June 27, 2007

Department of Environmental Quality Director Steven E. Chester has announced 17 new loan commitments totaling $43,625,000 from the revolving fund programs to assist local communities in making needed infrastructure improvements. The State Revolving Fund (SRF) and Strategic Water Quality Initiatives Fund (SWQIF) provide low-interest financing for local units of government to make improvements to wastewater collection and treatment facilities, while assistance from the Drinking Water Revolving Fund (DWRF) finances improvements to public drinking water systems.

"We continue to make progress in protecting and enhancing Michigan's irreplaceable water resources," said Director Chester. "These loans stimulate construction activity across our state and represent a real investment in Michigan's environmental and economic future."

The funded SRF/SWQIF projects include:

- $1,365,000 to the city of Manton to refinance debt from the construction of improvements to its wastewater collection and treatment system.

- $1,800,000 in assistance to Muskegon for treatment improvements to the Muskegon County Wastewater Management System.

- $13,290,000 of assistance to Leelanau County to finance construction of a wastewater system for the village of Northport and portions of Leelanau Township.

- Financing of $3,745,000 to Waterford Township in Oakland County for sewer system rehabilitation and the provision of improved metering capabilities.

- $3,610,000 to Washtenaw County for the expansion and upgrade of the Multi-Lakes Water and Sewer Authority treatment facility in Dexter Township.

- A loan of $4,555,000 to the city of Harbor Beach to finance the construction of wastewater system improvements to prevent sanitary sewer overflows.

- $2,015,000 in assistance to the city of Belding to accomplish rehabilitation of its sanitary sewer system.

- $1,500,000 of assistance to the city of Ludington for sewer replacement and pump station improvements.

- A SWQIF loan of $2,690,000 to the city of Davison, for implementation of a footing drain disconnection program that will remove groundwater from the city's sanitary sewer system and help prevent sanitary sewer overflows and basement back-ups.

These commitments bring SRF/SWQIF financing awarded to Michigan communities to date to nearly $2.5 billion.

The funded DWRF projects include:

- $805,000 to Iron River Township in Iron County to provide improvements to the city's water distribution system and the provision of a new supply well.

- A loan of $500,000 to the village of Ubly for a new water supply well and the installation of meters. The new well will allow the village to meet the new arsenic standard in its drinking water.

- $805,000 in assistance to the village of Fowler for the installation of arsenic removal facilities to meet the new federal drinking water standard, well improvements, and new transmission mains.

- $1,160,000 to the city of Sturgis for the replacement of deteriorated water mains and the provision of system looping.

- A loan of $450,000 to Forsyth Township in Marquette County for water main replacement and construction of a 2nd supply connection.

- $2,655,000 to Ottawa County to assist Allendale Township with water main extensions and the provision of a 2nd supply connection.

- Loan assistance of $2,360,000 to Summit Township in Jackson County for the construction of a new elevated water storage tank.

- $320,000 to the city of Mt. Clemens for its water-main replacement program.

The improvements financed by these loans will help ensure compliance with the requirements of the Safe Drinking Water Act and protect the public health of system users. Since the inception of Michigan's DWRF program in 1998, over $440 million in assistance has been tendered.

Program interest rates remain well below open market rates, with fiscal year 2007 loans at 1.625 percent in the SRF/SWQIF and 2.125 percent in the DWRF.

Editor's note: DEQ news releases are available on the department's Internet home page at www.michigan.gov/deq.

"Protecting Michigan's Environment, Ensuring Michigan's Future"

Revised June 27, 2007 by Pat Watson