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The Indiana Department of Environmental Management (IDEM) assists communities in meeting their environmental responsibilities and goals through environmental projects. In order to accomplish these projects, IDEM works in cooperation with other agencies to provide funding in the form of grants and loans.

The following grants and loans are available for local governments and other eligible entities who wish to tackle environmental problems within their community:

Clean Water Act

Section 205(j) Grants

These grants are for water quality management planning to determine the nature, extent and causes of point and non-point source pollution problems, as well as develop plans to resolve these problems.

  • Eligible Entities: Municipal governments, county governments, regional planning commissions, and other public organizations.
  • Amount Available: Amount varies, averages $350,000 annually.
  • Grant Cycle: One application round per year.
  • Who to Call: IDEM Watershed Planning and Restoration Section at (317) 308-3082.
  • More Information

Section 319(h) Grants

These grants are for projects that reduce documented non-point source water quality impairments. Funds may be available to develop and implement Total Maximum Daily Loads (TMDLs) and watershed management plans, provide technical assistance, demonstrate new technology, conduct assessments, and provide education and outreach.

  • Eligible Entities: Nonprofit organizations, universities, and local, state, and federal governmental agencies.
  • Amount available: $4,000,000 annually; Grants are for 60% of project costs; a 40% matching contribution is required. Federal funds cannot be used for matching.
  • Grant Cycle: One application round per year.
  • Who to Call: IDEM Watershed Planning and Restoration Section at (317) 308-3082.
  • More Information

State Revolving Fund (SRF) Wastewater and Drinking Water Loans

The SRF Loan Programs provide low interest loans to eligible entities for the planning, design, construction, renovation, improvement or expansion of wastewater and drinking water systems. SRF Program Loans or other financial assistance is available for improvements to wastewater and drinking water plants, sewer line and water line extensions projects. Funds are also available for the costs associated with non-point source water pollution abatement projects, such as wetland restoration/protection, erosion control measures, storm water projects that improve water quality practices, and wellhead and source protection measures.

  • Eligible Entities: Political subdivision including incorporated cities, towns, counties, regional sewer/water districts, conservancy districts and water authorities are eligible for both DWSR and WWSRF. Private and not-for-profit facilities are eligible only for DWSRF. Private and not-for-profit facilities are eligible only for drinking water SRF loans.
  • Amount Available: SRF Loans are fixed rate 20 year loans. An eligible entity's interest rate is determined based upon the calendar quarter in which its loan is closed. Interest rates are adjusted quarterly, and the ensure a subsidized rate is being offered, rates are set at or below 90% of the average 20 year AAA-rated general obligation bond Municipal Market Date. Rates are further discounted based upon the applicant's median household income (from current census data) and local user rates.
  • Grant Cycle: Continuous throughout the year.
  • Who to Call: Drinking Water SRF Administrator at (317) 232-8663, or the Wastewater SRF Administrator at (317) 232-4396
  • More Information

Indiana Recycling Market Development Program

The Recycling Market Development Program has a limited amount of funding available each year for private businesses to invest in equipment purchases to expand or create new recycling enterprises. Please visit our Recycling Market Development Program page for complete information.

Indiana Brownfields Program Financial Assistance

The Indiana Finance Authority (IFA) administers state and federal funding with environmental technical support from IDEM staff as part of the Indiana Brownfields Program. Brownfields are abandoned, idled, or underused properties where environmental contamination, either real or potential, hampers expansion and redevelopment. The IFA offers financial assistance as an incentive to address environmental issues associated with brownfields, such as site assessment and remediation, in order to facilitate brownfield redevelopment.

For information about financial assistance through the Indiana Brownfields Program, please contact:

  • Financial Resources Coordinator, Indiana Brownfields Program, (317) 234-1688
  • Federal Funding Coordinator, Indiana Brownfields Program, (317) 234-0235
  • More Information

Community Focus Fund (CFF)

The CFF is a grant program administered by the Indiana Office of Community and Rural Affairs (OCRA) and is funded with federal Community Development Block Grant (CDBG) dollars. These grants support a variety of projects that either benefit low-to-moderate income persons or eliminate slum/blight in communities. Eligible projects typically include infrastructure improvement (water, sewer, and storm drainage), fire protection, downtown revitalization, community centers, day care centers, senior centers, historic preservation, and infrastructure in support of housing.

  • Eligible Entities: Small cities which do not receive CDBG funds directly from U.S. Housing and Urban Development (HUD), incorporated towns and counties (excluding Lake and Hamilton, which are entitlement counties).
  • Amount Available: Approximately $20,000,000 annually with 55% awarded to infrastructure projects (water, sewer, and storm drainage), and 45% available for other projects. Up to $500,000 fir individual projects. A 10% local match of total project cost is required.
  • Grant Cycle: Two application rounds per year.
  • Who to Call: Indiana Office of Community and Rural Affairs [DOC]
  • More Information

Clean Vessel Act (CVA) Grant Program

The goal of the CVA is to reduce overboard sewage discharge from recreational boats. In accordance with the legislative goal, this grant program provides funding (on a reimbursement basis) for the construction, renovation, operation, and maintenance of pump-out stations, floating restrooms, holding tanks, and dump stations.

  • Eligible Entities: All public and private marinas in Indiana.
  • Amount Available: $10,000,000 of variable annual funding on the federal level to be awarded to states by the U.S. Fish and Wildlife Service on a competitive basis. Funding for the State of Indiana varies by year based on the funds requested. A 25% matching contribution is required.
  • Grant Cycle: One application round per year.
  • Who to Call: IDEM Office of Program Support, (317) 232-8172
  • More Information

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