A message from the National Rural Water Association
USDA Announces Loan Program for Distressed Communities
One Percent Loan Program provides additional tool to reduce reliance on grant funding
Reposted from NRWA News (www.nrwa.org/home/news)
Last week, the USDA Rural Utilities Service announced a One Percent Loan program as an additional tool for the Water & Waste Disposal Grant Program. NRWA has been advocating for this affordable financing tool for three years as a direct result of concerns voiced by our utility system members.
Many water infrastructure projects have exceeded their useful lives. This new One Percent Loan program provides financing for much-needed improvements to economically distressed systems and serves as another tool for USDA to help communities navigate unprecedented challenges facing the water sector, i.e., workforce, supply chain, and emerging contaminants. NRWA encourages you to learn more about how this program can benefit your community by reading more below.
One Percent Loan Program for Distressed Communities
USDA Rural Utilities Service has received funding for a new One Percent Loan program to help distressed communities. The One Percent Loan program provides an additional tool in our Water & Waste Disposal Loan & Grant program to maximize the investments from Congress and reduce the reliance on grant funding, while having a positive or neutral fiscal impact on distressed communities receiving assistance.
Funding is available now to help you build, expand, and repair your community’s drinking water, wastewater, storm water drainage, and sanitary solid waste disposal systems. Program highlights include:
- One percent loan financing can be combined with grants to keep user costs reasonable.
- Long loan terms are available with typical projects financed over 40 years, subject to state statute.
- Comprehensive funding allows for construction, engineering, land, legal, environmental, and many other project costs
Low interest loans are available now. Contact our State Offices to discuss your projects!
SOURCE: USDA
