The U.S. Department of Agriculture (USDA) is announcing billions in infrastructure funding to spark transformative change in America’s rural, tribal and historically disadvantaged communities.
USDA is investing approximately $6.3 billion through three federal loan and grant programs seeking to expand reliable utilities for the country’s rural and tribal communities. Nationwide, the federal funding will advance major projects designed to upgrade electric infrastructure, manage solid waste and enhance water and waste disposal facilities.
“These investments will build modern infrastructure that will attract employers to the nation’s smallest towns and most remote communities, creating jobs, vibrant Main Streets, and lasting economic growth for the people who live there,” USDA Secretary Vilsack said in a press release.
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The largest portion of this federal funding package, $5.7 billion from the Electric Infrastructure Loan and Loan Guarantee Program, will support utility providers and electric cooperatives’ efforts to build out and upgrade electric infrastructure around the country. Awardees, including governments, tribal nations and nonprofits, will undertake projects to enhance reliability and sustainability in rural and tribal utility systems.
Spanning 23 states in this round, the electric infrastructure program will primarily finance projects that replace distribution, sub transmission and headquarters facilities with consideration for energy efficiency initiatives and adherence to modern federal regulations. Loan funds will also support eligible entities’ maintenance, upgrade and expansion costs associated with project work.
One awardee, the Carroll Electric Cooperative Corporation in Arkansas, will secure $432 million in funding to connect more than 10,000 consumers to reliable smart grid-enhanced electricity. The project will build or improve nearly 900 miles of transmission lines and invest almost $160 million of its funding allocation on smart grid technologies.
The USDA will invest $293 million for a similar initiative led by the Rappahannock Electric Cooperative in Virginia. The cooperative’s project will construct and enhance approximately 880 miles of transmission lines, implement smart grid technologies and connect more than 11,000 rural consumers to reliable power.
This funding announcement will also include nearly $642 million in combined funding to 41 states through two loan and grant programs that finance water and waste management and disposal initiatives – the Water and Waste Disposal Loans and Grants Program and the Solid Waste Management Grants program.
The former is a federal funding initiative designed to provide low-cost financing and grants for applicants to implement reliable drinking water systems, sanitary sewage disposal, sanitary solid waste disposal and storm water drainage in eligible rural areas.
A sanitary hazard mitigation project, led by Rock Rapids Municipal Utilities in Iowa, will secure a $25 million from the Water and Waste Disposal program to upgrade a vital wastewater treatment facility. The project will improve safety at the facilities and enhance facility infrastructure to meet federal water treatment quality standards.
For the electric and water and waste disposal programs, the USDA will accept applications from interested entities year-round. The department encourages potential applicants to review specific program resources and contact a general field representative prior to applying.
Furthering the department’s waste initiatives, the USDA is announcing selections for the Solid Waste Management Grants program, which provides funding opportunities for public bodies, nonprofits and academic institutions to offer solid waste training and management strategies.
The Solid Waste Management Grant program is currently accepting applications for fiscal year 2025 funding. Available until Dec. 31, the USDA is urging interested entities to apply soon to be included in future funding dispersals.
Supporting previous organizational commitments to rural communities, the USDA’s $6.3 billion federal investment will build upon recent funding announcements this year. In October, the USDA announced $1.3 billion in funding to support electrical infrastructure upgrades and water and waste disposal efforts nationwide.
More information on these federal funding programs can be found here. Additional resources on where the USDA is making substantial investments into rural communities, see the department’s Rural Data Gateway.
Photo by Brett Sayles
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