Sewer Overflow and Stormwater Reuse Municipal Grants Program

The Sewer Overflow and Stormwater Reuse Municipal Grants Program is administered by the Oregon Department of Environmental Quality to support public-sector efforts to address water quality challenges associated with stormwater and sewer systems. The program is connected to the Clean Water State Revolving Fund Intended Use Plan and is also informed by projects identified through the state’s stormwater permitting program. It is designed to help communities, particularly those facing financial constraints, implement infrastructure improvements that reduce pollution and protect public health. The primary purpose of the program is to fund projects that mitigate combined sewer overflows, sanitary sewer overflows, and unmanaged stormwater runoff. These environmental issues arise when heavy precipitation overwhelms infrastructure systems, leading to the discharge of untreated or partially treated wastewater into natural waterways. The program recognizes that stormwater often carries pollutants such as chemicals, oils, sediment, and debris, which can significantly degrade water quality and pose risks to ecosystems and human health. Funding through this program may be used for a range of project activities, including planning, design, and construction. Eligible uses include updating stormwater master plans, rehabilitating or replacing aging infrastructure, and implementing green infrastructure solutions such as bioswales and rain gardens. The program also supports structural improvements that capture and redirect runoff, including gutters, downspouts, and storage systems. Funds may be applied to all or part of a project’s stormwater-related components, and land acquisition is allowable when it directly supports stormwater management facility construction. Eligibility for the program is limited to federally recognized tribal governments and public agencies. These include state agencies, cities, counties, school districts, special districts, and intergovernmental entities authorized to construct water pollution control facilities. Projects must either be included in the Clean Water State Revolving Fund Intended Use Plan or identified through the Department of Environmental Quality’s permitting programs. There is no separate full application process; instead, eligible entities must submit an Organization Information Form to express interest and identify qualifying project components. The application process involves submitting the required Organization Information Form within the designated submission window. For the funding cycle referenced, the Department of Environmental Quality accepts project information between July 15, 2026 and September 15, 2026. Projects must clearly define stormwater components and demonstrate readiness for inclusion in the funding plan. Selected projects will have defined timelines for completion established in a work plan prior to award issuance. Funding amounts are variable and depend on project scope, community need, and available funds. The number of awards and individual grant sizes may differ from cycle to cycle. Matching funds may be required depending on project evaluation using the Environmental Protection Agency’s affordability screening tool, with a maximum required match of 20 percent. Additional federal requirements, including Build America Buy America provisions, may apply to construction components. Program administration includes coordination between the Department of Environmental Quality and grant recipients to determine eligible costs and ensure compliance with funding rules. Contact for the program is provided through the Department’s Community and Program Assistance office, which can assist with questions regarding eligibility, project qualification, and submission requirements. The program is expected to operate on a recurring annual cycle aligned with federal funding allocations and state planning processes.