Water quality combined funding program

Our Water Quality Combined Funding Program funds projects that improve and protect water quality throughout the state. The program combines grants and loans from state and federal funding sources (described on the Water Quality Grants and Loans home page). We also provide technical assistance to program applicants to help them navigate this process.

We use a single, streamlined process for the Water Quality Combined Funding Program: one funding cycle, one application, one competitive review, and one list of funding offers. Applicants only need to submit one application to be considered for all available funding sources under the program.

Funding cycle

  • Amount of funding available: Varies based on the state budget — ranges from $100 million to $200 million annually.
  • Grant award limit: Varies depending on funding source and project type. See the current funding year guidelines below for more information. 
  • Amount of matching funds required: Depends on the funding source you receive; can be up to 25 percent match required.

Applications are not being accepted at this time.

For state fiscal year 2027, applicants will submit one application between July 22 and Sept. 3, 2025. Final offers for state fiscal year 2027 will be made in July 2026.

Due to the change in application timing, we will allow prerequisite documents to be submitted until Oct. 10, 2025. However, we encourage submission of prerequisite documents with the application. Wastewater applicants will email prerequisite information to the Ecology Regional Permit Manager. Stormwater applicants will email materials to Karen Izumoto at karen.izumoto@ecy.wa.gov.

Depending on eligibility and priority, we award the best available funding from several different grants and loans (which could include a combination of grants and loans). Our funding comes from a mix of state and federal funds dedicated for water quality improvement and protection.

State fiscal year 2027 funding cycle timeline

Cycle phase Timeline
Submit application July 22 to Sept. 3, 2025
Applicant Workshops

July 22 - 24, 2025 

Evaluate, rate, and rank applications

Oct. to Dec. 2025

Publish proposed project list (Draft Funding List) Jan. 2026
Publish offered project list (Final Funding List) July 2026
Develop funding agreement

July 2026 through Jan. 2027

Manage agreement/project

Work starts no later than April 2027

Activities: Up to 3 years

Facilities: Up to 5 years

Close out Last three months of agreement

Funding is available for the following entities:

  • Counties, cities, and towns
  • Tribal governments (federally recognized)
  • Special purpose districts
  • Conservation districts
  • Nonprofit organizations (only those qualify for section 319 grants)

Detailed eligibility information for each project category is available in the Applicant Workshop presentations (see below) and the Funding Program Guidelines, Chapter 2.  

  • Wastewater facilities
    • Planning, design, and construction for sewer collection systems, treatment plants, combined sewer overflows (CSOs), and reclaimed water facilities.
    • The Wastewater Funding Requirements webpage provides expectations and resources for funding recipients.
  • Stormwater facilities and activities
    • Planning, design, and construction for urban runoff flow control and treatment facilities.
    • Pollutant source control programs, enhanced maintenance planning, and implementation.
    • This includes GROSS and CBP3 grants
    • The Stormwater Funding Requirements webpage provides expectations and resources for funding recipients.
  • Nonpoint activities
    • All nonpoint projects must implement an element of a state or local water quality-focused plan, such as a watershed management plan, nonpoint source pollution control plan, Salmon Recovery Plan, Orca Recovery Plan, or Total Maximum Daily Loads (TMDL)/Straight to Implementation (STI). 
    • The Nonpoint Funding Requirements webpage provides expectations and resources for funding recipients.
  • Onsite sewage systems (OSS)
    • Large onsite sewage systems planning, design and construction.
    • OSS pollution identification and survey programs.
    • Local loan programs for OSS repair and replacement.
    • Composting toilet systems.
    • The OSS Projects webpage provides more information for funding recipients.

More information about this funding program

Applicant workshop resources 

We will provide an applicant training in July. Each session will be led by experts for the project type and will emphasize requirements and expectations.

Loan interest rates for state fiscal year 2027:

  • 30-year loans have a 3.3% interest rate
  • 20-year loans have a 2.5% interest rate
  • 5-year loans have a 1.2% interest rate