USDA, Rural Development is seeking applications for the Fiscal Year (FY) 2021 Water and Environmental (WEP) Loan Programs. Although applications are accepted year-round, funding of applications are based on priority points, State Office ranking and funding availability. A local allocation is provided to New Jersey (NJ).

Complete eligible applications received by March 1, 2021 will be the first considered for the FY2021 NJ allocation. Complete eligible applications received by May 3, 2021 will be considered for the second round of any remaining FY2021 NJ allocation or for National Office Reserves, if opened.

In FY2020, NJ received $12,290,000 in WEP direct loan funds and $3,697,000 in WEP grant funds. The FY2021 allocation has not been confirmed at this time. In the event the 2021 allocation is not received when first selections are made, obligations of funds will be on hold until notification of funding availability is received from the National Office.

RD’s Water and Environmental Programs funds projects for clean and reliable drinking water systems, sanitary sewage disposal, sanitary solid waste disposal, and storm water drainage to households and businesses in eligible rural areas. Some of the 2020 projects include:

  • Flemington Borough received a $3,758,000 loan and $1,142,000 grant to install a new elevated water storage tank and repair and rehabilitate the existing standpipe to ensure compliance with the New Jersey Safe Drinking Water Standards, as well as bring the Borough’s potable water system into conformance with the NJ Department of Environmental Protection Division of Water Supply and Storage Regulations.
  • Lakehurst Borough received a $960,000 loan and $212,200 grant to replace deteriorated water mains to improve the water distribution system and service to over 2,600 rural residents.

For questions and guidance regarding application requirements for the Water and Environmental Programs, please contact:

For more information, visit If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.

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