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CWSRF - General FAQs

Financial Assistance Programs – Grants and Loans

Clean Water State Revolving Fund (CWSRF) Frequently Asked Questions (FAQ) - General Information

  1. What is the CWSRF Program?
  2. Why are the CWSRF interest rates so low?
  3. What types of projects are eligible for CWSRF funding?
  4. Why should you borrow from CWSRF?
  5. Who are eligible applicants for CWSRF funding?
  6. Does the CWSRF Program offer any grants?
  7. What is the difference between the California Drinking Water State Revolving Fund (DWSRF) and the CWSRF Programs?
  8. What is the difference between point source and non-point source (NPS) projects?

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  1. What is the CWSRF Program?

    The CWSRF is a financial assistance program. The purpose of the CWSRF is to implement the Federal Clean Water Act (CWA) and various State water quality laws by providing financial assistance for construction or implementation of projects that address water quality problems and to prevent pollution of the waters of the State.

    The CWSRF Program provides low-interest loans and other financing mechanisms for construction of publicly-owned wastewater treatment facilities, local sewers, sewer interceptors, water recycling facilities, storm water treatment facilities, as well as expanded use projects such as implementation of nonpoint source (NPS) projects or programs, and development and implementation of estuary Comprehensive Conservation and Management Plans (CCMPs).

    For more information on the CWSRF Program, please visit the Website at: http://www.waterboards.ca.gov/water_issues/programs/grants_loans/srf/index.shtml

    The policy for implementing the CWSRF is at:
    http://www.waterboards.ca.gov/water_issues/programs/grants_loans/srf/finalpolicy0513.shtml


  2. Why are the CWSRF interest rates so low?

    As required by law (California Water Code, Section 13480), the CWSRF combined funding interest and loan service rate is set at a rate that does not exceed 50 percent of the interest rate paid by the State on the most recent sale of State General Obligation bonds. These low rates can provide significant savings for communities that use these funds to construct eligible projects.

  1. What types of projects are eligible for CWSRF funding?

    Eligible projects include construction of publicly-owned wastewater treatment facilities (CWA Section 212 projects), Implementation of NPS Management Programs (CWA Section 319 projects), and development and implementation of National Estuary Programs (CWA Section 320 projects). Section 319 - California NPS Pollution Control Program, Section 320 - California Estuary CCMPs Weblinks. San Francisco Bay CCMP, Morro Bay CCMP, and Santa Monica Bay CCMP.

  1. Why should you borrow from CWSRF?

    The primary benefit is the cost savings due to reduced interest rates. The CWSRF funding cost (at a 3 percent interest rate) can amount to a 25 percent grant-subsidy when compared to obtaining a 20-year market loan using conventional funding (at a 6% interest rate). Each applicant needs to review financing options as the actual savings will depend on the project details.

    For a financial analysis tool that helps identify the most cost effective method for your project, please visit and download the Financing Alternatives Comparison Tool from USEPA’s Website:
    http://www.epa.gov/owm/cwfinance/cwsrf/fact.htm

  1. Who are eligible applicants for CWSRF funding?

    Any city, town, district, or other public body created under state law; a Native American tribal government or an authorized Native American tribal organization having jurisdiction over disposal of sewage, industrial wastes or other waste; 501(c)(3)'s; National Estuary Programs; and any designated and approved management agency under Section 208 of the CWA.

  1. Does the CWSRF Program offer any grants?

    DFA offers limited principal forgiveness and grants primarily for projects serving small disadvantaged communities.

  1. What is the difference between the California Drinking Water State Revolving Fund (DWSRF) and the CWSRF Programs?

    As of July 2014, both programs are administered by the State Water Board. The California DWSRF Program provides financial assistance specifically for drinking water systems. The CWSRF Program provides financial assistance for projects that prevent pollution of State waters. For more information on the DWSRF program, visit the Drinking Water Funding webpage: http://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/DWPfunding.shtml.

  1. What is the difference between point source and non-point source (NPS) projects?

    Source projects are a single source of pollution such as municipal or industrial sources that commonly have a federal National Pollution Discharge Elimination System (NPDES) and/or State Waste Discharge Requirements (WDRs) such as Wastewater Treatment Plant discharges. Non-point Source Project means any programs, devices, methods, or systems used for preventing, abating, reducing, transporting, separating, storing, treating, recycling, or disposing of pollutants from nondistinct, unconfined sources, including return flows from irrigated agriculture.

 

 

 
 

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