**This general notice has been revised to correct the comment period end date. The comment period closes June 20, 2025.**

Introduction

In September 2024, Hurricane Helene significantly damaged many drinking water, wastewater, and decentralized wastewater treatment systems, particularly in the western portion of the Commonwealth of Virginia. On December 21, 2024, the American Relief Act, 2025, P.L. 118-158, (“the Act”) became law. The funding for the Environmental Protection Agency (EPA) in Title VII of the Act includes $3 billion in disaster relief supplemental funding for the State Revolving Fund (SRF) programs, of which, $1.23 billion was allotted to the Clean Water State Revolving Fund (CWSRF), available only to states or territories in EPA Regions 3, 4, and 9 for wastewater treatment works impacted by Hurricanes Helene and Milton and the Hawai’i wildfires. Only the States of Florida, Georgia, Hawai’i, North Carolina, South Carolina, Tennessee, and Virginia are eligible to apply for these CWSRF and Drinking Water State Revolving Fund (DWSRF) supplemental funds. The Act also appropriated an additional $85 million in supplemental funding for the CWSRF program to improve the resilience of decentralized wastewater treatment systems, available only to states or territories in EPA Regions 3 and 4 impacted by Hurricanes Helene and Milton. Only the States of Florida, Georgia, North Carolina, South Carolina, Tennessee, and Virginia are eligible to apply for these CWSRF supplemental funds.

Section 606 of the Water Quality Act of 1987 requires the State to develop an Intended Use Plan (IUP) for the use of these emergency funds, that identifies the uses of its Clean Water Revolving Loan Fund and to prepare a list of projects targeted for funding assistance.  Following public comment and final Board action, the list of targeted projects for financial assistance will become the state’s clean water revolving loan Supplemental Appropriation for Hurricanes Helene and Milton and the Hawai’i Wildfires (SA-HMW) Project Priority List (PPL) in the Supplemental IUP.

Funds Available

The 2025 State Revolving Fund Supplemental Appropriation for Hurricanes Helene and Milton and the Hawai’i Wildfires (SA-HMW) for Clean Water will be administered by the Virginia Department of Environmental Quality’s (DEQ) Clean Water Financing and Assistance Program (CWFAP) via the State Revolving Loan program. Virginia’s allotment is $9,307,000 in SA-HMW funds for the Clean Water program.  In addition, the American Relief Act, 2025, appropriated $85 million in supplemental funding for the CWSRF program to improve the resilience of decentralized wastewater treatment systems, of which, Virginia’s allotment is $1,656,000.  Final Board approval of the full project list will be requested at a future meeting of the Board.

SA-HMW Supplemental Development

Virginia plans to utilize the $9,307,000 in project loans with full principal forgiveness as all the communities that were affected by this natural disaster are financially stressed and considered disadvantaged communities within the Commonwealth. Virginia’s draft Supplemental Intended Use Plan (IUP) for Supplemental Appropriations Under the SA-HRMW and Priority Project List (PPL), targets 3 projects for this funding. The HA-SMW Project Priority List will become effective depending upon approval by the State Water Control Board (Board) at a future meeting.

DEQ assisted with the collection of critical wastewater infrastructure damage assessment information, which was incorporated within a report from the Virginia Department of Emergency Management (VDEM) detailing impacted wastewater works systems directly after the flood waters subsided. The DEQ Southwest Office Pollution Response Team (PreP) performed site visits to all wastewater works identified on the FEMA-4831-DR, Virginia Disaster Declaration Map, dated October 10, 2024. In addition, CWFAP oversight and extensive outreach has been performed via site visits and meetings to determine the localities with the greatest demonstrated need based on financial need and environmental impacts or potential impacts on State waters. Based on extensive field investigations and outreach, it is with great confidence that the project priority list (PPL) has identified the projects with the greatest need and that will result in improving water quality of the Commonwealth of Virginia. Therefore, DEQ proposes funding for the projects on the PPL and bypassing an application solicitation period in order to expedite the distribution of funds. Expediting distribution of funds will allow for these most critically important wastewater infrastructure repair projects to be realized in a more timely manner, thus eliminating ongoing public health threats, expediting the restoration of the community’s natural resource for recreational and economic benefits, as well as significantly improving the water quality in these highly impacted areas.

Public Participation

DEQ is presenting the draft list of targeted SA-HMW funding recipients for public review and comment. More information on the supplemental PPL and the proposed IUP can be found on the Clean Water Revolving Loan website here: https://www.deq.virginia.gov/our-programs/water/clean-water-financing-and-assistance/virginia-clean-water-revolving-loan-fund-vcwrlf.

A Public Meeting will not be held, but written comments and recommendations regarding the IUP will be accepted until June 20, 2025.  DEQ considers all meaningful public input and comments and may revise the IUP and project priority list if necessary.  Please direct your request for information and forward written comments to:

Meghan Mayfield

Director Clean Water Finance and Training Assistance
Department of Environmental Quality
PO Box 1105
Richmond, Virginia 23219 

cwfap@deq.virginia.gov

Written comments should include the name, address, and telephone number of the commenter.