UNITED STATES DEPARTMENT OF AGRICULTURE

Rural Utilities Service

RUS BULLETIN 1780-1 

RD-GD-2020-102

SUBJECT: Water & Waste Project Selection Criteria

TO: State Directors, Rural Development 

ATTN: Community Programs - Program Directors 

EFFECTIVE DATE: Date of approval 

OFFICE OF PRIMARY INTEREST: Assistant Administrator, Water and Environmental 

Programs 

AVAILABILITY: This Bulletin is available on the Internet at 

http://www.rurdev.usda.gov/RDU_Bulletins_Water_and_Environmental.html

PURPOSE: To lay out how priority points are awarded for Water and Waste projects.

DISCLAIMER: The contents of this guidance document does not have the force and effect of law and is not 

meant to bind the public in any way. This document is intended only to provide clarity to the public 

regarding existing requirements under the law or agency policies. 
WATER & WASTE 

PROJECT SELECTION CRITERIA

Name of Applicant

PRIORITIES POINTS

Population priorities:

1. Project primarily serves a rural area

equal to or less than 1,000 population. 25

2. Project primarily serves a rural area

between 1,001 and 2,500 population. 15

3. Project primarily serves a rural area

between 2,501 and 5,500 population. 5 

B. Health priorities

1. Project alleviates emergency situation,

corrects unanticipated diminution or

deterioration of a water supply or

to meet Safe Drinking Water Act requirements

which pertain to a water system. 25

2. Project to correct inadequacies of a wastewater

disposal system or to meet health or sanitary

standards which pertain to a wastewater disposal

system. 25

3. Projects which are required to meet administrative

orders issued to correct local, State or Federal

violations pertaining to solid waste. 15

C. Median household income (MHI) priorities.

1. MHI less than the poverty line if the

poverty line is less than 80% of state

nonmetropolitian household income (SNMHI). 30

2. Less than 80% of the SNMHI. 20

3. Equal to or more than the poverty line and

between 80% & 100% inclusive, of the SNMHI. 15

RUS Bulletin 1780-1
RUS Bulletin 1780-1 

D. Other priorities:

1. Project to merge ownership, management, and

operations of smaller systems for more

efficient management and economic service. 15

2. Project to enlarge, extend, or otherwise

modify existing facilities to serve additional

rural residents. 10

3. Applicant is a public body or Indian tribe. 5 

4. Amount of other funds committed to project is:

a. 50% or more 15

b. 20-49% 10

c. 5-19% 5 

5. Project will serve an Agency identified target

area. 10

6. Project will primarily recycle solid waste

products thereby limiting the need for solid

waste disposal. 5 

7. The proposed project will serve an area that

has an unreliable quality or supply of

drinking water. 10

E. State Program Director's discretionary points.

Up to 15 Points may be awarded to projects to 

improve compatibility/coordination between RUS’s 

and other agencies' selection systems

and to assist those projects that are most cost 

effective and that provides for effective RUS fund 

utilization.

F. Total Points.

G. Administrator's discretionary points.

State Program Directors should recommend and 

provide written justification for assignment of 

Administrator's point under this paragraph.

STATE PROGRAM DIRECTOR Date