Tennessee Governor Bill Lee and Tennessee Department of Environment and Conservation (TDEC) Commissioner David Salyers have announced the approval of a $332,173 loan for the Northwest Dyersburg Utility District. This loan aims to enhance water infrastructure within the district.
This funding is part of a broader initiative, with the Tennessee Local Development Authority approving loans totaling $48.6 million for various projects, including those for the City of Springfield and Erwin Utilities Authority.
Latest TN News
Governor Lee emphasized the State Revolving Fund Loan Program’s role in providing essential financial support for community water infrastructure improvements. He noted the positive impact these projects have on both service provision and local economies across Tennessee.
Commissioner Salyers expressed satisfaction with the program’s ability to finance critical infrastructure projects. He also acknowledged the efforts of local leaders who pursue such funding opportunities.
The loan for the Northwest Dyersburg Utility District is sourced from the Drinking Water State Revolving Fund Loan Program and will specifically target improvements at the water treatment plant. The loan has a 20-year term with a 1.87 percent interest rate. Of the total amount, $166,086 is granted as principal forgiveness, while the remaining balance will be repaid.
The State Revolving Fund Loan Program offers communities, utility districts, and water authorities the advantage of lower interest rates compared to private financing, with rates ranging from zero percent to below market level depending on the economic health of each community.
In the current fiscal year, TDEC has allocated $8,806,173 in drinking water loans and $47 million in clean water loans to address state infrastructure needs. In fiscal year 2024, TDEC awarded a total of $139,459,025 in loans, with $54,108,182 for drinking water and $85,350,843 for clean water.
Since its inception in 1987, Tennessee’s Clean Water State Revolving Fund Loan Program has provided over $2 billion in low-interest loans. The Drinking Water State Revolving Fund Loan Program, established in 1996, has awarded more than $300 million in low-interest loans.
Source: Read Original Release