Potable: water that is suitable for drinking. Water Reuse

With water reuse, water that is typically unusable, such as municipal or  industrial wastewater, undergoes additional treatment to make it suitable  for certain purposes. The  treated water can then be reused for nonpotable uses, such as landscape  or agricultural irrigation or industrial uses. Reclamation Awarded About $715 Million for Title XVI Projects and Studies, and Some Construction Projects Remain Eligible for Title XVI Grants

From fiscal years 1992 through 2017, Reclamation awarded about $715  million for 46 construction projects and 71 studies under the Title XVI  program, based on our review of agency documents. Specifically,  about $464 million in grant funding not yet awarded up to the federal  ceiling remains for individually congressionally authorized Title XVI  construction projects, and about $513 million remains in total estimated  projects eligible for Title XVI grants under the WIIN Act, as of August  2018. Title XVI Projects and Studies Vary in Their Uses of Reused Water and Include Urban and Rural Areas

Title XVI projects and studies for fiscal years 1992 through 2017 cover  various uses for reused water and include both urban and rural areas  throughout the West, based on our review of agency data as well as  documents from and interviews with project sponsors. Title XVI Projects and Studies Include Western Urban and Rural Areas

Based on our review of agency documents, project sponsors in 12 of the  18 states eligible to participate in the Title XVI program were awarded at  least one type of funding under Title XVI since the inception of the  program in 1992, as shown in table 3. This project produces reused water for landscape irrigation, most  of which is used to irrigate a 650-acre park, according to the project  sponsor. Reclamation’s Project Selection Process Is Consistent with Relevant Federal Grant Regulations, and Its Evaluation Criteria Have Changed in Recent Years

Reclamation’s process for selecting projects and studies to award grants  under the Title XVI program involves announcing the funding opportunity,  establishing criteria to evaluate potential projects, and reviewing  applications to make award decisions. The criteria Reclamation uses to evaluate Title XVI  projects have changed in recent years, with the elimination or addition of  some criteria and changes in the weighting of others. Reclamation  officials then review the applications to ensure the projects are eligible  and that applications are complete, according to agency officials we  interviewed and documents we reviewed related to the selection process. Reclamation’s process for selecting projects and studies to fund under  the Title XVI program is consistent with relevant federal grant regulations  outlined in the Uniform Guidance. Criteria Used to Evaluate Projects Have Changed in Recent Years

Reclamation has changed the evaluation criteria it uses to select projects  to fund under the Title XVI program since it began using a competitive  process in fiscal year 2011. Appendix I: Information on Construction Projects Eligible under the Title XVI Water Reclamation and Reuse Program

This appendix provides information on construction projects that are  individually congressionally authorized under the Bureau of Reclamation’s  Title XVI Water Reclamation and Reuse Program (Title XVI), as well as  projects to which Reclamation awarded grants under the Water  Infrastructure Improvements for the Nation Act (WIIN Act) funding  opportunity in fiscal year 2017. 1. 2.
Why GAO Did This Study

Population growth and drought are among the factors that have placed increasing demands on the U.S. water supply, particularly in the arid West. The reuse of wastewater can help address water management challenges by treating water that is typically unusable and then reusing it for beneficial purposes, such as irrigation, according to the Environmental Protection Agency. Reclamation's Title XVI program awards grants for the study and construction of water reuse projects in 17 western states and Hawaii. From fiscal years 1992 through 2009, Congress individually authorized some Title XVI projects. In 2016, Congress amended the Title XVI program to allow grants to be awarded to additional water reuse projects.
GAO was asked to review the Title XVI program. This report describes, among other things, for the Title XVI program (1) grants Reclamation has awarded for projects and studies and remaining projects that are eligible for grants, (2) the types and locations of projects and studies that have received grants, and (3) Reclamation's process for selecting projects and studies and its consistency with federal grant regulations as well as how the program's evaluation criteria have changed since 2011. GAO reviewed relevant laws, regulations, and agency guidance; analyzed financial data for fiscal years 1992 through 2017; compared documents related to the project selection process against federal grant regulations; and interviewed agency officials and nonfederal project sponsors with different types of projects.

What GAO Found

The Bureau of Reclamation, within the Department of the Interior, awarded about $715 million in water reuse grants for 46 construction projects and 71 studies under the Title XVI Water Reclamation and Reuse Program (Title XVI) from fiscal year 1992 through fiscal year 2017, according to agency documents. Most of the Title XVI funding—about $703 million—has been awarded for construction projects. Some construction projects remain eligible for Title XVI grant funding. About $464 million in eligible Title XVI grant funding not yet awarded remains for projects that Congress individually authorized; for projects eligible under the 2016 amendments to the Title XVI program, about $513 million remains.
Title XVI projects and studies cover various uses for reused water. For example, many projects GAO reviewed produce reused water for landscape and agricultural irrigation, as well as water that may later be extracted for drinking water, as shown in the figure. Title XVI projects are located in western urban and rural areas, with California accounting for 36 construction projects.
Reclamation's process to select Title XVI projects and studies to receive grants involves announcing the funding opportunity, establishing criteria to evaluate potential projects, and reviewing applications to make award decisions, according to agency documents GAO reviewed. GAO found that Reclamation's grant award process is consistent with relevant federal regulations for awarding grants. For example, the Title XVI funding opportunity announcements GAO reviewed contained information required by the regulations, such as the criteria used to evaluate applications. In recent years, Reclamation has changed the criteria it uses to evaluate projects, eliminating or adding some criteria and changing the weighting of others. Reclamation officials said that these changes were made in part in response to statutory changes.