Lori Beary, Iowa Finance Authority

Transcription

1 Water/Wastewater Infrastructure Funding Summit WHAT S NEW WITH SRF? Lori Beary, Iowa Finance Authority Patti Cale-Finnegan, Department of Natural Resources

2 Background L The SRF is one of Iowa s primary sources of financing for drinking water and wastewater infrastructure, storm water quality, and nonpoint source protection

3 Ub Urban Stormwater t Onsite Septic Systems L Lake and Wetland Restoration Source Water Protection Soil, Sediment, and Nutrient Management Energy and Water Efficiency Sponsored Projects Landfill Closure Planning and Design Water and Wastewater t Infrastructure Brownfield Cleanup

4 State Revolving Fund Organizational Structure -- Iowa L Management Services Division DNR Grant Manager Iowa Department of Natural Resources Director Environmental Services Division Water Quality Bureau GOVERNOR Iowa Finance Authority Director Comptroller SRF Accountants Chief Financial Officer IFA SRF Coordinator SECRETARY OF AGRICULTURE Iowa Department of Agriculture and Land Stewardship Local Water Protection Livestock Water Quality Facilities Storm Water BMP Loans General Non-Point Source Program DNR SRF Coordinator SRF Finance Officer SRF Program Specialists SRF Linked Deposit Administrator NPDES Permitting Wastewater Engineering Water Supply Operations Water Supply Engineering On-Site Wastewater Program CWSRF Project Managers Administrative Assistant Environmental Review Specialists DWSRF Project Managers

5 Growth of SRF L $3,000,000,000 SRF Cumulative Assistance $2,500,000,000 $2,000,000,000 Drinking water $1,500,000,000 Nonpoint $1,000,000,000 $500,000,000 Wastewater $

6 L What s New? Municipal Advisor Requirement Use of American Iron and Steel Sponsored Projects CWSRF Changes

7 L MA Requirement New SRF projects will be required to hire a registered municipal advisor (MA) MA will work with city to Analyze current income and expenses Assist with setting rates Advise community on financial planning

8 L MA Requirement SRF will reimburse up to $4,000 for eligible MA expenses The subsidy is only for the first time the community has a new SRF project MA expenses can be paid with a P&D loan

9 L Why are we doing this? The financial health of your utility is as important as the condition of the infrastructure SRF requires other professionals: Engineers are hired to design WW and DW systems Archaeologists are contracted for the ER Attorneys are used for the legal documents Financial professionals should be used to analyze the finances of the utility

10 L MA Requirement SRF borrowers need to begin working with their MA early in the process Borrowers need time to: update financial info manage rate increases plan for future projects

11 P American Iron/Steel Remember Buy American from ARRA? AIS is similar but different. There were some exemptions for projects approved before January 17, Going forward, all SRF water and wastewater infrastructure projects must comply. Nonpoint, 319 projects are still exempt.

12 P American Iron/Steel The term iron and steel products means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, and construction materials.

13 P American Iron and Steel For iron and steel products, all manufacturing processes, including application of coatings, must take place in the United States All manufacturing processes includes processes such as melting, refining, forming, rolling, drawing, finishing, fabricating and coating.

14 P AIS How to Comply Use the new SRF front-ends to inform bidders that AIS is now required Insert recommended language into construction contracts Determine which products and materials are covered by AIS Specify domestic products and materials where applicable The Contractor hereby represents and warrants that the Contractor has reviewed and understands d the AIS requirements, all of the iron and steel products used in the project will be produced in the U.S. and the Contractor will provide any further verified information.

15 P Obtain detailed certification letters from manufacturers Keep documentation on site in case of site visit or audit

16 P AIS Waivers De Minimus Waiver covers incidental items: Miscellaneous in nature, often bought in bulk, country of origin unknown, low cost Keep documentation on site Project-Specific Waivers cost, availability, public interest Apply to EPA through DNR National Waivers posted on EPA website

17 P AIS Site Visits After construction begins, SRF staff will contact you about scheduling a site visit it and ask for project status t and materials procurement information. A site visit will be conducted by DNR field office water or wastewater staff. Purpose of site visit: Education, coaching, checking on compliance status, reporting back to SRF. Ultimate responsibility for compliance: SRF borrower.

18 P AIS Workshop Coming Up Save the Date: Wednesday, October 28 Johnston Public Library (north of I-80 on Merle Hay Road) Consultants, contractors, suppliers, utility staff should attend Taught by EPA HQ experts No registration fee

19 P American Iron/Steel use-of-american-iron-and-steel/ iron and steel/

20 L Sponsored Projects $1,200, $1,000, $800, $400, $200, Loan Costs (interest and fees) $600, Sponsored $- $1 million CWSRF loan $1 million loan with sponsored project project principal Wastewater principal Allows wastewater utilities to address nonpoint source problems $10 million set-aside per year Applications due twice each year September and March Approximately $100,000 available per $1 million loan amount

21 L Sponsored Projects City of Monona Runoff from gravel parking lot at municipal pool polluting creek Permeable paving infiltrates stormwater and reduces runoff Wastewater loan $2.75 million Sponsored project amount $245,000

22 L Sponsored Projects City of Fort Dodge Two projects Stream corridor stabilization in city park with stormwater management in watershed Support for Badger Lake water quality improvement efforts Loan amounts $31 million Sponsored project budget approx. $2.1 million

23 L Sponsored Projects Sioux City Buffalo Kingsley Clinton Lohrville Donnellson

24 L Sponsored Projects Qualified applicants wastewater utility/city y with SRF project in the planning phase Wastewater utility/city must work with a watershed organization, including Iowa Department of Agriculture and Land Stewardship, Soil and Water Conservation District, County Conservation Board, Watershed Management Authority, others

25 L Sponsored Projects Project must address nonpoint source pollution on a watershed basis starts with watershed assessment Ends with identifying possible practices to address water quality problems in watershed

26 L Sponsored Projects Must have pre-application conference call with SRF staff along with watershed partners Applications due March and September 2016 Read the application materials for more information: sponsoredprojects/

27 CWSRF Changes P Clean Water Act governs the Clean Water State Revolving Fund Last amended in 1987 Clean Water SRF provisions added to WRRDA June 2014 WRRDA is Water Resources Reform and Development Act (usually covers Army Corps of Engineers)

28 CWSRF Changes P New Provisions: Davis-Bacon is now a permanent feature So is Use of American Iron and Steel Land purchase eligible as of October 1, 2014 for: Surface and subsurface easements; Place to store equipment e and materials a during construction; o Land needed to locate eligible treatment or distribution projects, and Land for effluent application or recharge basins.

29 CWSRF Changes P Cost-Effectiveness Requirement - Applicants after October 1, 2015 must certify that: Has studied and evaluated the cost and effectiveness of the processes, materials, techniques, and technologies for carrying out the proposed project or activity for which assistance is sought under this title; and

30 CWSRF Changes P Cost-Effectiveness Requirement - Applicants after October 1, 2015 must certify that: Has selected, to the maximum extent practicable, a project or activity that maximizes the potential for efficient water use, reuse, recapture, and conservation, and energy conservation, taking into account The cost of constructing the project or activity; The cost of operating and maintaining the project or activity over the life of the project or activity; and The cost of replacing the project or activity.

31 P Self-certification signed by applicant and consulting engineer To be submitted with plans and specs Starting with Dec. 1 application round No review by DNR

32 Questions? Patti Cale-Finnegan Iowa Department of Natural Resources Lori Beary Iowa Finance Authority