Congress chose not to address nonpoint sources through a regulatory approach, unlike its actions with "point" sources. Rather, when it added Section 319 to the CWA in 1987, it created a federal grant program that provides money to states, tribes, and territories for the development and implementation of NPS management programs.

Under the Clean Water Act Section 319, states, territories, and delegated tribes are required to develop nonpoint source pollution management programs (if they wish to receive 319 funds).

Once it has approved a state's nonpoint source program, EPA provides grants to these entities to implement NPS management programs under Section 319(h). Section 319 is a significant source of funding for implementing NPS management programs, but there are other federal (e.g., Farm Bill), and state, local, and private programs.

Initially, only $38 million a year was appropriated, but funding has increased significantly since then. In FY 2002, Congress appropriated $237 million for Section 319 grants. Recipients of these federal monies must provide a 40 percent match, either in dollars or in-kind services.

States and territories "pass on" a substantial fraction of the 319 funds they receive from EPA to support local nonpoint source pollution management efforts. Depending on the state or territory, a "local match" may be required.

Though there is no CWA federal regulatory authority over nonpoint sources of pollution and the Act does not require states to develop their own regulatory programs in order to obtain 319 grants, states, territories, and tribes may, at their discretion, use 319 funds to develop their own NPS regulatory programs.

Sec. 319 funds can also be used for the development and implementation of TMDLs in watersheds where nonpoint sources are a substantial contributor of loadings of the pollutant(s) causing impairment. Five percent of a state's 319 funds can be used for Clean Lakes program activities and 319 funds can be used for projects aimed at protecting groundwater.