Rural Water Assistance Fund

The Rural Water Assistance Fund (RWAF) Program is focused on providing small, rural water utilities with low-cost, long-term financing for water and wastewater projects. It is aimed at water supply corporations or projects that are ineligible for tax-exempt financing, supporting a wide range of activities including the improvement or construction of water-related infrastructure and water quality enhancements. Eligible borrowers include nonprofit water supply corporations, districts, and municipalities serving small populations, as well as counties with no large urban areas. The fund offers loans with tax-exempt equivalent interest rates and long-term finance options, with a specific intent to support planning, design, and construction phases of water supply, treatment, and quality enhancement projects. Only loans are available through the RWAF, with benefits such as a maximum 40-year maturity on loans and the exemption from sales tax for nonprofit water supply corporations on projects financed by the program.