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How Utilities Can Use Claroty to Secure SDWA Funding and Build Lasting Cyber-Operational Resilience

/ / 4 min read
Featured image for our blog: How Utilities Can Use Claroty to Secure SDWA Funding and Build Lasting Cyber-Operational Resilience

In August, the U.S. Environmental Protection Agency (EPA) announced the Midsize and Large Drinking Water System Infrastructure Resilience and Sustainability Program (NOFO: EPA-OW-OGWDW-25-01). With $9.5 million available in 2025, this program supports projects that help water systems serving 10,000 or more people prepare for natural hazards, extreme weather, and cybersecurity threats.

Eligibility is not automatic, however. To unlock this funding, utilities must document their risks, implement improvements, and demonstrate resilience gains over time.

This is where the Claroty Platform becomes a decisive enabler—helping utilities prepare compelling applications and sustain compliance year after year.

Why Eligibility Matters

Awards range from $1.1 million to $2.3 million per project with a one-to-four year performance window. Applicants must provide a 10% cost share and demonstrate how their project addresses resilience requirements under the Safe Drinking Water Act (SDWA) Section 1459F.

Eligible projects include:

  • Infrastructure hardening against flooding, tornadoes, wildfires, and earthquakes

  • Source water protection and conservation initiatives.

  • Energy efficiency improvements

  • Cybersecurity upgrades—SCADA modernization, segmentation, MFA, incident response  planning, and staff training

To succeed, utilities must not only design strong projects but also prove governance maturity, cyber readiness, and measurable outcomes. 

In other words, utilities need to show demonstrable stewardship of cybersecurity programs.

Common Utility Challenges

Documentation Gaps 

Many utilities lack the policies, training records, and security audits required by AWWA G430 and AWIA §2013.

Evolving Threats 

From insider risks to ransomware to contamination sabotage, threat vectors outlined in AWWA J100 are growing in complexity.

Capacity & Culture 

Leadership buy-in, stakeholder communication, and workforce training often lag technical needs, as emphasized in M5 and the EPA Cybersecurity Task Force recommendations.

Claroty as a Funding Enabler

At the time of this writing, 34 days remained in the application window. Fortunately, preparation does not have to take weeks or months. 

As a preparation tool, the Claroty Platform performs:

  • Automated asset discovery and vulnerability assessments aligned with EPA’s focus on reducing cyber risks.

  • Baseline risk documentation mapped to G430 and AWIA §2013 requirements.

  • Evidence-ready outputs for grant applications, including risk and resilience dashboards.

As a program sustainability tool, it performs:

  • Continuous monitoring of IT/OT assets ensures utilities can track and report progress on EPA-defined outputs and outcomes.

  • Dashboards feed directly into EPA-required reporting on improved resilience, cybersecurity practices, and emergency response readiness.

  • Supports ongoing compliance with G430, NIST CSF, and AWWA Cybersecurity Guidance.

Three Steps to Funding Success with Claroty

The steps are simple:

  1. Document & Assess: Run Claroty’s platform to produce a defensible baseline risk assessment.

  2. Implement & Demonstrate: Use Claroty’s segmentation, monitoring, and secure access controls to close priority gaps.

  3. Report & Sustain: Leverage dashboards to continuously prove progress to the EPA, utility boards, and the public.

Time-to-Resilience Is of the Essence

The EPA has made it clear: funding will flow to utilities that can prove resilience, not just promise it. The Claroty Platform enables utilities to go beyond compliance—embedding resilience as an ongoing program requiring proper governance, and not a one-off project.

Utilities that integrate Claroty don’t just prepare compelling grant applications, but they ensure sustained eligibility, operational confidence, and public trust. Now is the moment to act.

To learn more about how adopting the Claroty Platform can help with the development of cyber risk management practices, schedule a demo with one of our experts.

Interested in learning about Claroty's Cybersecurity Solutions?

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