Murphysboro to receive $1 million loan for water drinking project

cash money (Source: Pixabay)
cash money (Source: Pixabay)

(KBSI) – The city of Murphysboro will receive a loan of $1 million from the Illinois Environmental Protection Agency to be used for updates to water tanks and other improvements to the water system.

The Illinois Environmental Protection Agency announced more than $75 million in water infrastructure loans will be awarded to local governments and water districts for the second quarter of Fiscal Year 2023 (October – December 2022).

The Illinois EPA State Revolving Fund Program provides low-interest loans which fund wastewater, stormwater, and drinking water projects.

A total of $75,867,318 will go to local government and water districts.

The city of Murphysboro will use $1 million in funds for interior and exterior sand blasting and repainting for the 17th Street and Boot Camp elevated water tanks. The project includes miscellaneous repairs, Supervisory Control And Data Acquisition (SCADA) telemetry, and other appurtenances. The proposed improvements will allow the City to keep the existing water tanks in service and continue to provide customers with a safe and adequate supply of water. The city also has $500,000 in principal foregiveness.

The majority of the loans qualified for a total of $13,160,681 in loan forgiveness, providing additional benefits to those recipients meeting the loan rules for either the Small Community Rate or Hardship Rate, according to the Illinois EPA.

“In the first half of fiscal year 2023, Illinois EPA has already invested nearly $146 million in our state’s drinking water and wastewater infrastructure,” said Director John J. Kim. “These projects represent our ongoing commitment to provide the essential funding needed for infrastructure improvements that are crucial for safe and reliable drinking water and wastewater treatment for Illinois residents.”

Illinois EPA’s SRF includes two loan programs, the Water Pollution Control Loan Program (WPCLP) which funds both wastewater and stormwater projects, and the Public Water Supply Loan Program (PWSLP) for drinking water projects.

Both of those programs provide funding at a low interest rate of just 1.24 percent for FY23.

The programs receive federal capitalization funding annually. That is combined with state matching funds, interest earnings, repayment money, and the sale of bonds, to form the source of financing for these infrastructure projects.

The state matching funds for FY2020-2024 are being provided through Illinois Governor Pritzker’s bipartisan Rebuild Illinois Capital Plan thus increasing the funding capacity of both loan programs.

Tap here for more information about Illinois EPA’s SRF.

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