USDA Invests in Water Infrastructure for Seven Counties in Rural Illinois

This Investment Provides Access to Reliable Water for More Than 16,000 People

(Champaign, Illinois, April 28, 2026) - U.S. Department of Agriculture Rural Development Illinois State Director Jesus Ortega today announced that farmer-founded EJ Water Cooperative, Inc. received $5,537,000 for construction of a reservoir west of Holland, Illinois. The new reservoir is one of the critical water upgrades the cooperative is making that will provide access to reliable water for more than 16,000 rural residents across seven counties in rural Illinois.

"Under the leadership of President Trump and Secretary Rollins, USDA is committed to ensuring people in rural Illinois have access to safe, reliable water," said Ortega. "This project champions the priority to meet the need for safe, clean water in the American heartland that is essential to rural prosperity."

The new 48-acre, above-ground side channel reservoir can supply water for six months, replacing the previous reservoir that could supply water for just three days. The new reservoir is 40 feet deep, and the lower intake structure improves water quality by reducing turbidity and providing a more consistent temperature of the water.

The USDA Rural Development investment in the reservoir includes two loans totaling $4,577,000 and a $960,000 grant. Funding for the reservoir project was provided through Rural Development's Water and Waste Disposal Loan and Grant Program. The program helps rural communities extend and improve water and waste treatment facilities that serve local households and businesses.

The late Delbert Mundt founded EJ Water Cooperative, Inc. in 1989 to help people. This project is among the initiatives he wanted to accomplish.

"I think Delbert would be smiling if he was here today," said EJ Water Cooperative, Inc. Chief Executive OfficerBill Teichmiller. "He was always forward looking. When we can do something to serve a community, it just makes me feel like we've done our job, providing our service to the community as a co-op to help people."

Currently EJ Water Cooperative, Inc. provides access to reliable water for more than 70,000 rural Americans across 19 counties in Central and Southern Illinois and has more plans to expand plant capacity in the future. The new reservoir was built as part of plans to continue to meet the growing needs of people in Effingham, Shelby, Cumberland, Fayette, Clay, Christian, and Montgomery counties.

Applications for the Water and Waste Disposal Loan and Grant program are accepted year-round. Additional information about the program is available online, or contact [email protected].

For more information on USDA Rural Development investments in rural America, visit the Rural Data Gateway. The Rural Data Gateway is an online tool that strengthens USDA Rural Development partnerships with rural people, entrepreneurs, government officials and Congress by making investment data accessible to the public.

Learn more online at www.rd.usda.gov/il, subscribe to GovDelivery updates, and follow us on X at @RD_Illinois.

###

USDA is an equal opportunity provider, employer, and lender.