H.R. 7921: To amend the Consolidated Farm and Rural Development Act to modify provisions relating to rural decentralized water systems grants.

This bill aims to amend the Consolidated Farm and Rural Development Act to improve support for rural decentralized water systems through specific grant programs. The key aspects of the bill include:

Grants to Nonprofit Organizations

The bill allows the Secretary to provide grants to private nonprofit organizations. These grants will be used to offer financial assistance in the form of subgrants and loans for:

• Construction, refurbishing, and servicing of individual household water well systems.
• Household decentralized wastewater systems in rural areas.

Subgrants and Loans

The funds received from the grants must be utilized by nonprofit organizations to provide:

• Subgrants: These are for individuals residing in the nonprofit's service area whose household income is less than 60% of the median nonmetropolitan household income.
• Loans: These are for individuals in the same service area whose household income is at or above 60% of the median nonmetropolitan household income.

Funding Amount Adjustments

The bill proposes a change in the maximum amount for loans, increasing it from $15,000 to $20,000. This allows for greater financial flexibility for households needing assistance with water systems.

Performance Warranties

Additionally, the legislation includes provisions that allow a portion of the subgrant to cover the cost of performance warranties for decentralized wastewater systems. These warranties must last a minimum of five years, ensuring that the systems installed meet certain performance standards over time.

Longer Time Frame

The bill also extends the timeline for certain provisions in the act from the year 2023 to 2031, which allows for more sustained support and planning in rural water system efforts.

Conclusion of Key Provisions

Overall, the bill seeks to enhance the financial support available for individuals in rural areas to access clean water and effective wastewater management systems, focusing particularly on low-income households and ensuring the sustainability of these systems through additional funding for warranties.

Relevant Companies

• None found