Drinking Water State Revolving Fund
General Information
The programs are available to municipalities, counties, public water districts, political subdivisions, and instrumentalities of the state. To participate in the loan programs, your project must appear on the Drinking Water SRF Intended Use Plan fundable list.
Project proposals must be submitted to the Missouri Water and Wastewater Review Committee (MWWRC). When the review is completed and the MWWRC has made its recommendation, an application will be forwarded to the applicant. Applications are reviewed by the department to determine applicant and program eligibility. This determination is based on the size of the community, projected user charge after project completion, and the financial capability and history of the community.
Projects will be awarded "Priority Points" in accordance with the DWSRF loan Priority Point Criteria. Priority Point criteria are subject to annual public review and commentary. Revision of Priority Point criteria is approved by the Safe Drinking Water Commission at least 60 days prior to the annual application deadline. The Priority Points are used to determine the order in which project funds will be distributed. A project with high Priority Points will be funded before one with a lower Priority Point total.
Applicants that do not have high enough priority points to be on the fundable list, but are still able to meet the eligibility requirements will be placed on a contingency list. If an applicant on the fundable list drops out or does not use all of its identified funds, the applicant with the highest priority points on the contingency list will be moved to the appropriate fundable list. Applicants ineligible for a loan at this time, will be listed on the IUP's "Loan Applicants Unable to Meet Eligibility Requirements." Applications are good for two years.
Questions About Financing Public Drinking Water Systems Through The DWSRF
Q. Why was the Drinking Water State Revolving Fund program
established?
Q. Who is responsible for administering the Missouri Drinking
Water State Revolving Fund Program?
Q. What projects are eligible for SRF funding?
Q. How will projects be evaluated?
Q. How will participation in the DWSRF Program
help my community?
Q. What is the operating philosophy behind Missouri's
DWSRF Program?
Q. How does my community apply for participation in the
DWSRF program?
Q. When should design of my DWSRF project begin?
Q. Why was the Drinking Water State Revolving Fund program established?
A. The Drinking Water State Revolving Fund (DWSRF) program was established to assist public water systems with financing the costs of infrastructure needed to comply with Safe Drinking Water Act (SDWA) requirements to protect the public health, allow states to carry out prevention programs and household affordability.
Q. Who is responsible for administering the Missouri Drinking Water State Revolving Fund Program?
A. In order to receive the federal capitalization grants necessary to establish a SRF program, EPA delegated responsibility for administering the SRF to a state agency. In Missouri, the responsibility was delegated to the Missouri Department of Natural Resources.
Q. What projects are eligible for SRF funding?
A. Funding will be made available to finance the costs of planning, design, construction, and in some limited cases, land cost attributed to the project of public water systems. Ineligible costs may include maintenance and operation expenditures, and projects needed primarily for fire protection or to serve future growth. Eligible projects must fall into one or more of the following categories:
- Construction or upgrading of treatment facilities;
- Replacement of contaminated sources and substandard wells with new groundwater sources;
- Installation or upgrade of disinfection facilities;
- Consolidation and interconnection of systems to address capacity development;
- Planning and engineering associated with eligible projects;
- Replacement of aging infrastructure;
- Transmission lines and storage;
- Distribution system replacement, rehabilitation, upgrade, or installation;
- Installation of meters, valves, and flushing devices;
- Refinancing eligible projects where debt was incurred after July 1, 1993;
- Land and easements integral to a DWSRF eligible project obtained from willing sellers;
- Other projects necessary to address compliance, public health and affordability issues,
- Security measures (except monitoring and guards).
Q. How will projects be evaluated?
A. Projects will be evaluated and prioritized in accordance with (DWSRF) Priority Ranking Criteria. The purpose of the criteria is to list eligible projects in priority order. The most serious problems are given a higher priority. Priorities are based on protection of public health, compliance with the SDWA, and household affordability.
Q. How will participation in the DWSRF Program help my community?
A. The DWSRF program provides substantial interest savings over conventional market rate financing. Participation in the DWSRF can dramatically reduce your community's annual debt service and interest costs. These savings will translate into lower costs for system users.
Q. What is the operating philosophy behind Missouri's DWSRF Program?
A. In operating its DWSRF Program, Missouri has several main objectives. The first is to maximize Missouri's use of federal capitalization grant funds by encouraging wide participation in the DWSRF program. The second is to provide as much funding, both from federal capitalization grants and from state revenue sources, to as many communities as possible in order to enhance drinking water quality in the state.
Q. How does my community apply for participation in the DWSRF program?
A. Submit a completed Missouri Water and Wastewater Review Process Application. Following their review, the Missouri Water and Wastewater Review Committee (MWWRC) will recommend the appropriate state or federal agency or agencies from which to seek financial assistance. After receiving an invitation to apply to the DWSRF program, a completed DWSRF application form must be submitted to the Missouri Department of Natural Resources. The application must be postmarked or faxed on or before November 15 of each year. Those public water systems submitting applications by this deadline will be considered for the upcoming fiscal year. However, we will continue to collect late applications and list them on a contingency list in priority point order as long as the application is included in the public hearing process.
Q. When should design of my DWSRF project begin?
A. Once the project is shown as fundable on the Intended Use Plan (IUP), the public water system should contact department concerning the procurement of engineering services. The selected engineer should develop and submit for review an engineering report. It should discuss the drinking water problems, possible solutions, the cost associated with each solution and a recommendation. The public water system must be sure that this document is submitted and approved by the department prior to authorizing development of detailed plans and specifications.
To receive additional information regarding this program see the Contact Information.
