Federal Drought and Emergency Water Assistance

States, along with local governments and water providers, generally are responsible for preparing and planning for drought conditions. The federal agencies authorized to assist with non-agricultural water supplies emergencies are:
U.S. Department of Agriculture (USDA) Rural Utilities Service (RUS), through various water system loan and grant programs (FY2014 funds: $1.3 billion in loans, $374 million in grants). USDA Rural Utilities Service4

RUS provides grants and loans for rural community and household water. Some of the programs are tailored for emergency situations, while others may prioritize loans and grants for rural communities and households facing drought-related declines in water quantity or quality. For RUS programs, rural communities are often defined as those with populations less than 10,000. While most of these funds are provided for assisting with rural community water and waste systems broadly, systems affected by drought may receive a priority. Bureau of Reclamation5

Reclamation's authorities to assist with emergency water supplies and conservation stem primarily from the Reclamation States Emergency Drought Relief (RSEDR) Program (43 U.S.C. The RSEDR program consists of a number of different authorities, including direct Reclamation water assistance and loans to reduce drought losses through temporary measures (except for certain wells), water purchases, temporary water contracts, drought planning grants, actions to facilitate water purchases and transfers, and technical assistance. Reclamation can provide much of this assistance to water users (including municipalities and water districts), private entities, tribes, and states. Most of the RSEDR program's authority is limited to the 17 western states and Hawaii, with the exception being that technical assistance is available nationally. RSEDR emergency actions often are provided by Reclamation at 100% federal expense, although some nonfederal reimbursement is authorized. These emergency actions are available to communities and water providers, regardless of their size, but are prioritized by need and congressional direction. As of mid-February 2014, RSEDR funding was $0.5 million for FY2014. Army Corps of Engineers

The Corps (USACE) has authority to assist in the provision and transport of emergency water supplies when state resources have been exceeded and there is an imminent public health threat. While USACE is authorized to assist political subdivisions, farmers, and ranchers with non-irrigation water, this authority has largely been used for assisting tribes with drinking water supplies. These activities have generally been funded through reprogramming of agency funds. The agency also has authority to participate in temporary contracts to provide limited quantities of water (if available) for municipal and industrial purposes (33 U.S.C. Drought Disasters: Federal Declarations and Programs

Additionally, if the effects of a drought overwhelm state or local resources, the President, at the request of the state governor or tribal governing body, is authorized under the Stafford Act (42 U.S.C. 5121 et seq.) to issue major disaster or emergency declarations resulting in federal aid to affected parties. However, requests by U.S. states for Stafford Act drought-related declarations and related assistance since the 1980s have been denied. Therefore, the emergency assistance typically available to mitigate and respond to the impacts of drought on non-agricultural water supplies is primarily through the USDA's Rural Utilities Service, the Bureau of Reclamation's Emergency Drought Relief Program, and in limited circumstances the U.S. Army Corps of Engineers emergency water authorities. Grants are determined by the Secretary of Agriculture. As of mid-February 2014, RSEDR activities had received $0.5 million in appropriations for FY2014.
Drought conditions often fuel congressional interest in federal assistance. While drought planning and preparedness are largely individual, business, local, and state responsibilities, some federal assistance is available to mitigate drought impacts. While much of the federal assistance is targeted at mitigating impacts on the agricultural economy, other federal programs are authorized to provide non-agricultural water assistance. Interest in these non-agricultural programs often increases as communities, households, and businesses experience shrinking and less reliable water supplies. Authorized federal assistance is spread across a variety of agencies, and each has limitations on what activities and entities are eligible and the funding that is available.
Rural Utilities Service (RUS): The U.S. Department of Agriculture's RUS provides grants and loans for rural water systems in communities with less than 10,000 inhabitants; its programs are for domestic water service, not water for agricultural purposes. Some of the programs are tailored to emergency situations, while others may prioritize loans and grants for communities and households facing drought-related declines in water quantity or quality. As of mid-February 2014, around $1.3 billion in loans and $370 million in grants are available for rural community water and waste systems. While these funds are provided for assisting with rural water systems broadly, systems affected by drought may receive priority. Also for FY2014, the RUS Household Water Well System Grants had received $1 million in appropriations, and the Administration had reprogrammed to the RUS Emergency Community and Water Assistance Grants program $3 million for California's rural communities.
Bureau of Reclamation: Reclamation's authorities to assist with emergency water supplies and conservation stem primarily from the Reclamation States Emergency Drought Relief (RSEDR) Program. RSEDR consists of various authorities, including direct Reclamation water assistance to reduce drought losses, water contract authority, technical assistance, drought planning grants, and actions to facilitate water purchases and transfers. Reclamation can provide much of this assistance to water users (including municipalities and water districts), private entities, tribes, and states. Most of the RSEDR program's authority is limited to the 17 western states and Hawaii. RSEDR emergency actions often are provided by Reclamation at 100% federal expense, although some nonfederal reimbursement is authorized. These emergency actions are available to communities and water providers, regardless of their size, but are prioritized by need and congressional direction. As of mid-February 2014, RSEDR funding was $0.5 million for FY2014.
Army Corps of Engineers (USACE): The Corps has authority to assist emergency water supplies and their transport when state resources are exceeded and a public health threat is imminent. This authority has largely been used for assisting tribes with imminent drinking water supply issues. These activities have generally been funded through reprogramming of available agency funds. The agency also has authority to contract for provision of limited quantities of water (if available) from its reservoirs for municipal and industrial purposes.
Role of States and Other Federal Authorities. If a drought's effects overwhelm state or local resources, the President, at the request of a governor or tribal governing body, is authorized under the Stafford Act (42 U.S.C. 5121 et seq.) to issue major disaster or emergency declarations resulting in federal aid to affected parties. Since the 1980s, however, requests by U.S. states for Stafford Act drought-related declarations and related assistance for drinking water supplies have been denied. The U.S. Secretary of Agriculture has overseen most federal drought response through agricultural disaster assistance.