TDEC Announces $1.3 Million In Wastewater Construction Loans For Cleveland

Friday, June 29, 2018

Tennessee Governor Bill Haslam and Tennessee Department of Environment and Conservation (TDEC) Commissioner Dr. Shari Meghreblian on Friday announced that the City of Cleveland has been approved to receive approximately $1.3 million in low-interest loans for wastewater infrastructure improvements.

 

“This is great news for the people of Cleveland and Bradley County,” said Governor Haslam.

“This critical infrastructure support will lead to increased water quality for years to come.”

 

The city will receive $1,000,000 for a Collection System Expansion Project. The project is funded with a 20-year, $900,000 loan with an interest rate of 1.56 percent and $100,000 in principal forgiveness that will not have to be repaid. The City will also receive $350,500 for the Collection System Expansion Project, funded by a 20-year loan with an interest rate of 1.56 percent.

 

“Clean water is one of our most valuable resources and this investment helps ensure Bradley County’s most populated city will have the access it needs,” said Dr. Meghreblian. “TDEC is pleased to help make this public infrastructure project a reality for Cleveland.”

 

The Collection System Expansion Project will consist of the installation of approximately 7,750 linear feet of sewer lines to replace septic tanks to serve customers in an annexed area between South Lee Highway and I-75 Exit 20.

 

“These loans come at an amazing time for the City of Cleveland,” said Mayor Tom Rowland. “The Spring Branch Industrial Park should be completed by mid-July, so we expect even more excitement for our area. Knowing the state of Tennessee is doing its part to help Cleveland’s success is a great lasting legacy for our city and its residents.”

 

Tennessee’s Clean Water State Revolving Fund Loan Program has awarded more than $2 billion in low-interest loans since its inception in 1987. Tennessee’s Drinking Water State Revolving Fund Loan Program has awarded more than $304.82 million in low-interest loans since its inception in 1996.

 

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.

 

Any local government interested in a SRF Loan 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 may be found online at https://www.tn.gov/environment/program-areas/wr-water-resources/water-quality/state-revolving-fund-program.html



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