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DEQ awards $9.6 million to two Idaho water systems

June 2, 2025

Contact: MaryAnna Peavey, Grants and Loans Bureau Chief, maryanna.peavey@deq.idaho.gov

BOISE — The Idaho Department of Environmental Quality (DEQ) today awarded $9,640,000 to water systems in Canyon and Boundary counties to support infrastructure construction and upgrades.

The funding will support the following projects:

City of Wilder Wastewater Reuse System Construction

The city of Wilder in Canyon County received a $9,140,000 low-interest wastewater construction loan to help design and construct a wastewater reuse system. The project will include required upgrades to comply with regulatory permit limits.

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 qualifies for a disadvantaged loan, which carries favorable repayment terms.

The loan from DEQ’s State Revolving Loan Fund, which is capitalized annually by grants from the United States Environmental Protection Agency, carries a simple 2% interest rate, is payable over 30 years, and has $6,071,960 in principal forgiveness. The favorable loan terms represent a $14,485,907 savings to the community when compared to average costs for municipal general obligation debt issuances.

Curley Creek Water Association Drinking Water System Upgrades

The Curley Creek Water Association received a $500,000 low-interest drinking water loan to construct a new reservoir and install new booster pumps, an automated treatment system, and a secondary well. These projects will help address contamination and limited flow capacity within the system.

DEQ is authorized by state law to make loans to assist in the construction of public drinking water systems. Since the annual cost of drinking water service for residential customers exceeds 1.5% of the median household income, Curley Creek Water Association qualifies for a disadvantaged loan, which carries favorable repayment terms.

The loan from DEQ’s State Revolving Loan Fund, which is capitalized annually by grants from the United States Environmental Protection Agency, carries a simple 2% interest rate, is payable over 30 years, and has $500,000 in principal forgiveness. The favorable loan terms represent a $1,000,664 in savings to the community when compared to average costs for municipal general obligation debt issuances.

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