33 U.S.C. § 1300 — Pilot program for alternative water source projects

(a) Policy. Nothing in this section affects section 1251(g), and the section must be carried out consistently with that provision.

(b) Definitions. (1) An “alternative water source project” supplies municipal, industrial, or agricultural water in an environmentally sustainable way by conserving, managing, reclaiming, or reusing water, wastewater, or stormwater, or by treating wastewater or stormwater for groundwater recharge, potable reuse, or another purpose. It does not include water-treatment or distribution facilities. (2) “Critical water supply needs” are existing or reasonably expected future needs that existing supplies cannot meet, as identified in a statewide or regional plan or assessment covering at least 20 years.

(c) Program. The Administrator may establish a pilot program giving grants to State^*, interstate, and intrastate water-resource agencies, including water districts and supply authorities, local government agencies, private utilities, and nonprofit entities for alternative water-source projects meeting critical needs.

(d) Eligible entity. The Administrator may grant only to an entity authorized by State law to develop or provide municipal, industrial, and agricultural water in an area experiencing critical needs.

(e) Project selection. (1) A project that received construction^* funds under the 1992 reclamation and reuse program is not eligible. (2) Selected projects must represent varied geographic and environmental conditions.

(f) Grant uses. Grant money may pay for engineering, design, construction, and final testing. It may not pay for planning, feasibility studies, operation, maintenance, replacement, repair, or rehabilitation.

(g) Cost sharing. The Federal share may not exceed 50 percent of eligible project costs.

(h) Report. By September 30, 2004, the Administrator must report to Congress on the pilot program, including progress toward meeting participants' critical needs.

(i) Appropriations. (1) $25,000,000 is authorized for each fiscal year 2022 through 2026, available until spent. (2) No more than 2 percent of grant amounts may pay the Administrator's administrative costs.