DEQ awards $1.5 million low-interest wastewater construction loan to the city of White Bird
Friday, March 02, 2018
BOISE — The Idaho Department of Environmental Quality (DEQ) today announced the award of a $1.5 million low-interest wastewater construction loan to the city of White Bird in Idaho County.
The funding will be used to make improvements to the treatment system, including influent pump station rehabilitation; influent flow monitoring and screening; Lagoon No. 1 and 2 lining, diffuser, and blower installation; Lagoon No. 3 abandonment and sludge disposal; filter media replacement; disinfection system improvements; and backup generator installation.
DEQ is authorized by state law to make loans to assist in the construction of public wastewater systems. Since the annual cost of wastewater service for residential customers exceeds 1.5% of the median household income, the city of White Bird is able to qualify for a disadvantaged loan, which carries very favorable repayment terms.
The loan from DEQ’s State Revolving Loan Fund, which is capitalized annually by grants from the Environmental Protection Agency, carries a simple 1.75% interest rate, is payable over 30 years, and has $1,245,500 of principal forgiveness. The favorable loan terms represent a $2,158,514 savings to the community when compared to average costs for municipal general obligation debt issuances.