County, municipality, and township funding provided for planning and assistance to support drinking water regionalization; report required; and money appropriated.

This bill provides $1 million in state funding to counties, municipalities, and townships to help them plan and develop regional drinking water systems. The money can be used for planning activities like feasibility studies, engineering analyses, and community engagement to support shared water infrastructure projects. Local governments must contribute at least 25% of the grant amount in matching funds, and each recipient can receive up to $300,000 per year. The state health commissioner must create an application process by November 2026 that prioritizes projects addressing aging infrastructure, water quality, affordability, or economic development, and submit a progress report by January 2027.