RD164 - Virginia Drinking Water State Revolving Fund Program Report – 2025


Executive Summary:

In 2025, the Virginia General Assembly approved House Bill 1600 (Chapter 725), Item 280, hereinafter titled HB 1600, which directed $25 million for one-time grants to localities to upgrade or replace existing drinking water infrastructure. To receive a grant, the awarded locality must provide proof of at least 25% match for the cost of the project. No grant to a locality can fully fund the drinking water project. The legislation prioritized projects with the Town of Bowling Green and Greene County, both of which demonstrated outstanding critical drinking water needs. Critical drinking water needs included the occurrence of boil water advisories, systems failures, or contaminants in the drinking water. Further actions implemented by ODW are listed below.

FURTHER ACTIONS

The Virginia Department of Health (VDH) developed guidelines for grant eligibility, conditions for the grants, and grant distribution priorities. VDH posted a Virginia Regulatory Town Hall notice, addressing all three requirements utilizing the existing Drinking Water State Revolving Fund (DWSRF) procedures. No public comments were received related to HB 1600 funding.

VDH conducted one round of evaluations of applications including considering construction applications received during the past DWSRF funding cycle. VDH received a total of 31 applications including 13 new applications and 18 rollover applications.

VDH utilized the existing DWSRF scoring sheet in Appendix C, following the Program Design Manual linked here, to score and rank the applications. The results were sorted for highest ranking score, with projects in the town of Bowling Green and Greene County receiving priority in accordance with HB 1600. Fauquier County was the third priority from the scoring.