FOR IMMEDIATE RELEASE: Jan. 23, 2015
DEP OFFERS
INTEREST-FREE LOAN TO CLEWISTON FOR WATER TREATMENT PROJECT
~Revised
rules allow for low- or no-interest loans for qualified communities~
TALLAHASSEE – The Florida Department of Environmental Protection is awarding an
interest-free loan to the city of Clewiston as part of the Clean Water State
Revolving Fund program. The $811,700 loan will be used to rehabilitate the
city’s deteriorated master pump station, a critical component for
reliable wastewater treatment for residents. Clewiston, a rural
agricultural community that is recovering from the economic downturn, qualifies
for the department’s recently-allowed offering of no-interest loans to
disadvantaged communities.
The federal
Clean Water Act was recently amended to include additional provisions, such as
the Davis-Bacon and American Iron and Steel requirements, to projects funded
through the State Revolving Fund. In
response to the additional anticipated costs that will result from these
requirements, Florida revised its program's rules to allow for a reduction
in the overall interest rates collected on loans to keep these projects
affordable. The reduction allows the interest rates to go as low as zero for
some project sponsors, especially communities in need. Clewiston is the
first community to qualify for an interest-free loan.
“This project
is an example of the department’s continued commitment to improving water quality, which
is essential to both public health and economic growth,” said Mark Thomasson, director of DEP's Division of Water Resource Management. “This
rule revision encourages communities to continue to invest in vital
infrastructure to properly manage and treat wastewater and prevent harmful
pollutants from reaching surface waters.”
While the
master pump station is vital to the continued operation of Clewiston’s wastewater treatment
system to meet existing demand, the new master pump station is also designed to
accommodate expected growth in Clewiston as the community continues to recover. The new station will require only minor modifications to increase capacity as
demand increases.
“This zero-interest loan allows the city of Clewiston to make
the necessary improvements to our wastewater infrastructure while safely
protecting our precious environment and serve our great city for the next
40 years," said Al Perry, city manager for the city of Clewiston.
The Clean
Water State Revolving Fund program was established in 1989 to provide
low-interest financing for the planning, design and construction of
wastewater and stormwater facilities, in compliance with the Clean Water Act.
This program has awarded nearly $4.8 billion in loans since its
inception, and more than $1.4 billion in funding for 96 projects in just
the last five years. Funded by federal grants, state matching funds, loan
repayments and interest earnings, state revolving fund loans are offered at low-interest rates. Repayments from earlier loans are used to make new loans,
allowing the program to continue operating.
For more information on the
State Revolving Fund program, please visit http://www.dep.state.fl.us/water/wff/
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