The U.S. Department of Health and Human Services (HHS) has released more details on the Low Income Home Water and Wastewater Program (LIHWAP). In a group of Dear Colleague Letters and informational webinars, HHS provided an overview of how LIHWAP will be structured and published the LIHWAP final plan template. States, territories, and tribal governments have until August 9, 2021 to complete and submit the plan in order to receive their full water assistance allocation.
Prior to plan submission, grantees are permitted to draw down up to 15 percent of their allocations in order to cover the administrative costs associated with completing the plan and setting up their programs. They will have access to their full allocations once HHS has received and approved their plans.
Over the past few months, HHS has been releasing guidance documents pertaining to the implementation of LIHWAP. All of these resources can be found at the HHS LIHWAP website. They plan to release additional guidance as it is approved internally.
The site also includes recent HHS LIHWAP presentations and training resources.
Additional highlights include the following.
- Public hearings are not required for the LIHWAP plan.
- Funds must be obligated by September 30, 2023, and expended by December 30, 2023. There is no carryover cap.
- Benefit targeting: Households with the highest water & wastewater burden should receive the highest benefit.
- Use of Funds: Funds may be used for benefit payment, continuity of service, and arrearage payments. Funds may not be used for plumbing repairs, pipe replacement, water efficiency, or other water infrastructure.
- Funds tracking: The two appropriations ($638 million from the Consolidated Appropriations Act, and $500 million from the American Rescue Plan), must be tracked and reported separately.
- Other legal considerations: LIHWAP will not be subject to 45 CFR part 96 (block grant rules). Instead it will be subject to 45 CFR 75.
NEADA will continue to follow the rollout of this important new program.