To amend the Consolidated Farm and Rural Development Act to modify provisions relating to rural decentralized water systems grants.

This bill modifies the Consolidated Farm and Rural Development Act to update how federal grants support rural water systems. It allows nonprofit organizations to receive grants to provide loans and subgrants to individuals for building, repairing, or maintaining private household water wells and wastewater systems in rural areas. The bill adjusts eligibility income thresholds and increases the maximum loan amount to $20,000, while also requiring funding to cover at least five years of performance warranties for wastewater systems. The program's authorization period is extended from 2023 to 2031.