Water Protection Program

Financial Assistance Center Drinking Water Loan Programs

State Revolving Fund Loans  | Direct Loans | Small Borrower
Project Guidance Documents  •  Contact Us

State Revolving Fund Loan Information

Leveraged Loan Program
The Leveraged Loan Program is made available in cooperation with the Missouri Department of Natural Resources and the Environmental Improvement and Energy Resources Authority. The Missouri Drinking Water State Revolving Fund Leveraged Loan Program is a subsidized low interest loan program.

The Drinking Water State Revolving Fund Leveraged Loan Program provides financing at below the market rate and finances 100 percent of eligible planning, design and construction. Loans with a maximum 20-year repayment term from completion of first contract and subsidized interest rates will be made available to eligible applicants meeting the minimum credit criteria.

Every effort will be made to encourage participation in the leveraged loan program due to the limited amount of funds available under other state programs. The interest subsidy in fiscal year 2008 will be 70 percent. This subsidy will reduce the interest paid to 30 percent of the market rate at closing.

Direct Loans

This program is offered to communities that do not qualify for a leveraged loan. Typically direct loans are targeted to high risk applicants, but larger communities may be considered on a case-by-case basis.

Interest rates are dependent on published rates, but are generally 30 percent of the market rate. Projects applying for loans through the department will be directed to this program, if necessary.
These are secured loans with a successful community bond issue that the department will purchase to provide a below market interest rate.

Direct Loan Program Fact Sheet -- PUB2306

Small Borrower Direct Loans

Small Borrower Loans are available only to communities or public water districts of less than 1,000 population or service area. Qualifying communities or public water districts may be considered for a direct loan for drinking water system improvements for up to $100,000 with a maximum 20-year repayment term. In addition to providing financial assistance, this program is geared toward helping communities and public water districts become familiar with the State Revolving Fund Loan Programs.

Past Documents

Missouri Drinking Water State Revolving Fund Program State Fiscal Years 2009 and 2010 Biennial Report