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Meramec Funding Sources

Drinking Water State Revolving Fund - MO
Bill Duncan

Drinking Water State Revolving Fund - MO

Aug. 1, 2019
By EPA/MDNR

Story summary:

  • The Missouri Drinking Water State Revolving Fund provides communities a permanent, independent source of low-interest financing to construct drinking water projects that protect public health.  

Quick Facts

EPA Mission
Protect human health and the environment 

MDNR Vision
Help Missouri citizens thrive by balancing a healthy environmental with a healthy economy 

Eligibility
Community public water systems, Not-for-profit and non-community public water systems 

What do they fund?
Source intake, Wells, Treatment plant, Water storage facilities, Transmission and distribution, Consolidation 

What do they not fund?
Dams, Reservoirs, Fire protection, Future growth projects 

Length of Funding
Typically 20-year loan 

Amount of Funding
Max funding is 30% of total available or $10M, whichever is less 

Interest Rate 
Typically only 30% of the AAA municipal market rate 

Admin costs are 0.5 percent of outstanding loan balance, annually

Timing 
Applications due Feb 15, but accepted at any time

About

The Drinking Water State Revolving Fund (DWSRF) is a funding mechanism available to local communities to pay for projects that facilitate compliance with national primary drinking water regulations and significantly advance public health protection.

Competition for funds is high. Demand far outweighs available funds. However, states are able to determine funding priorities, loan terms and project eligibility.

Applicants must be capable of demonstrating technical, managerial and financial capacity and an ability to repay.

Missouri law requires funds be allocated:

  • 20% to very small community systems serving up to 3,300
  • 15% to small systems serving 3,301 – 9,999
  • 65% to general communities, not restricted by population served

Green infrastructure can be incorporated into DWSRF projects in site design. For example, green roof, pervious pavement, conservation of large tracts of open land can be incorporated into drinking water projects. 

States can use a portion (15%) of the DWSRF as a set-aside for Local Assistance and Other Sate Programs, which may include source water protection. Set-aside funds may be used to purchase conservation easements and other source water protection (aka: healthy watershed) activities, if made available for these purposes by MDNR.

More Info/Resources

Contact Info

Drinking Water Loans and Grants
Darleen Groner, P.E.
fac@dnr.mo.gov
573-751-3259

Consult your community’s attorney and financial advisors prior to moving forward with any of these funding options. Any reference in this website to any person, or organization, or activities, products, or services related to such person or organization, or any linkages from this website to the website of another party, do not constitute or imply the endorsement, recommendation, or favoring of companies or organizations.
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