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State Revolving Fund: Affordability Criteria

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Water Infrastructure Funding & Financing Section
EGLE-WIFFS@Michigan.gov
517-284-5433

State Revolving Fund: Priority Scoring Criteria page

The FY25 CWSRF and DWSRF Overburdened Worksheet will be updated in early February 2024 when all state and federal data is available. Applicants that have submitted a FY25 SRF Intent to Apply (ITA) (due November 1, 2023) will be asked to complete the FY25 Overburdened Worksheet, if they choose to do so, once it is updated. After a FY25 ITA is submitted, the applicant will be issued a unique number to use when filling out the Overburdened Worksheet in February 2024.

A new Overburdened Worksheet is required each fiscal year an applicant applies. Additionally, applicants applying for both CWSRF and DWSRF will be required to complete an Overburdened Worksheet for each program as system and customer data may differ between wastewater/stormwater and drinking water.

  • (1) “Overburdened community” means a municipality in which all of the following conditions are met:

    (a) Users within the area served by a proposed drinking water project, sewage treatment works project, or stormwater treatment project are directly assessed for the costs of construction.

    (b) The median household income of the area served by a proposed drinking water, sewage treatment works project or stormwater treatment project does not exceed 100% of the statewide median annual household income for this state.

    (c) The municipality demonstrates at least one of the following:

    (i) The taxable value per capita of the area served by a project falls into the communities representing the lowest 20% of Michigan’s population within that category. For FY25, the value is TBD.

    (ii) The annual user costs for the corresponding portion of the water system (sewage and stormwater treatment or drinking water) exceed 1% of the median annual household income of the area served by the proposed project. 

    (2) A community which qualifies as a significantly overburdened community would also be considered an overburdened community. However, any potential benefits may only be applied under one designation or the other. 

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      (3) “Significantly overburdened community” means a municipality in which all of the following conditions are met:

      (a) Users within the area served by a proposed drinking water project, sewage treatment works project, or stormwater treatment project are directly assessed for the costs of construction.

      (b) The municipality demonstrates at least one of the following:

      (i) The median annual household income of the area served by a proposed project is less than 125% of the federal poverty guidelines for a family of four in the 48 contiguous United States. In determining the median annual household income of the area served by the proposed sewage treatment works project or stormwater treatment project under this sub-paragraph, the municipality shall utilize the most recently published statistics from the United States Census Bureau, updated to reflect current dollars, for the community that most closely approximates the area being served by the project. As used in this sub-paragraph, “federal poverty guidelines” means the poverty guidelines published annually in the Federal Register by the United States Department of Health and Human Services under its authority to revise the poverty line under 42 U.S.C. 9902. For FY25, the 125% level would be an annual household income of less than TBD.

      (ii) The taxable value per capita of the area served by a project falls into the communities representing the lowest 10% of Michigan’s population within that category. For FY25, that value is TBD.  

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