(NASHVILLE) — State Representative Kent Calfee (R-Kingston) and State Representative John Ragan (R-Oak Ridge) announced today that the City of Oak Ridge is one of seven communities to receive low-interest loans from the Tennessee Department of Environment and Conservation (TDEC) for water and wastewater infrastructure improvement projects.
Specifically, the City of Oak Ridge will receive a traditional wastewater loan from TDEC totaling $3.1 million to be used for a Pump Station Rehabilitation and Improvements project. The project will be funded for a period of 20 years using monies obtained through the loan at an interest rate of 1.69 percent.
The funds are part of Tennessee’s Clean Water State Revolving Fund (CWSRF) program. It enables communities, utility districts, and water and wastewater authorities to obtain loans with lower interest rates than most can obtain through private financing for the planning, design, and construction of wastewater facilities. Interest rates for these loans vary from zero percent to market rate based on each community’s economic index. Additionally, 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 (EPA) 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 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.
“Today’s announcement is great news for Oak Ridge and Anderson County,” said Representative Ragan. ‘This low-interest loan will help cover the costs of a crucial project that will truly improve the quality of life for our residents.”
“I appreciate Governor Haslam and TDEC’s commitment to helping us address a sizable need in our community,” said Representative Calfee. “This project will allow us to keep pace with the increased demands of our residents and also improve our wastewater infrastructure in Roane County.”
Tennessee’s Clean Water State Revolving Fund (CWSRF) program has awarded more than $1.7 billion in low-interest loans since its inception in 1987. Additional information about the program is available at https://tn.gov/environment/topic/wr-srf-state-revolving-fund-program.
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