Environmental Quality Incentives Program

The Natural Resources Conservation Service Environmental Quality Incentives Program Stream Restoration Grants administered by the North Carolina Department of Environmental Quality Division of Water Resources is a state-level funding opportunity designed to support stream restoration projects that align with federal NRCS EQIP conservation objectives. The program operates under statutory authority granted by North Carolina General Statutes and session laws, enabling the Division of Water Resources to provide financial assistance to local governments for environmentally beneficial restoration activities. These projects must be cost-shared with federal NRCS EQIP funding and are intended to enhance ecological conditions, improve water quality, and support long-term environmental resilience across eligible waterways. The purpose of this grant program is to fund stream restoration efforts that demonstrate measurable economic, environmental, and social benefits. Projects must involve a contiguous section of stream and include all relevant landowners and participants under a unified project contract approved by the NRCS. The program emphasizes comprehensive restoration planning through NRCS-approved conceptual designs, which must identify all participating landowners, operators, and adjacent property stakeholders. Eligible activities include natural stream channel restoration practices as defined in the most recent EQIP and related guidance documents, with specific allowances for practices such as exclusion fencing when strict environmental and maintenance requirements are met. Funding is restricted to projects that meet clearly defined eligibility and compliance criteria. Ineligible activities include routine maintenance, regulatory compliance projects, debris removal unrelated to restoration implementation, and projects intended to generate mitigation credits under federal mitigation rules. Additionally, applicants are prohibited from seeking funding under this program if they are also receiving funding from the North Carolina Land and Water Fund. All funded projects must adhere to federal, state, and local environmental permitting requirements, and applicants are responsible for ensuring full regulatory compliance throughout project implementation. Eligibility for this program is limited to units of local government, which serve as the primary applicants and grant recipients. Non-governmental organizations may participate only as co-applicants in partnership with a local government entity. These co-applicants must coordinate closely with the primary applicant throughout all stages of the grant lifecycle, including application submission, contract execution, reimbursement processes, and project closeout. The program structure ensures that local governments maintain primary accountability while allowing for collaboration with nonprofit partners. The application process follows a competitive review structure due to limited funding availability. Applications are evaluated by a multi-agency review team using criteria that include environmental impact, regional benefits, financial capacity of the applicant, and direct benefits to state-owned lands. Projects must achieve a minimum evaluation score to be considered for funding. The program operates on defined application cycles, with a spring cycle and a fall cycle, and review decisions are typically announced several months after the close of each cycle. Award notifications may be delayed due to external factors such as legislative or funding changes. For the spring 2026 cycle, the application period opened on January 1, 2026 and was extended to close on July 31, 2026. Applications must be complete and submitted by the deadline to be considered for funding. The program is recurring, with the next spring cycle scheduled to open on January 1, 2027 and close on June 30, 2027. Applicants who are not selected for funding within one year of submission may be required to reapply, particularly if project scope or budget changes occur. Contact for the program is available through the Division of Water Resources, with a designated program administrator providing assistance to applicants throughout the process.

Focus on demonstrating strong environmental and regional benefits, ensure complete NRCS documentation, and meet all permitting requirements.