Lead Service Line Replacement Funding

The Bipartisan Infrastructure Law invests $15 billion nationwide towards Lead Service Line Replacement (LSLR). With this investment, 49% of funds will be provided nationwide to communities as principal forgiveness loans (like grants) to disadvantaged communities and disadvantaged areas, and 51% of funds will be available as low-interest loans. Funding is available for local governments, non-profit water companies, and investor-owned water utilities.

During its Sept. 19, 2023 meeting, the State Water Infrastructure Authority approved 30 communities statewide to receive more than $34 million in funding for projects to find and replace lead service lines.  North Carolina has approximately $67 million initially available for lead service line projects through the federal Bipartisan Infrastructure Law, with additional funding available in future rounds. 

• LSLR Projects Awarded by the State Water Infrastructure Authority at its 9/19/23 Meeting

Applications for these Lead Service Line Replacement funds are open year-round and will be awarded in four State Water Infrastructure Authority meetings each year (Sept. 19, 2023; Dec. 12, 2023; Feb. 2024 and April 2024). The first year of Lead Service Line Replacement (LSLR) funding will be administered according to the Intended Use Plan for the FY2022 BIL DWSRF Lead Service Line Replacement funds. 

LSLR APPLICATION forms and guidance documents are available here. Applications are submitted online. Submit your application here. 

 Expected and revised schedule for LSLR funding rounds: 

Expected Funding Rounds for the 2022 DWSRF BIL LSLR Funds
Approximate Application  Due Date	Approximate  SWIA Meeting  (award date)	Estimated min. 2022 LSLR Funds Available Including PF	Estimated min. 2022 Available Principal Forgiveness (PF)
August 18, 2023*	Sept. 19, 2023	$22,345,913	$14,220,127
Nov. 1, 2023	December 12, 2023	$22,345,913	$14,220,127
December 2023	February 2024	$22,345,913	$14,220,127
March 2024	April 2024	TBD**	TBD**
Totals		$67,037,740	$42,660,380
(*) Initial Funding Round will only be available to Systems who provided a LSLR Solicitation by July 18, 2023.  These Systems will have an opportunity to update project information prior to August 18. (**) Allotments for 2024 SWIA meetings may be recommended for award if funds remain available from 2022 DWSRF BIL LSLR funds. It is anticipated that 2023 DWSRF BIL LSLR funds can be made available for 2024 if project demand exceeds funds available.

Information specific to North Carolina's lead service line replacement funding will continue to be updated here. Funding is available for local governments, non-profit water companies, and investor-owned water utilities that request low-interest loans. Principal forgiveness will be offered for those that are eligible, subject to availability. 

LSLR Intended Use Plan

The first year of Lead Service Line Replacement (LSLR) funding will be administereed according to the Intended Use Plan for the FY2022 BIL DWSRF Lead Service Line Replacement funds.

• FY2022 BIL DWSRF-LSLR Intended Use Plan

What are Lead Service Lines and Lead Connectors?

A service line is the water line that connects a home or business to the main water line on the street. Connectors (e.g., goosenecks and pigtails) are components that connect pipes to one another. Lead service lines and lead connectors are service lines and connectors that are made of lead or made of galvanized iron or galvanized steel that are downstream of other lead components. Service lines are located from the public water main up to building at the point of premise plumbing.

Funding is available to replace lead service lines and lead connectors between the main water line and the point of the premise plumbing, usually outdoors up to the building inlet. It cannot be used to replace indoor plumbing or indoor fixtures.

Image source: US EPA

Bipartisan Infrastructure Law Funding

• The federal Infrastructure Investments and Jobs Act, also known as the Bipartisan Infrastructure Law (BIL), invests $15 billion nationwide towards Lead Service Line Replacement through the Drinking Water State Revolving Fund over five years. With this investment, 49% of funds will be provided to communities as principal forgiveness loans (like grants) to disadvantaged communities and disadvantaged areas, and 51% of funds will be available as low-interest loans. North Carolina’s allotment depends on the demand for funding from eligible entities.

Eligible Applicants

• Local governments, non-profit water companies, and investor-owned water utilities are eligible to apply for Lead Service Line Replacement funds.

Eligible Projects

As listed on page 39 (Attachment 1 – Appendix D) of the BIL Implementation Memo published by the U.S. Environmental Protection Agency (link: https://www.epa.gov/system/files/documents/2022-03/combined_srf-implementation-memo_final_03.2022.pdf):

• Inventorying and complete removal of lead service lines (public and privately-owned portion) or service lines made of galvanized iron or galvanized steel (that are currently or have previously been downstream of lead components) and replacement with a pipe that meets the requirements established under 40 CFR 143 and which complies with state and local plumbing codes and or building codes.
• Removal of lead or galvanized goosenecks, pigtails, and connectors, and replacement with an acceptable material that meets the requirements established under 40 CFR 143 and which complies with state and local plumbing codes and or building codes.
• Replacement of curb stops, curb stop boxes, and other service line appurtenances that are removed as part of full LSLR.
• Site restoration, including landscaping, sidewalks, driveways, etc. if the removal was necessary to replace the lead service line.
• Permit fees if the fees are normal, required, and specific to the LSLR. It is recommended that communities waive these fees.
• Temporary pitcher filters or point-of-use (POU) devices certified by an American National Standards Institute accredited certifier to reduce lead during or for a short time period after LSLR projects.
• Development or updating of lead service line inventories, including locating and mapping lead service lines, and identifying and inventorying the materials of “unknown material” service lines.
• Planning and design for infrastructure projects listed above.
• Non-routine lead sampling (if not for compliance purposes) as part of a LSLR project.

How to Apply for Funding?

 APPLICATION forms and guidance documents for LSLR funding are available here.  

(Submit your application here). 

Lead Service Line Inventories for the Lead and Copper Rule Revisions

To comply with the Lead and Copper Rule Revisions, all community water systems and all non-transient non-community water systems are required to develop an initial inventory of all service line connections, both system-owned and customer-owned. The Public Water Supply Section of the Division of Water Resources provides information on these inventories on this webpage: https://deq.nc.gov/about/divisions/water-resources/drinking-water/lead-service-line-inventory

More information:

Funding for Lead Service Line Replacement | US EPA

Funding and Technical Resources for Lead Service Line Replacement in Small and Disadvantaged Communities (epa.gov)

Contacts, Lead Service Line Replacement Funding:

David.Giachini@deq.nc.gov 919-707-9191

Amanjit.Paintal@deq.nc.gov  919-707-9054

Jon.Risgaard@deq.nc.gov  919-707-9034