§300j–3 Special Project Grants and Guaranteed Loans

Summary

The Administrator can give grants to pay for projects that test new or better ways to deliver safe drinking water and to study making reclaimed or recycled wastewater safe to drink. Grants can cover up to 66 2/3 percent of construction costs and up to 75 percent of other project costs. Construction or changes to public water systems must be approved by the State agency in charge of drinking water safety (or the State health authority if there is no such agency). The Administrator must consult the National Drinking Water Advisory Council and must find the project useful before granting money. Projects that deal with health risks needing advanced treatment get priority. Congress provided $7,500,000 for the year ending June 30, 1975; $7,500,000 for the year ending June 30, 1976; and $10,000,000 for the year ending June 30, 1977. During the years ending June 30, 1975 and June 30, 1976, the Administrator must run a program to guarantee loans from private lenders to small public water systems so they can meet the national primary drinking water rules under section 300g–1. Guarantees are allowed only if the system cannot reasonably get other financial help and if the Administrator decides the new facilities will not soon become obsolete because of future rule changes. No system may have more than $50,000 guaranteed, and the total guaranteed under this program may not exceed $50,000,000. The Administrator must write rules to run the guarantee program.