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Bureau of Reclamation WaterSMART Program


The Bureau of Reclamation (Reclamation), an agency
within the Department of the Interior (DOI), combines
funding for multiple agency-wide programs promoting
water conservation into a single program-the
WaterSMART (Sustain   and Manage  American Resources
for Tomorrow) program. The program was formally
established in 2010 under DOI Secretarial Order 3297. As
of 2023, WaterSMART   includes funding for seven
subprograms: WaterSMART Grants,   Title XVI Water
Reclamation and Reuse (Title XVI Program), the Drought
Response Program  (DRP), the Basin Studies Program, the
Cooperative Watershed Management  Program, Water
Conservation Field Services, and Aquatic Ecosystem
Restoration. Unlike most traditional Reclamation
projects, which are geographically specific authorizations,
WaterSMART funding is   awarded on a competitive basis.

Congress has increased funding for WaterSMART activities
generally (Figure 1), including $1.85 billion in new
funding for selected WaterSMART  subprograms over the
FY2022-FY2026   window  in the Infrastructure Investment
and Jobs Act (IIJA; P.L. 117-58). This included significant
new funding relative to baseline levels for WaterSMART
Grants, water reuse and recycling projects under the Title
XVI  Program, the Cooperative Watershed Management
Program, and Aquatic Ecosystem Restoration. For more
information, see CRS Report R47032, Bureau of
Reclamation Provisions in the Infrastructure Investment
and Jobs Act (P.L. 117-58).

Figure  I. WaterSMART Program Funding,
FY20  I 4-FY2024
  $700

  $600

  $500

  AGO                                      &auo.iccosystem
                                            Title XVm E'rg,om
                                            WaterConser.Fied
                                            Drought Response
             see                               Progrem
                                           Basin Studies Program
  $100                                      Coop. Watershed
                EU   UNWet.,SMARTCnanft
      FY1 FY16 F 17 FY18 FY19  FY20 FY21 FY22  FY23 FY2
                    FiSCAL YEAR

Source: Enacted appropriations data for FY2014-FY2024.
Notes: FY2022-FY2024 reflects supplemental funding in the
Infrastructure Investment and jobs Act (P.L. 117-58).

The remainder of this In Focus discusses the subprograms
in the WaterSMART   Program.


Updated December  13, 2024


   aterSMART Grants
P.L. 111-11. WaterSMART   grants (authorized in P.L. 111-
11, as amended (42 U.S.C. §10364)) provide cost-shared
funding in four grant categories: water and energy
efficiency, small-scale water efficiency, water strategy
grants, and environmental water resources projects. The
program's initial focus was water and energy efficiency
grants. Reclamation administratively added other grant
opportunities, including for small-scale water efficiency
projects and water marketing strategy development in
FY2017  and for environmental water resources projects in
FY2022.  Environmental water resources project grants fund
implementation of projects (i.e., phase two) whose initial
stages were funded by the Cooperative Watershed
Management  Program  (see below section).

Eligible applicants for WaterSMART grants are the same
across grant categories. They include domestic nonprofit
conservation organizations and states, Indian tribes, and
other organizations with water or power delivery authority.
Applicants also must be located in a Reclamation State or
Territory (as identified in the Reclamation Act of 1902, as
amended)  or in Alaska, Hawaii, or Puerto Rico.
WaterSMART grant   award amounts may  not exceed $5
million based on statute; however, the award amounts
typically depend on project categories-water and energy
efficiency grants awards range from $500,000 to $5
million; small-scale water efficiency grants are typically up
to $100,000 (and may have maximum  project costs of up to
$250,000); water marketing strategy grants range from
$200,000 to $400,000; and environmental water resources
projects grants may be up to $3 million. Most of these
grants limit the federal cost share for projects to 50%,
except that environmental water resources projects
developed as a part of a collaborative process may qualify
for up to 75% in federal funding.

Tte XV Program
The Title XVI Program funds the study and construction of
authorized nonfederal water recycling and reuse projects.
The program originated with project authorizations in P.L.
102-575 and expanded over time. The 2016 Water
Infrastructure Improvements for the Nation Act (WIIN Act;
P.L. 114-322) created a new mechanism for authorization
whereby the Secretary of the Interior may accept and
review nonfederal feasibility studies for planning, design,
and construction funding of projects. Once the Secretary
has approved a project it is eligible to receive Title XVI
funds (i.e., without additional congressional authorization).
In the years since WIIN Act enactment, this authority has
resulted in regular secretarial approval of new Title XVI
projects, with 65 projects authorized through the WIIN Act
authority as of May 2023.

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