Fund Your Community’s Lead Service Line Replacement Program

Cook County TAP is committed to connecting municipalities with up-to-date information on funding opportunities to help you offset the often-costly effort of developing and implementing a lead service line replacement program.

The Bipartisan Infrastructure Law passed in 2021, provides the U.S. Environmental Protection Agency with funding to support water infrastructure through 2026. Along with the American Rescue Plan Act, the Bipartisan Infrastructure Law allocates funding for lead service line replacement and provides significant resources to Cook County communities planning to replace lead service lines. 

 

Federal, State, and Local Funding Opportunities 

    The Bipartisan Infrastructure Law, passed in 2021, provides $26.7 billion in funding to the U.S. Environmental Protection Agency (EPA) to support water infrastructure through FY2026. $15 billion of this funding can be used directly for LSLR and the remaining $11.7 billion in Supplemental Funding can also be used for LSLR and other eligible projects. 

    The Illinois EPA is expected to receive $1.03 billion of these funds over the course of 5 years. Funds will be made available through the State Revolving Fund (SRF) and other initiatives such as the Lead Service Line Inventory grant program. 

    For more information check out A Guidebook to the Bipartisan Infrastructure Law.

    The American Rescue Plan Act (APRA) provided $8.1 billion dollars to State and Local Fiscal Recovery Funds in the State of Illinois. This funding can be used for clean drinking water projects, including lead service line replacement. In Cook County, ARPA funds are being used to provide technical assistance for LSLR and to fund a lead service line replacement program for high-risk facilities called LeadCare Cook County. All ARPA funds must be allocated by the end of 2024 and spent by the end of 2026.

    The Federal Government provides Drinking Water State Revolving Funds with dedicated funding to address water infrastructure and lead service line replacement needs. States administer the funds allocated by Congress and community water suppliers then apply for funding from their state.

    The Illinois EPA State Revolving Fund (SRF) is a primary resource for Cook County municipalities seeking federal funding for lead service line replacement. Depending on a community’s eligibility, SRF is either a low or no interest loan program aimed at protecting public health. The Illinois EPA anticipates applying for the first year of BIL LSLR funding of $106,964,000, which will be available in FY2024. Year 2 of BIL LSLR funding, anticipated to be $230,177,000, will be available in FY2025. All LSLR loans will have an interest rate of 0% and a loan term of 30 years (40 years for disadvantaged communities). Initial funding cap for projects is $2,755,000/loan recipient for Principal Forgiveness and a $13M cap for loan recipients. An additional $656M dollars available for general water infrastructure improvements (which can be used for LSLR) and $65M for emerging contaminants. Applications for SRF funding are typically due by September of the year preceding the need for funding.

    More information on the Illinois State Revolving Fund program go to the Illinois SRF website and Cook County TAP SRF Applications.

    Three grants are available through The WIIN Act to help with drinking water projects, including lead service line replacement: 1) the Small, Underserved, and Disadvantaged Communities grant, 2) the Reducing Lead in Drinking Water grant, and 3) the Voluntary School and Child Care Lead Testing and Reduction Grant. 

    1. The Small, Underserved, and Disadvantaged Communities grant offers funding for infrastructure and capacity building activities to help communities comply with the Safe Drinking Water Act. The funding is non-competitive and eligible applicants submit workplan application packages on a continuous basis to receive funding. 
    2. The Voluntary School and Child Care Lead Testing and Reduction grant is available to all states, territories, and tribes. It provides non-competitive funding for lead testing and mitigation projects at schools and child cares. 
    3. The Reducing Lead in Drinking Water grant is available for projects that reduce lead in drinking water through LSLR and treatment projects for public water systems, schools, and child cares. 

    More information on these grants is available on the USEPA website and in an overview infographic produced by USEPA.

    Administered by USEPA, the WIFIA program offers long-term, low interest loans for a host of drinking and wastewater projects, including drinking water treatment and distribution projects. Local, state, and tribal government entities can apply to receive a loan, along with partnerships, joint ventures, corporations, trusts, and Clean Water and SRF programs. The minimum project size for small communities is $5 million; for large communities it is $20 million.

    More information is available on USEPA’s website and in their informational overview sheet.

    The U.S. Department of Housing and Urban Development (HUD) makes Community Development Block Grants available to communities (municipalities) to address critical housing needs in disadvantaged communities, including public infrastructure and housing rehabilitation grants. Both can be used for lead service line removal and are administered by the Illinois Department of Commerce and Economic Development.

    Cook County uses its CDBG funding primarily to support capital improvement projects (e.g., roads, sewers, facilities) and social services, including houseless prevention/intervention, development of public-private partnerships, and planning in suburban Cook County. Applications are due in March with the next cycle beginning January 2025. Funding levels are unknown but expected to be similar to those in 2024, approximately $10M.

    More information on Cook County’s application website

    Community Project Funding (formerly referred to as “earmarks”) are directed by legislators and are distributed at the local level. Projects receiving Community Project Funding are typically shovel ready and selected by legislators for their district. Illinois received an estimated $400 million in Community Project Funding in fiscal year 2023 including over $56 million for water infrastructure projects of which nearly $4 million specified lead service line replacement projects. 

    Submissions for projects are typically available one to two times a year. Check your legislator’s website regularly for updates.

    To apply for funding, reach out to or visit the website of your federal representatives to learn more about their process or the Senate Appropriations Committee for an overview of current funded projects.

    Grant funds through the Lead Service Line Inventory Grant Program help fund the completion of a community’s lead service line inventory to meet the inventory requirements of Section 17.12 of Illinois’ Lead Service Line Replacement and Notification Act (Act) (415 ILCS 5/17.12). Funding for 2024 is $6,570,000 with a maximum grant of $50,000.

    Applications are now open until the funds are depleted. Learn more on the LSLI grant opportunity page.

    The LeadCare Cook County program provides free lead service line replacement to licensed child care providers in suburban Cook County. While the program does not provide funding directly to communities, it helps communities offset the cost of lead service line replacement by covering the full cost of replacement at these high-risk facilities. It also helps community water suppliers meet their state requirements to prioritize high-risk facilities in their lead service line identification and replacement plans. Current funding is available through 2026.

    Child care providers can enroll in the program by visiting LeadCare Cook County. Municipalities interested in partnership opportunities through the program can email info@leadcarecookcounty.org.

    The Distressed Cities and Persistent Poverty Technical Assistance (DCTA) program is designed to build capacity of local governments experiencing economic distress and assist local governments and their nonprofit partners in alleviating persistent poverty in specific areas. Through DCTA, HUD provides technical assistance (TA) directly to entities serving smaller communities with populations under 50,000.

    Central to the success of a robust LSLR program is good fiscal health, strong financial performance, and effective financial management practices. These are the primary components of the technical assistance offered through this program. 

    Find out more at The Distressed Cities and Persistent Poverty Technical Assistance.

    The USDA Rural Development program funds projects in rural communities in 70 program areas including “Water and Environmental” and “SingleMulti-Family Housing” programs. For example, in FY 2024 there was $1M available in the “Revolving Funds for Financing Water and Wastewater Projects” for small water infrastructure projects. There is no exact definition of “rural” other than it is a community that is not designated as “urban” by the U.S. Census Bureau. Typically, the population is not to exceed 20,000 with some exceptions.

    Find out more at USDA Rural Development.