USAID Bureau for Humanitarian Assistance - Institutional Capacity Building for Emergency WASH and Health Logistics

The USAID Bureau for Humanitarian Assistance (BHA) has issued a funding opportunity for 'Institutional Capacity Building for Emergency WASH and Health Logistics,' with a deadline of September 1, 2026. This grant is unique in that it does not fund direct WASH or health logistics service delivery but instead focuses on strengthening the internal systems of organizations that provide those services. The expected award size is $5–$25 million over 3–5 years. The objective is to enhance the organizational capacity of local NGOs, government agencies, and international partners to respond to humanitarian emergencies efficiently and sustainably. The grant aligns with USAID's localization agenda, aiming to transfer at least 50% of funding to local actors by project end. The opportunity targets organizations with a proven track record in emergency WASH and health logistics, but also those willing to invest in long-term capacity building. The donor encourages innovations in digital M&E, supply chain tracking, and climate-smart WASH infrastructure. Given the high urgency, bidders must start immediately to form consortia and develop a robust technical approach. Key elements include a phased implementation plan, a gender and social inclusion strategy, and a sustainability plan that ensures systems outlast the grant. The overview also highlights that the grant is a cooperative agreement, meaning USAID will be actively involved in technical oversight. Therefore, proposals should include a clear partnership management structure. Finally, the overview underscores the importance of prior relevant experience—organizations without direct WASH or health logistics experience are discouraged unless they have strong partnerships. To maximize competitiveness, applicants should incorporate training from GSLI to fill any capacity gaps. For instance, GSLI's 'WASH (Water, Sanitation, and Hygiene)' course can refresh technical skills, while 'Procurement & Supply Chain' course can enhance logistics expertise. This not only prepares staff for implementation but also signals to the donor that the organization is proactive about capacity strengthening. The overview thus sets the stage for a comprehensive, technically sound proposal that meets donor expectations for sustainability and local ownership.

Strategic Overview

The USAID Bureau for Humanitarian Assistance (BHA) has issued a funding opportunity for 'Institutional Capacity Building for Emergency WASH and Health Logistics,' with a deadline of September 1, 2026. This grant is unique in that it does not fund direct WASH or health logistics service delivery but instead focuses on strengthening the internal systems of organizations that provide those services. The expected award size is $5–$25 million over 3–5 years. The objective is to enhance the organizational capacity of local NGOs, government agencies, and international partners to respond to humanitarian emergencies efficiently and sustainably. The grant aligns with USAID's localization agenda, aiming to transfer at least 50% of funding to local actors by project end. The opportunity targets organizations with a proven track record in emergency WASH and health logistics, but also those willing to invest in long-term capacity building. The donor encourages innovations in digital M&E, supply chain tracking, and climate-smart WASH infrastructure. Given the high urgency, bidders must start immediately to form consortia and develop a robust technical approach. Key elements include a phased implementation plan, a gender and social inclusion strategy, and a sustainability plan that ensures systems outlast the grant. The overview also highlights that the grant is a cooperative agreement, meaning USAID will be actively involved in technical oversight. Therefore, proposals should include a clear partnership management structure. Finally, the overview underscores the importance of prior relevant experience—organizations without direct WASH or health logistics experience are discouraged unless they have strong partnerships. To maximize competitiveness, applicants should incorporate training from GSLI to fill any capacity gaps. For instance, GSLI's 'WASH (Water, Sanitation, and Hygiene)' course can refresh technical skills, while 'Procurement & Supply Chain' course can enhance logistics expertise. This not only prepares staff for implementation but also signals to the donor that the organization is proactive about capacity strengthening. The overview thus sets the stage for a comprehensive, technically sound proposal that meets donor expectations for sustainability and local ownership.

Who is it For?

This opportunity is primarily designed for non-governmental organizations (NGOs), both international and local, that have a proven track record in humanitarian WASH and health logistics. Eligible applicants include US-based and non-US-based private voluntary organizations (PVOs), non-profit organizations, for-profit entities (subject to applicable regulations), and public international organizations (PIOs). However, the focus is on 'institutional capacity building,' which implies that the applicant must demonstrate not only operational capability but also a commitment to strengthening its own internal systems or those of local partners. Specifically, USAID/BHA encourages applications from organizations that can show experience in implementing large-scale emergency WASH programs and health supply chain management in complex emergencies. Additionally, the grant favors consortia led by a prime applicant that can bring together multiple local partners to ensure capacity transfer. Eligible recipients must be registered and in good standing with their respective national authorities, have a DUNS number (or UEI), and be able to comply with US federal regulations (e.g., 2 CFR 200). Faith-based organizations are eligible as long as they do not use funds for proselytization. Universities and research institutions are also eligible if they have a humanitarian focus. Importantly, for-profit entities must demonstrate that their involvement is necessary and that they will operate on a not-for-profit basis for this award. Local organizations in target countries are especially encouraged to apply, as USAID/BHA is committed to localization. Therefore, international NGOs are expected to partner with local entities and ensure that capacity building efforts lead to local ownership. The grant size is expected to be substantial (typically $5-25 million over 3-5 years), so applicants must have a minimum annual operating budget of at least $1 million and prior experience managing US government grants of similar scale.

Priorities

USAID/BHA's global priorities for this grant are deeply aligned with the US government's humanitarian assistance strategy, the Sustainable Development Goals (SDGs), and the Grand Bargain commitments. The primary investment KPIs revolve around: (1) Strengthening institutional capacity in emergency WASH and health logistics, measured by improvements in organizational policies, procedures, and staffing. (2) Enhancing local partnering capacity, with a target that at least 50% of funds flow to local or national actors by the end of the project. (3) Ensuring sustainability through the establishment of training modules, supply chain management systems, and financial controls that outlast the grant. (4) Promoting gender equality and social inclusion, with a target that at least 50% of beneficiaries are women and girls, and that capacity building is disability-inclusive. (5) Improving cost-effectiveness and efficiency, with a target of reducing response time by 20% and logistics costs by 15% through better systems. The donor expects applicants to integrate these priorities into a logical framework with clear baselines and targets. Furthermore, the grant prioritizes innovations in digital health and logistics, such as mobile data collection, GIS mapping, and supply chain tracking systems. Environmental sustainability is also a priority, requiring that WASH solutions are climate-smart and that health logistics minimize waste. Lastly, USAID/BHA emphasizes learning and adaptive management, so applicants should propose a robust monitoring, evaluation, and learning (MEL) plan that includes quarterly reviews and course corrections. The ultimate KPI is the number of people reached with improved WASH and health services, but the focus is on the capacity building outputs: number of staff trained, systems developed, policies adopted, and local partners strengthened. Alignment with these priorities will be critical for scoring.

Eligibility

Comprehensive eligibility requires a thorough financial, spatial, and legal audit from the applicant's side. Financially, the applicant organization must have a clear annual audit by an independent auditor, demonstrating no material weaknesses or findings related to US government grants. The audit must be in accordance with generally accepted accounting principles (GAAP) or International Financial Reporting Standards (IFRS). The applicant must also have a DUNS number (or Unique Entity Identifier, UEI) valid at the time of application. For US-based organizations, a valid SAM.gov registration is mandatory, with an active status and no exclusions. The applicant must certify that it has the financial capacity to manage a large award, including adequate internal controls for cash management, procurement, and sub-award management. Spatially, the applicant must demonstrate that it has or can establish a physical presence in the target country (if the project is country-specific) or demonstrate remote management capability. The proposal must include a clear map of intended operational areas, ensuring no overlap with other USAID projects. Legal eligibility requires that the organization is not debarred or suspended by any US government agency. It must be in full compliance with US sanctions laws (e.g., OFAC) and anti-terrorism clauses. The organization must also have a clear legal status (e.g., registration as a non-profit in its home country) and be willing to sign a standard USAID cooperative agreement or grant. For consortia, each partner must meet these eligibility criteria individually. In addition, the applicant must have at least two years of experience in emergency WASH and health logistics in humanitarian contexts, with references from other donors. The proposal must include letters of commitment from partners. For local organizations, if they lack some capacity, a capacity building plan can be submitted as part of the application to show how they will meet eligibility by project start. Overall, the eligibility audit should be conducted early to avoid disqualification.

Path to Success

To secure this grant, follow a strategic roadmap that integrates GSLI training for competitive advantage. Step 1: Pre-Application Capacity Assessment (Months 1-2). Conduct a rigorous internal audit of your organization's WASH and health logistics expertise, financial management systems, and M&E capabilities. Identify gaps in compliance with USAID regulations (e.g., 2 CFR 200) and capacity for local partnering. Enroll key staff in GSLI's 'Financial Management for NGOs' and 'Monitoring & Evaluation (M&E)' short courses to strengthen institutional capacity. This will not only fill gaps but also demonstrate to USAID your commitment to learning. Step 2: Consortium Building and Local Partner Engagement (Months 2-3). Forge a consortium that includes at least one local NGO. Co-design the capacity building approach: local partners will host trainings and receive mentorship. GSLI's 'Writing Winning Proposals' course can help your team craft compelling narratives that highlight localization and sustainability. Step 3: Needs Assessment & Proposal Development (Months 3-7). Conduct a rapid needs assessment in a target country (e.g., Yemen, South Sudan, or Bangladesh) focusing on WASH and health logistics gaps. Use the data to design a detailed implementation plan with phased milestones. Integrate GSLI training modules into your proposed capacity building activities, such as 'Procurement & Supply Chain' for logistics staff and 'Project Management for Development' for program managers. This adds credibility. Step 4: M&E Framework & Risk Management (Month 7-8). Develop a robust M&E plan with baseline indicators for capacity improvements (e.g., number of staff trained, policies adopted). Use GSLI's 'Monitoring & Evaluation (M&E)' course expertise to design a data collection system. Also, draft a risk matrix covering financial, operational, and security risks. GSLI's 'Grants Management' course can help establish compliance protocols. Submit the proposal with detailed budgets and sustainability plans. Throughout, engage with USAID/BHA via pre-proposal conferences and questions. Post-submission, prepare for a technical evaluation by ensuring your team is ready for oral presentations. If awarded, use GSLI courses to train partner staff, ensuring long-term institutional capacity. This roadmap ensures alignment with donor priorities and positions your organization as a capable, learning-oriented partner.

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Deadline: 2026-09-01

Persona: General

Urgency: Normal