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Grant funds will be made available to municipality or community owned utilities (not including for-profit entities) seeking assistance in repairing, rehabilitating, or replacing high-risk, actively leaking, or leak-prone natural gas distribution infrastructure or portions thereof or acquiring equipment to reduce incidents and fatalities and to avoid economic loss. This grant program also strives to create good-paying jobs; benefit disadvantaged rural and urban communities with safe provision of natural gas; and protect our environment and reduce climate impacts by remediating aged and failing natural gas distribution pipelines and distribution pipe prone to leakage.
This chart shows obligations for the program by fiscal year. All data for this chart was provided by the
administering agency and sourced from SAM.gov, USASpending.gov, and Treasury.gov.
For more information on each of these data sources, please see the
About the data page.
PHMSA reached out to all potential applicants by multiple means (webinars, 135 Frequently Asked Questions, direct communication, technical assistance, communication with State governors), and published a NOFO for this grant program on May 24, 2022, which closed on August 8, 2022. PHMSA received 179 applications totaling more than $1.2 billion in funding requests, far exceeding expectations and demonstrating the demand for the program. The program garnered tremendous interest due to PHMSA’s effective outreach measures. The maximum amount available for the first year of this program is $196 million.
PHMSA recommended 37 applications for provisional award which totaled $195.4 million in funding. Following the Secretary’s approval, PHMSA launched an extensive series of road show events during April and May 2023 to announce these awards, which included 16 events in 19 states. As of July 2023, the 37 provisionally selected applicants are in the early stages of completing the required environmental assessment with technical assistance provided by Volpe. FY22 NGDISM provisionally awarded applications will repair, replace, or rehabilitate nearly 270 miles of pipe and will reduce methane emissions by approximately 212 metric tons annually.
In FY 2024, PHMSA made substantive progress towards achieving the performance goal through its implementation of the Natural Gas Distribution Infrastructure Safety and Modernization Grant (NGDISM) Program. On April 3, 2024, PHMSA announced 65 provisional grantees would receive a total of $392 million in FY 2023 awards. The next step for the 65 FY 2023 provisional grantees is the completion of an environmental assessment. To that end, the program office successfully hosted an environmental assessment webinar on May 28, 2024. The webinar covered the Tier 2 requirements for the FY 2023 recipients. There were 75 attendees.
PHMSA published the FY 2024 Notice of Funding Opportunity (NOFO) for this grant program on May 9, 2024, which closed on June 20, 2024. PHMSA received 151 applications totaling more than $1.09 billion in funding requests, far exceeding expectations. The program garnered tremendous interest due to PHMSA’s effective outreach measures. The maximum amount available for the third year of this program is $196 million.
PHMSA completed outreach to potential applicants by multiple means (webinars, Frequently Asked Question (FAQs), direct communication via a shared electronic mailbox, and technical assistance). On April 30, 2024, the NGDISM grant team sent an outreach email blast to over 1,336 potential FY 2024 NGDISM applicants, inviting them to attend one of two webinars. PHMSA hosted webinars on May 7 and 14, 2024, to discuss best practices for entities interested in applying for a NGDISM grant through the FY 2024 NOFO. Attendance for these webinars totaled 152 and 45 people, respectively, or 197 people total.
Single Audit Applies (2 CFR Part 200 Subpart F):
For additional information on single audit requirements for this program, review the current Compliance Supplement.
OMB is working with the U.S. Government Accountability Office (GAO) and agency offices of inspectors general to include links to relevant oversight reports. This section will be updated once this information is made available.
