Safe Drinking Water for Disadvantaged Communities Act

The Safe Drinking Water for Disadvantaged Communities Act would change how certain federal funds are disbursed to address lead in drinking water. Specifically, it requires that funds from the Infrastructure Investment and Jobs Act (IIJA) used as capitalization grants for the Drinking Water State Revolving Funds (DWSRF)—allocated for lead service line replacement and related activities (identification, planning, design, and replacement)—be provided to disadvantaged communities as forgivable loans or grants. The definition of “disadvantaged communities” would follow the Safe Drinking Water Act (SDWA) standard in section 1452(d)(3). In short, the bill aims to reduce the financial burden on underserved areas by converting what could be repaid loans into grants or forgiveness-based loans to accelerate lead service line removal. The measure is introduced in the 119th Congress and would override other legal provisions to ensure these funds are distributed in this forgivable/grant form, rather than through traditional loan or grant mechanisms that may have more stringent repayment or eligibility criteria.