7 USC 1926c - Water and waste facility loans and grants to alleviate health risks

U.S Code last checked for updates: May 02, 2026

§ 1926c.

Water and waste facility loans and grants to alleviate health risks

(a)

Loans and grants to persons other than individuals

(1)

In general

The Secretary shall make or insure loans and make grants to rural water supply corporations, cooperatives, or similar entities, Indian tribes on Federal and State reservations and other federally recognized Indian tribes, and public agencies, to provide for the conservation, development, use, and control of water (including the extension or improvement of existing water supply systems), and the installation or improvement of drainage or waste disposal facilities and essential community facilities including necessary related equipment. Such loans and grants shall be available only to provide such water and waste facilities and services to communities whose residents face significant health risks, as determined by the Secretary, due to the fact that a significant proportion of the community’s residents do not have access to, or are not served by, adequate affordable—

(A)

water supply systems; or

(B)

waste disposal facilities.

(2)

Certain areas targeted

(A)

In general

Loans and grants under paragraph (1) shall be made only if the loan or grant funds will be used primarily to provide water or waste services, or both, to residents of a county—

(i)

the per capita income of the residents of which is not more than 70 percent of the national average per capita income, as determined by the Department of Commerce; and

(ii)

the unemployment rate of the residents of which is not less than 125 percent of the national average unemployment rate, as determined by the Bureau of Labor Statistics.

(B)

Exception

(b)

Loans and grants to individuals

(1)

In general

(2)

Manner in which loans and grants are to be made

Loans and grants to individuals under paragraph (1) shall be made—

(A)

directly to such individuals by the Secretary; or

(B)

to such individuals through the rural water supply corporation, cooperative, or similar entity, or public agency, providing such water supply or waste disposal services, pursuant to regulations issued by the Secretary.

(c)

Preference

The Secretary shall give preference in the awarding of loans and grants—

(1)

under subsection (a) to rural water supply corporations, cooperatives, or similar entities, or public agencies, that propose to provide water supply or waste disposal services to the residents of those rural subdivisions commonly referred to as colonias, that are characterized by substandard housing, inadequate roads and drainage, and a lack of adequate water or waste facilities; and

(2)

under subsection (b) to individuals who reside in a rural subdivision commonly referred to as a colonia, that is characterized by substandard housing, inadequate roads and drainage, and a lack of adequate water or waste facilities.

(d)

“Cooperative” defined

(e)

Authorization of appropriations

(1)

In general

Subject to paragraph (2), there are authorized to be appropriated—

(A)

for grants under this section, $30,000,000 for each fiscal year;

(B)

for loans under this section, $30,000,000 for each fiscal year; and

(C)

in addition to grants provided under subparagraph (A), for grants under this section to benefit Indian tribes (as defined in section 5304 of title 25), $20,000,000 for each fiscal year.

(2)

Exception

(f)

Regulations

(Pub. L. 87–128, title III, § 306C, as added Pub. L. 101–624, title XXIII, § 2327, Nov. 28, 1990, 104 Stat. 4015; amended Pub. L. 102–237, title VII, § 701(b), Dec. 13, 1991, 105 Stat. 1879; Pub. L. 102–552, title V, § 516(l), (m), Oct. 28, 1992,

cite as: 7 USC 1926c