To amend the Consolidated Farm and Rural Development Act to modify provisions relating to rural decentralized water systems grants.

This bill revises and reauthorizes through FY2028 a program that provides financial assistance for rural water systems under the Consolidated Farm and Rural Development Act.

Under the existing program, the Department of Agriculture may provide grants to nonprofit organizations that in turn must provide subgrants and loans to individuals for household water well systems or individually owned household decentralized wastewater systems in rural areas.

This bill modifies the eligibility requirements for subgrants. To be eligible for a subgrant, an individual must be a member of a household with an annual combined income that is no more than 60% of the median nonmetropolitan household income for the area served by the nonprofit (currently, the state or territory in which the individual resides).

The bill also allows a subgrant for a household decentralized wastewater system to include sufficient additional funding to cover the cost of a performance warranty with a duration of at least five years.

In addition, the bill allows loans to be awarded to an individual who is a member of a household with an annual combined income that is 60% or more of the median nonmetropolitan household income for the area.

Bill 118 hr 2787, also known as the Rural Decentralized Water Systems Grants Modification Act, aims to make changes to the Consolidated Farm and Rural Development Act in order to improve provisions related to grants for rural decentralized water systems.

The bill seeks to address the challenges faced by rural communities in accessing clean and safe water by providing funding for the development and improvement of decentralized water systems. These systems are crucial for ensuring that rural areas have reliable access to clean water for drinking, agriculture, and other essential needs.

Specifically, the bill proposes modifications to the existing provisions of the Consolidated Farm and Rural Development Act in order to streamline the process for applying for and receiving grants for rural decentralized water systems. This includes clarifying eligibility criteria, improving the application process, and increasing funding opportunities for rural communities in need of water system upgrades. Overall, the Rural Decentralized Water Systems Grants Modification Act aims to support rural communities in improving their water infrastructure and ensuring access to clean and safe water for all residents. By making these changes to the existing legislation, the bill seeks to address the pressing issue of water access in rural areas and promote sustainable development in these communities.