Facility Planning Grants

The Idaho Department of Environmental Quality (DEQ) offers Facility Planning Grants as part of its State Revolving Fund (SRF) program to support public water and wastewater systems in preparing facility plans. These grants are designed to promote environmentally sound and cost-effective infrastructure improvements that ensure long-term compliance with state and federal drinking water and wastewater regulations. The program is rooted in the Idaho Administrative Procedures Act (IDAPA 58.01.22 for planning grants and IDAPA 58.01.12 for loan programs) and is administered through DEQ’s Grants and Loans Program under the Drinking Water Protection and Finance Division. Facility Planning Grants provide financial support covering up to 50% of eligible planning costs. The remaining balance must be covered by the applicant, and systems that lack the financial capacity to meet this requirement are considered ineligible. Although subject to funding availability and annual prioritization, the typical maximum DEQ matching contribution is historically set at $45,000 for drinking water planning and $65,000 for wastewater planning. These planning grants are primarily used to assess infrastructure conditions, explore design alternatives, and develop a planning document to identify the most viable and sustainable improvement strategy. Costs such as test wells and pipeline inspections may be eligible, while construction costs are explicitly excluded from coverage. Eligible applicants include counties, cities, special service districts, and other governmental entities, as well as nonprofit corporations that manage wastewater or drinking water systems. For wastewater, the applicant must provide direct water quality benefits. For drinking water, eligible applicants must operate public water systems, which may be community systems or non-community systems, such as transient systems serving rest areas or non-transient systems such as schools and hospitals. Ineligible entities include privately owned wastewater systems, for-profit non-community water systems, and any systems that are delinquent in fee or loan payments or lack the capacity to cover the non-grant share of the planning cost. The annual funding cycle begins each October with a call for Letters of Interest (LOIs), which must be submitted by mid-January. DEQ then evaluates and ranks submissions based on public health risk, environmental concerns, and system sustainability. Highest-ranking applicants are invited to submit full grant applications. These applications must include the completed Planning Grant Application (SRF-01) and supporting documentation. Preference is given to applicants demonstrating readiness, such as having secured a licensed professional engineer to complete the technical planning document. Engineering services must be procured through a qualifications-based selection process as outlined in Idaho Code 67-2320. Selected recipients must hire a professional engineer to complete a planning document that evaluates existing system conditions, recommends improvement options, and assesses potential environmental impacts. Projects seeking future SRF construction funding must also complete an environmental review and provide a public comment opportunity. The planning document is submitted in draft form to DEQ for review and must be finalized after public input and DEQ approval. Final reimbursement occurs after DEQ confirms that all programmatic requirements are met, including completion of environmental documentation and formal adoption of the selected project alternative. The Facility Planning Grants program operates on an annual cycle. Letters of Interest are accepted from October to January, DEQ evaluates applications in February and March, and invitations to apply are sent following Board approval in May. Funding offers are typically made in early summer, with grant execution and project commencement taking place between July and the following June. Systems interested in applying are encouraged to consult DEQ’s regional offices and consider engaging a consulting engineer early in the process to support the LOI and application preparation. The primary point of contact for the program is MaryAnna Peavey, Grants and Loans Bureau Chief, who can be reached via email at MaryAnna.Peavey@deq.idaho.gov or by phone at (208) 373-0122.