New Mexico
Environment Department

Contact Information:
(505) 827-2855 MAIN // 1-800-219-6157 (toll free)
Environmental Emergencies:
505-827-9329 (24 hrs)

Construction Programs Bureau

Rural Infrastructure Program (RIP)


The Rural Infrastructure Act (Chapter 75, Article 1 NMSA 1978) created the Rural Infrastructure Revolving Loan Program (RIP) in 1988. The purpose of the RIP is to provide financial assistance to eligible local authorities for the construction or modification of water supply, wastewater, and solid waste facilities.

Click the following link to view the New Mexico Administrative Code regulations that govern RIP:

NMAC Rural Water Supply, Wastewater and Solid Waste Infrastructure


Type of Funds

Because the funds are state monies, the application and approval process is streamlined, allowing the funds to be available within six to eight weeks. The maximum loan per entity is $2,000,000 per year. Grant funding may be available on a limited basis.


Loan Interest

The base interest rate is 2.375%, with a repayment schedule of up to 20 years. The first payment is not due until one year after the completion of the project.


Who and What Projects Are Eligible

Any incorporated City, Town, Village, Mutual Domestic Water Consumers Association (MDWCA) or Water and Sanitation Districts with a population of less than twenty thousand or a county that serves a population of less than two hundred thousand.

These types of projects can be financed through RIP:

  • Eligible water, wastewater and solid waste
  • Water pipelines
  • New sewer interceptors and collectors
  • Infiltration/inflow correction
  • Water and sewer system rehabilitation
  • Treatment plant improvements
  • Non-point source projects (i.e. septic tanks)
  • Cost of water rights acquisition
  • Eligible solid waste facilities including collection, disposal, storage and recycling
  • Engineering studies and design
  • Project inspection
  • Easement and right-of-way
  • Project legal costs
  • Purchase of equipment
  • Pollution Control


RIP Annual Report

Click the following link to go to the Rural Infrastructure Loan Program (RIP) Documents and Forms page to view or download the latest

RIP Annual Report


Funding Cycle

Applications are accepted throughout the year. Loan funds can be made available for projects within six to eight weeks upon submission of complete application.

Click the following link to go to the Rural Infrastructure Program Documents and Forms page to view or download the RIP Application



Rural Infrastructure Program (RIP) Documents and Forms:

RIP Reports

RIP Application

Engineering Contract Template for All Funding Programs

RIP Disbursement Request Forms



If you have any questions regarding RIP, contact the CPB Team: or (505) 827-2806.