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New Funding Opportunities

Water and Wastewater Folks; We have more work to do (as usual)


Table of Contents


1 - LIHWAP (Low Income Household Water Assistance Program) Funding:

Basic Info:

Congress recently made available some nine hundred million dollars (~$900,000,000) in relief to individual low-income households across the USA to assist with water and sewer service bills.

Alabama will receive approximately twenty million dollars (~$20,000,000) of that money.

This money will be distributed through a program that will be setup in a manner similar to the LIHEAP program administered by ADECA's energy division.

The program is pre-infancy, which provides us a unique opportunity to assist with this program during the setup phase.

ARWA has been approached to reach out to you all in the water and wastewater industry and collect data that will assist with the creation of the initial program plan, which is due back to funding officials from ADECA on August 9th, 2021. This gives us very little time to act.

Cons

  • In order for systems to engage with this process, they will be required to enter an agreement with ADECA.
  • Systems will have a bit of delay in payment and will have to account for that without causing additional fees on an individual's account.
  • Additional overhead - Systems will have to account for these agreements and adjust appropriately. There will likely be a small amount of reporting due from time to time.
  • These funds will only be available for 2 years, ending September, 2023. For now...

Pros

  • This program is on the fast-track with the program plan being made ready and funds to be released in November of this year!
  • Customers apply for the funding and, if qualified, the State will pay you directly on behalf of those folks.
  • Water and wastewater systems will be able to promote a path to their customers who need help the most in order to avoid lengthy payment plans and potential service disconnections.
  • Systems will receive payment from accounts that have fallen into serious delinquency.
  • Systems will get paid! Celebrate!

Resources


2 - ARPA (American Rescue Plan Act) Funding:

Basic Info:

I (Rob) recently attended a meeting in Decatur, AL that offered a brief understanding of these funds. And, again, water and wastewater are afterthoughts. However; there is a path to accessing these monies given a person representing water and wastewater interests can express a project's needs and how that project may assist the local community.

With that said, let me give you the short version of this program.

There have been made some $1.7 billion dollars to the Cities and Counties of Alabama. There is a process that those entities have to engage in order to access their share of funding.

That program is available and The League of Municipalities is best situated to assist those groups apply for and get their share of funding.

Cons

  • Localities have broad discretion in how funding will be allocated.
  • If (for those who are organized separately from their City/County) you have a project that qualifies, you have to promote your project and fight for a piece of the funding available.
  • As a Board or Authority, you have no control on access to these funds at present.

Pros

  • $1.7 billion in funding available to localities in Alabama with an additional >$2 billion for the State to work on how to appropriate.
  • Water and Wastewater Projects are eligible for funding.
  • Funding can be acquired for any project that meets ADEM SRF project qualifications.
  • Localities have broad discretion in how funding will be allocated.

Resources

  • Powerpoints from my meeting will be made available, but have not been made available yet. As soon as they are, we will link them here.
  • AL League of Municipalities ARPA info
  • US Treasury Dept ARP info
  • More to come as we learn more. Just please go get your group some funding through the league as soon as possible . Once allocated, you may have opportunity to acquire some of those funds.

Questions / Comments?

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