Financial Assistance for Home Water Treatment and Well Construction, Repair, and Sealing

This program offers loans and grants for home water treatment and well construction, repair, and sealing. This program is for very low income families who live in a rural area or a community with a population of 25,000 people or less. The family income cannot exceed 50 percent of the median county income. Individuals who are 62 years of age or older may qualify for a grant or a combination of a loan and grant; younger applicants are eligible only for loans. The counties of Anoka, Hennepin, Ramsey and Washington are all ineligible. Even if your property is in an eligible area, your eligibility is still subject to income limits. The Rural Development office of the U.S. Department of Agriculture administers this program.

For more information, visit Single Family Housing Repair Loans & Grants in Minnesota | Rural Development (usda.gov). For contact information of area offices, visit MN_SFHcontacts_2021.pdf (usda.gov).

This program offers loans to low income homeowners to help finance basic home improvements, including well construction, repair, and sealing.  Loans for well construction, repair, and sealing are limited to households that meet the income requirement and where connection to a municipal water supply is not feasible. The statewide income limit is $24,700 for one person, $28,200 for two people, and higher for larger families. The Minnesota Housing Finance Agency Loan Programs administers this program.

For more information, visit Rehabilitation Loan/Emergency and Accessibility Loan Program or call 800-657-3769 or 651-296-8215.

This program offers loans for home water treatment and well construction, repair, and sealing. The program is designed for homeowners with an annual household income of $155,500 to $175,400 or less depending on the county. This program does not have any location restrictions. There is a fixed interest rate. A qualifying homeowner may repay the loan with fixed monthly payments. The repayment term will be based on the loan amount and household budget. For a list of participating lenders and the current interest rate, visit their website. The Minnesota Housing Finance Agency Loan Programs administers this program.

For more information, visit Fix Up Program or call 800-657-3769 or 651-296-8215.

Loans from this program can be used for home water treatment, replacing a well, connecting to public water, sealing a well, and other practices that prevent water pollution. You do not need to be a farmer to qualify. Financing is available for existing privately owned wells that provide drinking water for people or livestock. Irrigation and other commercial wells are not eligible. There are no income limits in this program. The loan terms include a maximum of $200,000, a maximum length of ten years, and a maximum interest rate of 3 percent plus usual and customary fees. Local counties and Soil and Water Conservation Districts administer this loan program offered by the Minnesota Department of Agriculture (MDA).

For more information:

• Borrower Information for the AgBMP Loan Program
• Find AgBMP Loan County Contacts and Lenders (arcgis.com)
• Call the MDA AgBMP Loan Program at 651-201-6618

Soil and Water Conservation Districts 

Most county Soil and Water Conservation Districts (SWCD) have a state cost-share program to promote natural resource conservation practices in the county. A cost-share program reimburses the property owner for only part of the cost of well sealing. This program is primarily intended for rural and agricultural properties and the funds can be used for sealing wells. Each SWCD manages its own program. Contact the local SWCD office in your county for details. 

Minnesota counties 

Several Minnesota counties have cost share funds to assist private well owners in sealing unused wells including Ramsey County and the Capitol Region Watershed District (parts of Falcon Heights, Lauderdale, Maplewood, Roseville, and St. Paul). The address of the property with the well must be in the district.  Contact your local county’s website and search for well sealing. 

Natural Resources Conservation Service 

Some counties also provide financial and technical assistance programs through the Environmental Quality Incentives Program (EQIP), through the Natural Resources Conservation Service (NRCS) of the U.S. Department of Agriculture (USDA). This program is primarily intended for rural and agricultural properties and is limited to agricultural producers, who are property owners who raise food or fiber on the property. Depending on the county, well sealing (called "well decommissioning" in EQIP) is eligible by itself for financial assistance or is eligible if submitted with other conservation practices. 

For more information, visit Environmental Quality Incentives Program - Minnesota | Natural Resources Conservation Service (usda.gov). For contact information of area offices, visit USDA Service Center Locator. 

Requirements 

Preapproval is required for all of these programs. Arrangements for financial assistance must be completed before a well is sealed. State law requires that well sealing is done by a licensed well contractor. To find a licensed well contractor, visit the MDH Well Management Section, Licensed Well and Boring Contractor Directory.