Governor Bill Haslam and Tennessee Department of Environment and Conservation Commissioner Bob Martineau Friday announced that seven communities and one Utility District have been approved to receive over $33.4 million in low-interest loans for water and wastewater infrastructure improvements, including Cleveland which will receive a $1,195,000 loan for water distribution system improvement.
“The State Revolving Fund Loan Program helps citizens enjoy a better quality of life by assisting communities with current and future infrastructure needs for improved environmental health,” said Governor Haslam.
Tennessee’s Clean Water State Revolving Fund Loan Program has awarded more than $1.7 billion in low-interest loans since its inception in 1987. Tennessee’s Drinking Water State Revolving Fund Loan Program has awarded more than $297.6 million in low-interest loans since its inception in 1996.
“Drinking water infrastructure is a priority for TDEC and the residents of Tennessee,” said Commissioner Martineau. “This Program enables local communities to provide safe, clean and affordable drinking water year after year.”
Through the SRF Program, communities, utility districts, and water and wastewater authorities can obtain loans with lower interest rates than most can obtain through private financing. Interest rates for loans can vary from zero percent to market rate based on each community’s economic index. Loans utilizing EPA grant funds can include a principal forgiveness component.
TDEC administers the SRF Program in conjunction with the Tennessee Local Development Authority. The U.S. Environmental Protection Agency provides grants to fund the program, and the state provides a 20 percent match. Loan repayments are returned to the program and are used to fund future SRF loans.
The funding order of projects is determined by the SRF Program’s Priority Ranking Lists that rank potential projects according to the severity of their pollution and/or compliance problems or for the protection of public health.
Two Wastewater Loans were announced Friday for the following recipients:
The city of Millersville (Sumner & Robertson Counties) - The city of Millersville will receive $518,000 for an Infiltration and Inflow Corrections project. The project will be funded with a 20-year, $466,200 loan with an interest rate of 0.28 percent and $51,800 in principal forgiveness that will not have to be repaid.
The town of Parrottsville (Cocke County) - The town of Oak Parrottsville will receive $200,000 for a Wastewater Treatment Plant Improvements project. The project will be funded with a 20-year, $170,000 loan with an interest rate of 0.81 percent and $30,000 in principal forgiveness that will not have to be repaid.
Four Traditional Wastewater Loans were announced today for the following recipients:
The city of Greenbrier (Robertson County) - The city of Greenbrier will receive $2,163,700 for a Wastewater Treatment Plant Upgrades Projects. The project will be funded with a 20-year, $2,163,700 loan with an interest rate of 0.52 percent.
The city of Memphis (Shelby County) - The city of Memphis will receive $25,000,000 for modifications and upgrades to the existing treatment processes and the addition of disinfection facilities at the T. E. Maxson Wastewater Treatment Plant. The project will be funded with a 20-year, $25,000,000 loan with an interest rate of 0.75 percent.
The town of Oakland (Fayette County) - The town of Oakland will receive $1,010,365 for a Collection System Expansion and Improvements project. The project will be funded with a 20-year, $1,010,365 loan with an interest rate of 1.60 percent.
The city of Oak Ridge (Anderson/Roane Counties) - The city of Oak Ridge will receive $3,100,000 for a Pump Station Rehabilitation and Improvements project. The project will be funded with a 20-year, $3,100,000 loan with an interest rate of 1.69 percent.
A Drinking Water Loan was announced Friday for the following recipient:
The city of Cleveland (Bradley County) - The city of Cleveland will receive $1,000,000 for a water distribution system improvements and finished water storage project. The project will be funded with a 20-year, $800,000 loan with an interest rate of 1.60 percent and $200,000 in principal forgiveness that will not have to be repaid.
Two Traditional Drinking Water Loans were announced Friday for the following recipients:
The city of Cleveland (Bradley County) - The city of Cleveland will also receive $195,000 for a water distribution system improvements and finished water storage project. The project will be funded with a 20-year, $195,000 loan with an interest rate of 1.60 percent.
The Smith Utility District (Smith County) - The Smith Utility District will receive $250,000 for a Water Main Line Replacements project. The project will be funded with a 20-year, $250,000 loan with an interest rate of 0.76 percent.
Any local government interested in the SRF Loans, should contact the State Revolving Fund Loan Program, Tennessee Tower, 12th Floor, 312 Rosa L. Parks Ave., Nashville, TN 37243, or call (615) 532-0445. Additional information about the SRF Loan Program may be found online at http://tn.gov/environment/topic/wr-srf-state-revolving-fund-program#sthash.XRnskyKu.dpuf.