The Environmental Protection Agency’s (EPA) Sewer Overflow and Stormwater Reuse Municipal Grants Program helps communities and states reduce water pollution caused by stormwater and sewer runoff. These grants fund green and gray infrastructure projects that strengthen stormwater collection systems, improve flood resilience, and address water quality issues.

Supports nature-based solutions

Targeted support for small communities

Application cycle: The OSG program is administered by states and deadlines may differ. Applicants should approach their state Clean Water State Revolving Fund Program or EPA Regional Office for more information on specific deadlines.

Summary: The Sewer Overflow and Stormwater Reuse Municipal Grants (OSG) Program provides grant funding for communities to plan, design, and implement stormwater management systems, particularly for communities that are financially distressed, have a long-term municipal combined sewer overflows (CSO) or sanitary sewer overflows (SSO) control plans, or for projects that have requested a grant on their Clean Water State Revolving Fund (CWSRF) Intended Use Plan.

Eligible applicants: Local governments, including waste treatment management agencies; tribal governments and organizations; and territories.

Eligible activities: T

• Stormwater and subsurface drainage water: Grants are available for projects to intercept, transport, control, treat, or reuse stormwater. Eligible stormwater management projects include:
  • Green infrastructure: Green roofs, streets, and walls; rainwater harvesting systems; infiltration basins; constructed wetlands; bioretention areas (e.g., rain gardens); permeable pavement; urban tree canopy restoration; and replacement of gray infrastructure with green infrastructure.
  • Gray infrastructure: Pipe, storage, and treatment systems; collection and treatment systems for reuse; CSO management control systems; sediment controls like filter fences, storm drain protection, street sweepers, and vacuum trucks.
• Combined sewer overflow correction: Grants support projects to manage or eliminate CSOs, such as installing separate sanitary and storm sewers, disconnecting downspouts, building overflow tanks or tunnels, correcting infiltration, and implementing CSO management control systems.
• Sanitary sewer overflow correction: Assistance is available for projects to control SSOs, including fixing infiltration issues; upgrading collection systems, pump stations, and treatment facilities; and implementing SSO management control systems.
• Notification systems: Funding is available for systems that notify the public about sewer overflows that release sewage into rivers and other bodies of water.

Funding: Generally, no federal statutory maximums exist for eligible activities, although individual states allocate funds to prioritized projects and may impose additional limitations. States can distribute their allotted funding to one or more projects. 

Cost share: 80% federal / 20% nonfederal. Some states may cover portions or the entirety of the nonfederal match.

•  Filter – In-kind Contributions: In-kind services can contribute to the nonfederal cost share requirement. An EPA CWSRF loan can contribute to the nonfederal cost share requirement.
• Filter — Needs-based cost sharing and targeted support for small or rural communities: States can reduce nonfederal cost share requirements by allocating a greater percentage of allotted funds to projects in rural or financially distressed communities. This could enable states to reduce the nonfederal cost share to 0%.
• EPA also requires states to direct at least 25% of their allotted funds to projects in financially distressed communities or rural communities of 10,000 or fewer.

Application process: 

• You can learn more on the OSG website, by contacting your state Clean Water State Revolving Fund Program or EPA Regional Office or by emailing osg@epa.gov.