US Code
SUBCHAPTER I— REAL ESTATE LOANS
§ 1926e. Rural decentralized water systems

(a) Definition of eligible individualIn this section, the term “eligible individual” means an individual who is a member of a household the members of which have a combined income (for the most recent 12-month period for which the information is available) that is not more than 60 percent of the median nonmetropolitan household income for the State or territory in which the individual resides, according to the most recent decennial census of the United States.
(b) Grants(1) In generalThe Secretary may make grants to private nonprofit organizations for the purpose of providing loans and subgrants to eligible individuals for the construction, refurbishing, and servicing of individual household water well systems and individually owned household decentralized wastewater systems in rural areas that are or will be owned by the eligible individuals.
(2) Terms and amounts(A) Terms of loansA loan made with grant funds under this section—(i) shall have an interest rate of 1 percent; and
(ii) shall have a term not to exceed 20 years.
(B) AmountsA loan or subgrant made with grant funds under this section shall not exceed $15,000 for each water well system or decentralized wastewater system described in paragraph (1).
(3) Administrative expensesA recipient of a grant made under this section may use grant funds to pay administrative expenses associated with providing the assistance described in paragraph (1), as determined by the Secretary.
(4) Ground well water contaminationIn the event of ground well water contamination, the Secretary shall allow a loan or subgrant to be made with grant funds under this section for the installation of water treatment where needed beyond the point of entry, with or without the installation of a new water well system.
(c) Priority in awarding grantsIn awarding grants under this section, the Secretary shall give priority to an applicant that has substantial expertise and experience in promoting the safe and effective use of individually owned household water well systems, individually owned household decentralized wastewater systems, and ground water.
(d) Authorization of appropriationsThere is authorized to be appropriated to carry out this section $20,000,000 for each of fiscal years 2019 through 2023.

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