from the applicant or 

third-party sources. In-kind contributions 

do not count toward this minimum. 

How do we get started?

Applications are accepted year-round 

through your local Rural Development 

office. (A list of offices is available at: 

https://tinyurl.com/2p9ewras) 

Program resources — forms needed, 

guidance, certifications and more —are 

available online at this link: 

https://go.usa.gov/xzBym.

Who can answer questions?

• Help is always available through your 

local Rural Development office. 

(A list of offices is available at: 

https://tinyurl.com/2p9ewras)

• Participating nonprofit associations 

also offer assistance and training. 

You can work with your local Rural 

Development staff to learn about 

available help in your area.
Water and Waste Disposal

Predevelopment Planning Grants

NOTE: Because information changes, always consult official program instructions 

or contact your local Rural Development office for help. A list is available at this link: 

https://go.usa.gov/xJHPE. You will find additional resources, forms, and program 

information at https://rd.usda.gov. 

USDA is an equal opportunity provider, employer, and lender.

Last Updated May 2023

What governs this program?

• Code of Federal Regulations, 7 CFR 

1780. (Information is available at this 

link: https://tinyurl.com/5t4ds79e)

• Section 306 of the Consolidated 

Farm and Rural Development Act 

(information is available at this link: 

https://tinyurl.com/23hjt2et)

Forms and Resources

NOTE: Please speak to a program 

specialist in the state in which your 

proposed project is located before you 

attempt to complete your application. 

(A list of offices is available at this link: 

https://tinyurl.com/2p9ewras)

USDA’s Water and Waste Disposal 

Predevelopment Planning Grant website