Water and Waste Disposal Loan Guarantees
Water and Waste Disposal Loan Guarantees help private lenders provide affordable financing to qualified borrowers to improve access to clean, reliable water and waste disposal systems for households and businesses in rural areas.
Borrowed funds may be used to construct or improve facilities as well as for engineering fees and land, legal, and environmental analysis costs. Eligible facilities include:
- Drinking water
- Sanitary sewers
- Solid waste disposal
- Storm water disposal facilities
Funds may also be used for non-construction projects including:
- Equipment to operate, maintain, or protect facilities
- Professional service fees for engineering and environmental services
- Debt refinancing
Private lenders may apply for a guarantee on loans they make to eligible borrowers who are otherwise unable to obtain commercial credit on reasonable terms.
Eligible borrowers include:
- State and local governments
- Nonprofit organizations
- Federally recognized tribes
Eligible areas include cities, villages, townships, and federally recognized tribal lands with populations of 50,000 or less (check eligible addresses).
The loan guarantee percentage for Fiscal Year 2026 is 90%.
Visit the streamlined OneRD Guarantee Loan Initiative website for detailed application information.
Lenders may contact a representative in a USDA State Office for additional details. Borrowers should ask private lenders if they participate in USDA loan guarantee programs.
Related Content
Organizations (2)
- U.S. Department of Agriculture, view details
- USDA Rural Development, view details
For complete information about funding programs, including your
application status, please contact funders directly. Summaries are provided
for your convenience only. RHIhub does not take part in application processes
or monitor application status.