State Revolving Funds 2016 WARWS Licensing and Funding Update April 19, 2016 Casper, Wyoming Brian Mark Wyoming DEQ

What’s going on in State Revolving Funds? ▪WWRDA - WIFIA new funding program administered by USEPA ▪SRF Program Issues ▪Emergency Applications ▪Capacity Development Issues

President Barack Obama signs H.R. 3080, the Water Resources Reform & Development Act of Vice President Joe Biden and stakeholders share the stage with the President in the Eisenhower Executive Office Building South Court Auditorium, June 10, 2014.

Water Resources Reform and Development Act of 2014 ▪On June 10, 2014, President Obama signed into law the Water Resources Reform and Development Act of 2014 (WRRDA) ▪Among its provisions are amendments to Titles I, II, V and VI of the Federal Water Pollution Control Act (FWPCA) more commonly knows as the Clean Water Act. ▪CWSRF is authorized under Title VI ▪WRRDA also establishes the Water Infrastructure Finance Innovations Authority (WIFIA), in part to fund larger water infrastructure projects

WRRDA Signed Into Law Overhauls Clean Water SRF ▪Modifications to the CWSRF include: ▪1) extending the CWSRF loan repayment period to up to 30 years; ▪2) codifying additional subsidization provisions enabling economically distressed communities to receive more affordable financing; ▪3) incentivizing investments in energy efficiency, water efficiency and reuse; ▪4) incentivizing partnerships between municipal wastewater utilities and upstream property owners to collaboratively tackle non-point source pollution and improve water quality; and, ▪5) incentivizing wastewater utilities to undertake practices to ensure increased resiliency against man-made and/or natural disasters.

Water Infrastructure Finance Innovations Authority (WIFIA) ▪Fund larger water infrastructure projects through the Army Corps of Engineers and the Environmental Protection Agency. ▪Much of this funding will be used to help secure larger projects of national significance (costing at least $20 million). ▪At least 15% of the amounts made available must be used for communities that serve 25,000 or fewer people. For these communities, the minimum project amount will be lowered to $5 million.

DWSRF Projects Most drinking water source, treatment, transmission, storage, and distribution projects for a public water system or that create a new public water system. CWSRF Projects Installation or upgrade of wastewater treatment facility, sewer line replacement or extensions, new wastewater collection systems, subsurface investigations (including monitoring wells), storm water facilities, septic tank rehabilitation or replacement and other nonpoint source pollution control activities. Eligible SRF Projects

Green Project Reserve  Eligibility Requirements  Projects with water efficiency components  Projects with energy efficiency components  Green stormwater infrastructure projects  Environmentally innovative projects Principal Forgiveness  Eligibility Requirements  Based on applicant’s AMHI relative to Wyoming AMHI  If AMHI is less than 70% - eligible for 75% Principal Forgiveness  If AMHI is less than 90% & greater than 70% - eligible for 50% Principal Forgiveness  If AMHI is greater than 90% - eligible for 25% Principal Forgiveness Soon to be Previous Special Program Incentives Special Program Incentives

Examples of Funded Projects:  New water meters where none have previously existed  Variable frequency drives on water well pumps  Photovoltaic panels on wellhouses to promote energy efficiency  Wind turbines to power pumps at water wells  Replacement water meters if meters are extremely old and inoperable [Established by Business Case]  Hydro-power project Wyoming’s Experience with the Drinking Water Green Projects

Examples of Funded Projects:  90 Kw photovoltaic cells/solar panels at a Sewage Treatment Works Plant to promote energy efficiency  Irrigation reuse as a water conservation measure at a Sewage Treatment Works Plant  Wind Turbines at a Sewage Treatment Works Plant to promote energy efficiency  Jackson Flat Creek Stream Enhancement project – improved trout habitat/water quality & helped prevent flooding Wyoming’s Experience with the CWSRF Green Reserve

SRF Program Issues ▪NEPA ▪American Iron and Steel ▪Davis Bacon ▪Disadvantaged Business Enterprise ▪30 Year term ▪Unliquidated Obligations ▪Inspections ▪Fiscal Sustainability Policy & Cost Effective Analysis Certifications ▪Emergency Grant Reviews

SRF Program Issues ▪Emergency Grant Applications ▪Bonus Question? What is an emergency situation? ▪OSLI => immediate threat to health, safety and welfare ▪Deferred maintenance and dilapidated infrastructure

Capacity Development (Cap Dev) Annual ongoing Implementation Report to USEPA Tri-ennial Report to Governor System updates as needed 208 systems performed cap dev assessments Update cap dev on an as needed basis, i.e. project negates previous demonstration Update cap dev when DWSRF loan is pursued

So what’s your story? ▪Name? Rank? Serial number? ▪What system? ▪Water? Sewer? Both? ▪If you could complete one project for your client(s), what would it be?

The End?