Findings highlight how voluntary regional collaboration can help rural utilities address infrastructure, workforce and operational challenges 

Washington, D.C. (March 10, 2026) – The Rural Community Assistance Partnership Incorporated (RCAP) and the National Rural Water Association (NRWA) released an analysis today examining how voluntary regional partnerships can help strengthen water and wastewater systems serving small and rural communities. Drawing on decades of on-the-ground technical assistance and system data, the analysis shows how community-led regional collaboration, supported by trusted technical assistance providers, can strengthen long-term sustainability while preserving local governance, community identity and public accountability. 

Across the country, rural utilities face increasing pressure from aging infrastructure, workforce shortages, regulatory requirements and rising operational costs. The white paper, titled “Regional Partnership Program: A Community-Led Approach,” underscores that federal policy must support voluntary, community-driven regionalization by ensuring communities have access to planning resources, technical assistance and investment strategies that allow them to evaluate partnership opportunities while protecting local autonomy. 

The analysis also identifies several areas where federal support could strengthen these efforts, including leveraging the Farm Bill for targeted assistance, increasing State Revolving Fund resources for regionalization and improving flexibility across federal funding programs. 

Key findings of the white paper include the following:

• Rural utilities face significant infrastructure pressures. The U.S. Environmental Protection Agency estimates that roughly $625 billion will be needed for drinking water infrastructure improvements in the coming decades, creating major challenges for small systems with limited financial and technical capacity.  
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• Regionalization is most effective when it is voluntary and community-led. This approach allows utilities to collaborate, share expertise and strengthen technical, managerial and financial capacity while preserving community identity. 
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• Regionalization includes multiple partnership models. Communities may pursue shared services, joint purchasing, contractual assistance, regional entities or voluntary consolidation depending on local needs. 
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• System size alone does not determine regulatory performance. National data shows that larger systems do not consistently outperform smaller systems in regulatory compliance. 

The full white paper is available for download here. 

“Rural utilities know better than anyone what it takes to provide safe drinking water and clean wastewater services to their communities,” said NRWA CEO Matt Holmes. “This paper reinforces that regional partnerships have the best chance of success when they are voluntary and community-led. Regionalization can strengthen capacity without sacrificing local control. With the right federal support and flexible funding tools, more communities can explore partnership models that improve long-term sustainability while preserving the identity and accountability that matter most to the people they serve.”

For more than fifty years, NRWA and RCAP have worked alongside small and rural utilities across the country, providing technical assistance, training and support to help communities address complex infrastructure and operational challenges. Together, the two organizations employ more than 1,000 staff nationwide and have successfully guided hundreds of utilities through regionalization. 

“Small and rural communities face unique challenges when it comes to sustaining safe and reliable water and wastewater systems,” said RCAP CEO Olga Morales-Pate. “Regional partnerships, when driven by the communities themselves, can provide a meaningful pathway for strengthening capacity while ensuring communities maintain the leadership and accountability that are central to their long-term success.” 

To learn more about RCAP’s mission and impact, visit www.rcap.org. To learn more about NRWA’s mission and impact, visit www.nrwa.org. 

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About Rural Community Assistance Partnership Incorporated (RCAP)

The Rural Community Assistance Partnership Incorporated (RCAP) is a national network of nonprofit partners dedicated to ensuring rural and Tribal communities have access to safe drinking water, wastewater treatment, solid waste disposal and economic opportunity. RCAP supports the smallest, often under-resourced communities in the U.S. through technical assistance, training, financial guidance and advocacy. Through RCAP’s regional partners, more than 400 technical assistance providers (TAPs) build long-term, trusted relationships with thousands of communities across the country.

About National Rural Water Association (NRWA) 

The National Rural Water Association (NRWA) is a non-profit organization dedicated to training, supporting, and promoting the water and wastewater professionals that serve small and rural communities across the country. NRWA provides nationwide training and technical assistance through its affiliated State Rural Water Associations that currently have over 31,000 utility system members across all 50 states and Puerto Rico. Rural Water training and technical assistance covers every aspect of operating, managing, and financing water and wastewater utilities.