Drinking Water Planning Grants

The Planning Grants: Drinking Water Preliminary Engineering Reports program is administered by the Nebraska Department of Environment and Energy (NDEE) through its Drinking Water State Revolving Fund (DWSRF). This initiative provides critical financial support to small, publicly owned water systems across Nebraska that serve populations of fewer than 10,000. The goal of the program is to help these communities develop Preliminary Engineering Reports (PERs) that evaluate current water systems and recommend strategies to meet regulatory requirements, improve water quality, and ensure long-term sustainability and affordability. The grant provides up to $20,000 to eligible applicants that have been identified as facing financial hardship. The funding supports up to 90% of project costs, and recipients are required to provide a 10% cost share. The grant funds can be used to hire professional consultants to assess the existing water infrastructure, evaluate compliance with drinking water regulations, and identify needed improvements. The resulting PERs are expected to include detailed technical and financial plans to help communities address their long-term capital needs efficiently, especially where financial resources are constrained. Eligibility is limited to publicly owned water systems within Nebraska that serve fewer than 10,000 people. Eligible entities include cities, towns, villages, sanitary improvement districts, natural resource districts, or other public bodies legally established under state law that operate a public water supply system. Privately owned water systems are not eligible. The NDEE determines eligibility using information from the biennial Combined Clean Water and Drinking Water State Revolving Fund Needs Survey, which is distributed each fall and due by January 15. Rankings based on these surveys help establish priorities in the Drinking Water SRF Intended Use Plan. The program emphasizes selecting communities that are committed to acting on the recommendations of the Preliminary Engineering Reports and who are likely to pursue additional DWSRF loans to implement needed improvements. Planning grants are awarded only to communities that show an intention to follow through with capital projects based on the assessments. This is part of the state's larger capacity development strategy to strengthen the technical, managerial, and financial capabilities of small systems. In a related note, a component called Small Community Matching under the DWSRF allocates funds specifically for small water systems as part of the broader strategy to enhance community readiness for long-term capital planning. This stream allows grants of up to $10,000 for PER services, covering up to 90% of eligible costs. The goal is to bolster the readiness of small systems to advance through the funding pipeline effectively. Interested applicants are encouraged to contact the DWEE Financial Assistance Section at 402-471-4200 or via email at ndee.srf@nebraska.gov. While no specific open or close dates are published, the program uses a biennial evaluation cycle to determine eligibility and initiate contact with potential recipients.