Clean Water State Revolving Fund

TDEC’s Clean Water State Revolving Fund (CWSRF) program provides loans for planning, design, and construction phases of wastewater and stormwater systems. CWSRF provides low-interest, infrastructure loans to cities, counties, utility districts, and stormwater authorities.

CWSRF loan interest rates range from zero percent to market rate depending on the community's economic stability, census data, and financial status which combined, determine the applicant’s Ability To Pay Index (ATPI) value.

Interest rates are fixed for the life (or term) of the loan. The maximum loan term is 30 years or the design life of the wastewater infrastructure, whichever is shorter.

Communities can be considered for funding if they request to be ranked on our project priority list. This Priority Ranking List (PRL) is developed from reviewing community and public wastewater system requests for assistance. Once requests are received projects are ranked based on criteria and procedures outlined in the Clean Water State Revolving Fund's Priority Ranking System Rules, Chapter 0400-46-01, for ranking proposed wastewater treatment projects. This ranking system forms the basis for eligibility determinations and the allocation of Clean Water State Revolving Fund (CWSRF) loans from the State Revolving Fund Loan Program (SRF Loan Program).

Small, economically disadvantaged communities are eligible for principal forgiveness, which can cover a portion of the SRF loan, and will significantly reduce the amount owed. Eligibility for principal forgiveness is restricted to communities with a population of 10,000 or less combined with an ATPI of 50 or less.

CWSRF highly encourages the use of green projects to promote stormwater and wastewater system resilience, water and energy efficiency, and potentially improve water quality in our streams and creeks. Green projects may be eligible for an added reduction in interest rates if the proposed project qualifies. The state encourages public systems to capitalize on opportunities to protect water resources, use green infrastructure stormwater controls, and reduce runoff issues. All of these practices have huge benefits to overall watershed health. For more information on how you can green your project, contact SRF .

The SRF program solicits requests for projects at the beginning of each calendar year. Applicants can submit a questionnaire to have a project reviewed for potential placement on the SRF Priority Ranking List. Projects must be on the PRL to be eligible to receive financial assistance for the planning, design, and construction of wastewater facilities.

The most current PRL for fiscal year 2021 can be found in the CW SRF Intended Use Plan and through the link at the bottom of this page.

More information on the State Revolving Fund program and the application process can be accessed through Navigating the State Revolving Fund (SRF) Loan Program.