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Funding for Drinking Water and Wastewater Infrastructure to address Hurricane Helene Impacts

DWI can provide funding assistance to local governments, nonprofit water/wastewater providers, and investor-owned drinking water companies that were impacted by Hurricane Helene in the following ways, based on funding availability:

State Revolving Fund (SRF) Helene (SA-HMW) Loans: A long-term, zero-interest loan with principal forgiveness that is exclusive to Helene-impacted communities for drinking water, wastewater and decentralized wastewater treatment systems. This funding is initially limited to $10 million for drinking water projects and $5 million for wastewater projects. 

Helene Emergency Bridge Loans: A short-term loan from State-appropriated funds to cover immediate funding needs until another federal or state funding program covers the costs.

  • Please note: At this time, all available funding for the Helene Emergency Bridge Loan funds have been obligated. If interested in a longer-term emergency loan (not a bridge loan), please contact Keith.Krzywicki@deq.nc.gov

State Reserve Grants: In the Fall 2025 funding application round, applications for funding from local government units and non-profit water corporations from some western North Carolina counties for drinking water and wastewater projects to address Hurricane Helene damages will be prioritized for grant funding, per S.L. 2025-2026, Section 3.6. Grant limits are $3 million per eligible applicant. See the Applications webpage to download the application forms and to submit the completed application.  Applications are due Sept. 30, 2025 at 5 p.m.

 

Application Process, Forms, Guidance and Resources

  • Each application includes a priority rating form that assists the Division in evaluating the proposed project in terms of prioritization established by the State Water Infrastructure Authority
  • After the deadline for each funding round, the Division reviews all applications and assigns priority rating points as described in the guidance based on information provided in the application.
  • The Division ranks the projects in priority point order and presents this information to the State Water Infrastructure Authority.
  • The Authority is responsible for selecting the applications to receive project funding.
  • Applications are generally accepted on a semi-annual basis with established deadlines for most funding programs. For a small  number of specific funding programs, applications are accepted on a rolling basis.

Visit the Application Training page for additional Fall 2025 funding round information 

Lead Service Line Replacement Funding

Learn more about available funding for lead service line replacement

Emerging Contaminants Funding

Learn more about available funding to address PFAS

Available Funding Programs

The Division provides low-interest loans and grants for local governments and certain other non-profit entities for water infrastructure through the following programs:  

  • Clean Water State Revolving Fund (CWSRF): Provides low-interest loans to local government units and non-profit utilities to fund wastewater collection and treatment facilities as well as programs associated with estuary and non-point sources.
  • Drinking Water State Revolving Fund (DWSRF): Provides low-interest loans to local government units, non-profit water corporations and investor-owned drinking water companies for projects to provide safe drinking water.
  • Community Development Block Grant – Infrastructure Provides grants to local government units to address water and wastewater infrastructure needs in HUD qualified low-to-moderate income communities.
  • State Wastewater & Drinking Water Reserve Programs: Provides grants for technical assistance and for construction of critical needs for wastewater collection systems, wastewater treatment works, and public water system projects.
  • Merger/Regionalization Feasibility Grant Program: Provides grants for studies to evaluate the potential consolidation of two or more systems into one system and the potential physical interconnection with another system for regional wastewater treatment or regional water supply.
  • Asset Inventory and Assessment Grant Program: Provides grants for developing asset inventories, condition assessment of critical assets, and other components of a comprehensive asset management programs.
  • Viable Utilities Program: Provides grants funding to build a path toward viable utility systems using long-term solutions for local government units designated as distressed.
  • Local Assistance for Stormwater Infrastructure Investments Program (LASII): Provides grants for construction and planning for stormwater projects to improve or create infrastructure for controlling stormwater quality and quantity.
  • Lead Service Line Replacement Funding: Provides zero-interest loans and principal forgiveness funding to local governmnet units, non-profit water corporations and investor-owned drinking water companies specifically to identify, inventory, and replace lead service lines and lead connectors throughout water systems.
  • Emerging Contaminants (PFAS) Funding: Provides funding to local government units, non-profit water corporations, and investor-owned drinking water companies to evaluate/assess solutions and/or construction of solutions to address PFAS contaminatoin in drinking water systems, wastewater systems, and publicly-owned landrills.

American Rescue Plan Act (ARPA) Funding

 

 

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