(i) an amount equal to 150 percent of 
the poverty level (as defined in section 
2603 of the Low-Income Home Energy As-
sistance Act of 1981 (42 U.S.C. 8622)) for 
that State; and 
(ii) an amount equal to 60 percent of 
the median income for that State. 
(4) POLLUTION
HOTSPOT.—The term ‘‘pollu-
tion hotspot’’ means a location where pollution from 
specific sources may expose an individual or commu-
nity to an elevated risk of adverse health and safety 
effects, as determined by the Administrator of the 
Environmental Protection Agency. 
(5) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Health and Human Services. 
(6) STATE.—The term ‘‘State’’ means each of 
the several States, the District of Columbia, the 
Commonwealth of Puerto Rico, Guam, the United 
States Virgin Islands, American Samoa, the Com-
monwealth of the Northern Mariana Islands, and an 
Indian tribe (as defined in section 4 of the Indian 
Self-Determination and Education Assistance Act 
(25 U.S.C. 5304)). 
(7) WATER BURDEN.—The term ‘‘water bur-
den’’ means the expenditures of a household for 
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drinking water, wastewater, and stormwater services, 
divided by the income of the household. 
(8) WATER CRISIS.—The term ‘‘water crisis’’ 
means weather-related and supply shortage emer-
gencies, stormwater flooding, and other household 
water-related emergencies, relating to drinking 
water, wastewater, or stormwater services. 
(b) ESTABLISHMENT.— 
(1) IN GENERAL.—The Secretary is authorized 
to make grants, in accordance with the provisions of 
this section, to States to assist low-income house-
holds (particularly those with the lowest incomes rel-
ative to State poverty levels and median incomes, 
that pay a high proportion of household income for 
home drinking water, wastewater, and stormwater 
services), including environmentally at-risk house-
holds that are also low-income households, primarily 
in meeting their immediate home drinking water, 
wastewater, and stormwater service needs. The Sec-
retary shall make the grants in the amounts of the 
allotments made under paragraph (2). 
(2) STATE
ALLOTMENTS.—Not later than 1 
year after the date of enactment of this Act, the 
Secretary shall issue a rule to establish a formula 
under which the Secretary shall make allotments to 
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States, from the amount authorized under sub-
section (h) for a fiscal year, for the grants described 
in paragraph (1). The Secretary shall issue the rule 
after consultation with States, local and Tribal gov-
ernments, community stakeholders, and other appro-
priate entities, in order to develop a formula that al-
lots grant funds based on need to States. 
(3) PUBLIC HEARINGS.—After the expiration of 
the first fiscal year for which a State receives funds 
under this section, no funds shall be allotted to such 
State for any fiscal year under this section unless 
such State conducts public hearings with respect to 
the proposed use and distribution of funds to be pro-
vided under this section for such fiscal year. 
(c) APPLICATIONS.— 
(1) IN GENERAL.—Each State desiring to re-
ceive an allotment for any fiscal year under this sec-
tion shall submit an application to the Secretary. 
Each such application shall be in such form as the 
Secretary shall require. 
(2) CERTIFICATIONS.—As part of the annual 
application of a State required by paragraph (1), the 
chief executive officer of the State shall certify that 
the State agrees— 
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(A) to use the funds available under this 
section— 
(i) to conduct outreach activities and 
provide assistance to low-income house-
holds and environmentally at-risk house-
holds that are also low-income households 
in meeting their home drinking water, 
stormwater, and wastewater service costs, 
particularly those households with the low-
est incomes that pay a high proportion of 
household income for home drinking water, 
stormwater, and wastewater service; 
(ii) to intervene in water crisis situa-
tions; 
(iii) to provide cost-effective water ef-
ficiency-related and other water needs-re-
lated home repair; 
(iv) to plan, develop, and administer 
the State’s program under this section, in-
cluding leveraging programs; 
(v) to develop technical assistance 
plans in coordination with parties, agen-
cies, or governments referred to in sub-
section (d)(6) or program beneficiaries; 
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(vi) to prioritize applicants for sub-
grants or contracts that include program 
beneficiaries in design and implementation 
of the program; and 
(vii) but not more than 5 percent of 
such funds, to support community engage-
ment in the design and implementation of 
the program; 
(B) not to use such funds for any purposes 
other than those specified in this section; 
(C) to make payments under this section 
only with respect to— 
(i) low-income households; and 
(ii) environmentally at-risk households 
that are also low-income households; 
(D) to conduct outreach activities and de-
velop materials (in a language understandable 
to targeted households) designed to assure that 
eligible households (especially households with 
children, elderly individuals, or individuals with 
disabilities) and households with high water 
burdens, are made aware of the assistance 
available under this section, and any similar 
water-related assistance; 
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