link to page 1 
May 26, 2023
Bureau of Reclamation WaterSMART Program
The Bureau of Reclamation (Reclamation), an agency
WaterSMART Grants
within the Department of the Interior (DOI), combines
Congress provided authority for the WaterSMART Grant
funding for multiple agency-wide programs promoting
Program in 2009 under P.L. 111-11, as amended (42 U.S.C.
water conservation into a single program—the
§10364). The program provides cost-shared funding in four
WaterSMART (Sustain and Manage American Resources
grant categories: water and energy efficiency, small-scale
for Tomorrow) program. The program was formally
water efficiency, water marketing strategy grants, and
established in 2010 under DOI Secretarial Order 3297. As
environmental water resources projects. The program’s
of 2023, WaterSMART includes funding for seven
initial focus was water and energy efficiency grants.
subprograms: WaterSMART Grants, Title XVI Water
Reclamation administratively added grant opportunities for
Reclamation and Reuse (Title XVI Program), the Drought
small-scale water efficiency projects and water marketing
Response Program (DRP), the Basin Studies Program, the
strategy development in FY2017 and for environmental
Cooperative Watershed Management Program, Water
water resources projects in FY2022. The environmental
Conservation Field Services, and Aquatic Ecosystem
water resources project grants also serve as a funding
Restoration. Unlike most traditional “Reclamation
source for implementation of projects (i.e., phase two) that
projects,” which are geographically specific authorizations,
the Cooperative Watershed Management Program
WaterSMART funding is awarded on a competitive basis.
previously funded (see below section).
Congress has increased funding for WaterSMART activities
Eligible applicants for WaterSMART grants are the same
generally (Figure 1), including $1.85 billion in new
across grant categories. They include domestic nonprofit
funding for selected WaterSMART subprograms over the
conservation organizations and states, Indian tribes, and
FY2022-FY2026 window in the Infrastructure Investment
other organizations with water or power delivery authority.
and Jobs Act (IIJA; P.L. 117-58). This included significant
Applicants also must be located in a Reclamation State or
new funding relative to baseline levels for WaterSMART
Territory (as identified in the Reclamation Act of 1902, as
Grants, water reuse and recycling projects under the Title
amended) or in Alaska, Hawaii, or Puerto Rico.
XVI Program, the Cooperative Watershed Management
WaterSMART grant award amounts may not exceed $5
Program, and Aquatic Ecosystem Restoration. For more
million based on statute; however, the award amounts
information, see CRS Report R47032, Bureau of
typically depend on project categories—water and energy
Reclamation Provisions in the Infrastructure Investment
efficiency grants awards range from $500,000 to $5
and Jobs Act (P.L. 117-58).
million; small-scale water efficiency grants are typically up
to $100,000 (and may have maximum project costs of up to
Figure 1. WaterSMART Program Funding,
$250,000); water marketing strategy grants range from
FY2014-FY2023
$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.
Title XVI Program
The Title XVI Program funds the study and construction of
authorized nonfederal water recycling and reuse projects.
The program originated with individual project
authorizations authorized by Congress in P.L. 102-575 and
has expanded over time. Amendments in 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
Source: Enacted appropriations data for FY2014-FY2023.
has approved a project it is eligible to receive Title XVI
Notes: FY2022 and FY2023 reflect supplemental funding in the
Program funds (i.e., without additional congressional
Infrastructure Investment and Jobs Act (P.L. 117-58).
authorization). In the years since WIIN Act enactment, this
authority has resulted in regular secretarial approval of new
The remainder of this In Focus discusses the subprograms
in the WaterSMART Program.
https://crsreports.congress.gov
link to page 1 Bureau of Reclamation WaterSMART Program
Title XVI projects, with 65 projects authorized through the
Basin Studies Program may include a state, tribe, or other
WIIN Act authority as of May 2023.
organization with water or power delivery authority in a
Reclamation State. Applicants must submit a letter of
Title XVI projects are authorized for the Reclamation States
interest to their Reclamation regional office, which works
and Territories and for Hawaii. The federal cost share for
with selected entities to formulate a study proposal for
most Title XVI projects is generally limited to the lesser of
consideration by a Reclamation panel. If selected, studies
$20 million or 25% of total project costs. In Section 40905
must be completed within three years of the execution of a
of the IIJA, Congress added new authority for “large-scale”
cost-share agreement under this program.
water recycling and reuse projects, defined as projects with
total construction costs in excess of $500 million. In
Cooperative Watershed Management
contrast to traditional Title XVI projects, these projects can
Program
receive a federal cost share of 25%, with no dollar cap.
The Cooperative Watershed Management Program was
authorized under Section 6002 of P.L. 111-11. It funds
Drought Response Program
projects by watershed groups that provide local solutions to
The DRP provides assistance to water managers dealing
address water management needs. Funding recipients must
with drought in the West through three subprogram areas:
be self-sustaining, nonregulatory entities that address water
Contingency Planning, Resiliency Projects, and Emergency
availability and quality issues. Funding for the program is
Response Actions. Congress authorized emergency
deployed for two phases, with the first phase consisting of
response and planning in the Reclamation States Drought
development and planning and the second phase consisting
Relief Act of 1991 (P.L. 102-250). In Section 9504 of P.L.
of implementation of projects developed under the first
111-11, Congress enacted additional authority that
phase. Grants under the second phase of the program are
Reclamation uses to fund resiliency projects (defined by
now solicited as “environmental water resources projects”
Reclamation as on-the-ground projects that improve water
grants, a new category of WaterSMART grants as of
management flexibility during periods of drought).
FY2022 (see previous section, “WaterSMART Grants”).
Phase one projects may receive assistance of up to
DRP project eligibility differs based on subprograms.
$100,000 per year for a period of up to two years (i.e.,
Drought contingency planning project applicants may
$200,000 total), with no nonfederal cost share required.
include Reclamation States and Hawaii, as well as tribes
and organizations with water or power delivery authority
Watershed Conservation Field Services
located in the aforementioned areas. Resiliency project
The Watershed Conservation Field Services Program is
applicants generally include Reclamation States and
managed by Reclamation regional offices, which provide
Territories, Hawaii, and Alaska, as well as tribes,
technical and financial assistance for the development of
organizations with water or power delivery authority, and
water conservation plans and design of water management
nonprofit conservation organizations located in the
improvements. Reclamation established the program
aforementioned areas. Emergency response applicants are
administratively in 1996 to implement the Preferred
limited to Reclamation States, Hawaii, and tribes in those
Alternative in Reclamation’s Environmental Impact
states. The federal cost share for contingency planning and
Statement for Implementation of the Reclamation Reform
resiliency projects is typically limited to 50% of project
Act of 1982 (P.L. 97-293). Reclamation also cites Section
costs. Emergency response actions do not require a federal
9504(e) of P.L. 111-11 as guiding implementation of this
cost share. Drought contingency planning projects are
program. Applicants may include Reclamation States and
capped at $200,000 in federal funding, and resiliency
Territories and Hawaii, as well as tribes and organizations
projects are capped at $5 million in federal funding.
with water or power delivery authority located in the
aforementioned areas. Project grants are limited to a
Basin Studies Program
maximum of $25,000 per year in federal funding, with
Reclamation’s Basin Studies Program, authorized under
federal costs limited to 50%. Proposals that involve
Section 9503 of P.L. 111-11, partners with nonfederal
planning and development associated with other
participants in Reclamation States to analyze the impacts of
Reclamation authorizations (e.g., Basin Studies, Title XVI,
climate change and develop adaptation strategies to address
or other federal reclamation projects) are not eligible to
water supply and demand imbalances. It provides financial
receive support from the program.
support for baseline assessments of risks and impacts to
water supply and demand, the development of applied
Aquatic Ecosystem Restoration
science tools, and collaborative efforts to evaluate and
The Aquatic Ecosystem Restoration Program was
address supply and demand imbalances. The program also
authorized in Section 1109 of P.L. 116-260. The authority
funds reservoir operation pilots that use modeling and
allows Reclamation to provide grants for the study, design,
forecasting to optimize water management flexibility.
and construction of aquatic ecosystem restoration and
protection projects to improve the health of fisheries,
Basin studies are conducted collaboratively by
wildlife, and aquatic habitat (e.g., dam removal). Applicants
Reclamation, with federal costs limited to 50% (under
must be located in a Reclamation State or Territory. The
extraordinary circumstances, this requirement may be
maximum federal project cost share is 65%, with operation
waived by the Commissioner). Applied Science Grants
and maintenance a nonfederal responsibility. Maximum
similarly require a 50% cost share, whereas Baseline
federal project costs are limited to $20 million.
Assessments and Reservoir Operations Pilots have no
formal cost share requirements. Eligible applicants for the
Charles V. Stern, Specialist in Natural Resources Policy
https://crsreports.congress.gov
Bureau of Reclamation WaterSMART Program
IF12414
Anna E. Normand, Analyst in Natural Resources Policy
Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff to
congressional committees and Members of Congress. It operates solely at the behest of and under the direction of Congress.
Information in a CRS Report should not be relied upon for purposes other than public understanding of information that has
been provided by CRS to Members of Congress in connection with CRS’s institutional role. CRS Reports, as a work of the
United States Government, are not subject to copyright protection in the United States. Any CRS Report may be
reproduced and distributed in its entirety without permission from CRS. However, as a CRS Report may include
copyrighted images or material from a third party, you may need to obtain the permission of the copyright holder if you
wish to copy or otherwise use copyrighted material.
https://crsreports.congress.gov | IF12414 · VERSION 1 · NEW