EPA shares SRF implementation memo

March 9, 2022
The memo outlines requirements and recommendations for both the Drinking Water and Clean Water State Revolving Funds.

The U.S. Environmental Protection Agency (EPA) has issued a memorandum to guide a collaborative implementation of $43 billion in water infrastructure funding through the Bipartisan Infrastructure Law.

EPA’s memo is a key implementation step that outlines requirements and recommendations for the Drinking Water and Clean Water State Revolving Funds (SRFs) to ensure clean and safe water and to replace lead pipes nationwide.

“The Bipartisan Infrastructure Law’s investment in clean water is nothing short of transformational,” said Radhika Fox, EPA’s assistant administrator for water. “EPA and its state, local, and Tribal partners have an obligation to work together and maximize the impact of these funds in communities, especially disadvantaged communities. Water is essential, and this action will help ensure that every American can rely on safe drinking water and have

The majority of water infrastructure funding through the Bipartisan Infrastructure Law—$43 billion—will flow through the Clean Water and Drinking Water State Revolving Funds (SRFs). EPA’s implementation memo provides information and guidelines on how EPA will award and administer supplemental SRF Capitalization Grants through the law, including for the general drinking water and clean water SRF programs and funding that will be dedicated to removing lead service lines and addressing perfluoroalkyl and polyfluoroalkyl substances (PFAS) and other emerging contaminants.

EPA’s implementation memo highlights the flexibility provided to states and borrowers to address a wide variety of local water quality and public health challenges. SRF funding through the Law can be used in combination with additional funding sources to finance water infrastructure projects that meet the most pressing local needs.

The memo also underscores provisions included in the Bipartisan Infrastructure Law to ensure that disadvantaged communities fully benefit from these historic investments in the water sector. Additionally, the memo specifies strategies for making rapid progress on lead service line replacement and addressing PFAS and other emerging contaminants.

“The Environmental Council of the States appreciates EPA's engagement with the states in preparing their SRF Implementation Memo and looks forward to working closely with EPA and others to ensure these critical funds are delivered quickly and efficiently through flexible and targeted policies to help provide clean and safe water for all,” said Maryland Department of Environment Secretary, and Environmental Council of the States President, Ben Grumbles.

The memo issued today follows a letter from EPA Administrator Michael S. Regan to Governors in December of 2021, encouraging states and Tribes to maximize the impact of water funding from the law to address disproportionate environmental burdens in historically disadvantaged communities across the country.

EPA will be working with state co-regulators, Tribal partners, and stakeholders on next steps. The agency will provide training and technical assistance to support the development of intended use plans that identify priority projects for SRF funding. EPA intends to review these plans aligned with the requirements and recommendations of the implementation memo with the goal of expeditiously investing in communities across the country.

EPA will host national webinars on March 10, 2022 at 4:00 p.m. EST, and March 16, 2022 at 2:00 p.m. EST. To register, visit https://www.epa.gov/dwsrf/forms/bil-implementation-memorandum-webinar.

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