Drinking Water Revolving Fund

Purpose
The purpose of this program is to enable borrowers to finance public drinking water storage, treatment, and distribution systems that meet Safe Drinking Water Act standards.

Customers and Services
Any county, city, township, regional entity, other governmental entity, or other entities having primary responsibility for providing public drinking water are eligible. The Public Facilities Authority (PFA) provides below-market rate loans to borrowers to upgrade and construct public drinking water systems.

Allowable costs include site preparation, land acquisition, construction, engineering, equipment and machinery, bond issuance, and certain fees and contingency costs. Projects that are primarily to serve growth are not eligible. Projects must be included on the Minnesota Department of Health’s (MDH) Project Priority List and on the PFA's Intended Use Plan (IUP), and projects must be certified by MDH before the PFA may consider approving a loan.

Measures - Reporting period is state fiscal year (SFY), July 1 - June 30

Funding Source and Allocation
In 2008, the PFA received a federal allocation of $14.7M and a state appropriation of $6M from state bond proceeds, which will be combined with previously appropriated state funds, loan repayments, and PFA revenue bond proceeds for 2009 loans.

Statutory Authority
-- Minnesota Statutes, Chapter 446A.081

Contact Information
Jeff Freeman, Deputy Director, Public Facilities Authority
Phone: 651.259.7465 or toll-free: 800.657.3858; TTY: 651.296.3900

This information current as of January 2009. For more information on DEED programs, see the State of Minnesota budget pages.