Municipal Finance and Construction Element

The Federal Construction Grants Program

Since the enactment of the Federal Water Pollution Control Act of 1972 (commonly referred to as the Clean Water Act), more than $2.7 billion in federal funds has been awarded for the construction of municipal wastewater treatment facilities in the State of New Jersey. The Construction Grants Program, created under the provisions of the Clean Water Act, has resulted in major improvements to the state's wastewater treatment facilities and overall water quality.

The Water Quality Act of 1987 phased out the Construction Grants Program and required states to establish a State Revolving Fund (SRF) Loan Program. The last year in which construction grants were made for new projects in New Jersey was 1989. Grant awards are available currently to cover increased allowable costs for projects that previously received a construction grant.