environmental facts
FEDERAL GRANTS FOR THE CONSTRUCTION OF MUNICIPAL WASTE WATER TREATMENT FACILITIES
    LEGISLATIVE AUTHORITY:
         The Federal Water  Pollution Control Act Amendments of 1972
     (Public Law 92-500) authorizes the Environmental Protection Agency
     (EPA) to award grants in the amount of 75 percent of the allowable
     project costs for the construction of publicly owned and operated
    waste water treatment works.

    WHO MAY APPLY FOR GRANTS:
         Municipalities, intermunicipal agencies, States, or interstate
     agencies may apply for  grants.  A municipality is any city, town,
     borough, county, parish, district (but excluding a school district),
     association, or other public body (including an intermunicipal agency
     of two or more of the foregoing entities) created by or pursuant to
     State law, or an Indian tribe or an authorized Indian tribal organ-
     ization, having jurisdiction over disposal of sewage, industrial
     wastes, or a designated and approved management agency under Section
     208 of the Act.

     PROJECTS ELIGIBLE FOR GRANTS:
         In general, projects eligible for Federal assistance include
     those to construct new treatment plants, to expand or improve existing
     plants, to construct interceptor and outfall sewer lines or to provide
     pumping, power, and other equipment necessary to operate a sewage
     treatment system.  Under certain conditions, sewage collection
     systems and projects to control pollution from combined sewers may
     also receive Federal assistance.

     ALLOWABLE PROJECT COSTS:
         Allocable project costs that are reasonable and necessary for
     the construction of a treatment works are allowable.  Necessary costs
     may include,  but are not limited to:
         1.  Planning directly related to the feasibility of the treatment
     works;
         2.  Engineering, architectural, legal, fiscal, or economic
     investigations or studies;
         3.  Surveys, designs, plans, construction drawings and specifications
     for project related construction;
         4.  Cost  of land used directly as a part of  the treatment process
     or for disposal of residues.

     UNALLOWABLE COSTS:
         Costs that are*not necessary for the construction of a treatment
     works project  are not allowable.  Such costs include, but are not
     limited to:

UNITED STATES ENVIRONMENTAL PROTECTION AGENCY • WASHINGTON, D.C. 20460

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      1.   Basin or areawide planning not directly related  to  the project;
      2.   Costs outside the scope of the Federally approved project;
      3.   Ordinary operating expenses of local government, such as salaries
 and  expenses of a mayor, city council members, or city  attorney;
      4.   Site acquisition (for example, sewer rights-of-way, sewage
 treatment plant sites, sanitary landfills, etc.);
      5.   Interest on bonds or any other form of indebtedness required
 to finance the grantee's share of project costs.

 TREATMENT OF INDUSTRIAL WASTES BY THE MUNICIPALITY:
      Assistance may be given to projects that will collect or treat
 industrial wastes; however, the applicant must adopt a  system of
 charges  to assure that the industrial users pay their proportionate
 share of operation, maintenance, and expenses as well as  their allocable
 share of the Federal construction grant.

 WHEN TO  APPLY FOR FEDERAL GRANTS:
      Applications for Federal assistance may be made at various stages
 in the project development process:
      1.   at the initiation or completion of feasibility reports, including
 an analysis of sewer system infiltration/inflow,
      2.   at the initiation or completion of final construction drawings
 and  design specifications, including infiltration/inflow  studies, and,
 as appropriate, a sewer system evaluation study, and
      3.   for construction of the treatment works.
 In all cases, the proposed project must be in accordance with the
 planning requirements and with the State priority process.

 WHERE TO APPLY FOR FEDERAL GRANTS:
      Formal applications for PL 92-500 grants must be made through
 the  appropriate State Water Pollution Control Agency.   That  agency
 will also supply information on State requirements and  assistance
 in solving water pollution problems.
July 1973
                                                       U. S. GOVERNMENT PRINTING OFFICE  1973 O - 508-995

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