CDBG Water + Sewer

Administered By: Iowa Economic Development Authority

Approximately $13 million in federal Community Development Block Grant (CDBG) funds are available on an annual basis to cities and counties through the state of Iowa’s Water & Sewer Fund.

This competitive program offers grants to assist communities for a variety of projects including drinking water sources, water distribution, waste water collection and treatment and related public critical infrastructure projects.

All incorporated cities and all counties in the State, except those designated as HUD entitlement areas, are eligible to apply for and receive funds under this program.

Timeline: Jan 1, May 1, Aug 1., 2025. After 2025 deadines are moving to March 1 and June 1.

Qualifying Projects: Sanitary sewer system improvements, water system improvements, water and wastewater treatment facility projects, storm sewer projects related to sanitary sewer system improvements, and rural water connections.

Application Criteria: 51% of residents served by the project must be low to moderate income

Maximum Award: $500,000

Administrative Considerations: Davis Bacon Prevailing Wages for Construction Projects