Water System Funding Sources
Drinking Water Asset Management (DWAM) Grant
The Drinking Water Asset Management Grant is the first available grant program to be developed by EGLE under Michigan's new Clean Water Plan that invests in water infrastructure around the state. The DWAM grant is available to assist water supplies in Asset Management Plan development or updates, and/or Distribution System Materials Inventory as defined in Michigan's Lead and Copper Rule. There is $36.5 million available, with a maximum grant award per applicant of $1 million. $15 million of this $36.5 million will be set-aside and made available for small and medium systems (populations serving 10,000 or less). Applications are now being accepted and until funding is exhausted. EGLE will score and process the applications quarterly. Applications for the 1st quarter are due January 1, 2021 and then due quarterly after that.
Disadvantaged Community Lead Service Line Replacement Program - DWSRF Forgiveness
EGLE will have $102,175,063 available in the form of principal forgiveness to disadvantaged communities undertaking LSLR projects. Beginning in FY 2022, DWSRF applicants that scored and ranked, and qualify as a disadvantaged community under Part 54, Safe Drinking Water Assistance, MCL 324.5402, will be eligible for 100 percent principal forgiveness. Maximum principal forgiveness per applicant will be based on three tiers defined by the population served by the water system. Maximum principal forgiveness amounts have initially been set as follows: for populations served below 50,000 the maximum will $3,000,000, populations served between 50,000 to 99,999 the maximum will be $5,000,000 and for populations served at or above 100,0000 the maximum will be $10,000,000
Consolidation and Contamination Risk Reduction (C2R2) Grant
The Consolidation and Contamination Risk Reduction (C2R2) Grant Program was developed by EGLE under Michigan's new Clean Water Plan. The C2R2 grant is available to drinking water systems for projects to remove or reduce PFAS or other contaminants, as defined under state or federal drinking water regulations, or efforts to consolidate systems or connect private residential wells to a local municipal system. There is $25 million available, with a maximum grant award per applicant of $5 million. Applications are currently accepted and will be batched and scored for processing quarterly, with applications for the first round due January 31, 2021. Applications will continue to be accepted until funding is exhausted.
Affordability and Planning Grant
The affordability and planning grant is available as part of EGLE's Clean Water Plan designed to provide funding to address water infrastructure needs across the state. The AP grant will assist communities with addressing affordability and planning needs. There is $7.5 million total funding available. Grants will be awarded based on a competitive process up to $500,000 per applicant or $2 million if an applicant is applying on behalf of multiple community water supplies. Applicants will be accepted from Dec. 1, 2020 through January 31, 2021