Lee, TDEC Announce $19.5 Million Loan for Franklin Water Improvements
Gov. Bill Lee and Commissioner David Salyers of the Tennessee Department of Environment and Conservation (TDEC) today announced a $19.5 million loan for the City of Franklin to improve water infrastructure.
The loan is one of four approved by the Tennessee Local Development Authority, with a loan for the City of Athens for $2 million and two loans totaling $20,614,550 for the City of Dayton making the total of loans announced today $42.1 million.
“We are committed to providing dependable water infrastructure for Tennessee communities”, Lee said. “These loans make infrastructure upgrades affordable and accessible for local governments and help to keep Tennesseans healthy.”
“The State Revolving Fund Loan Program is an excellent resource for providing dependable water systems in our communities,” Salyers said. “We look forward to the improvements the program can bring with this assistance.”
The City of Franklin’s loan comes from the Clean Water State Revolving Fund Loan Program. The loan will address the wastewater treatment system and has a 30-year term at 1.28 percent interest.
Through the State Revolving Fund Loan Program, communities, utility districts, and water and wastewater authorities can obtain loans with lower interest rates than through private financing. These low interest rate loans can vary from zero percent to below market rate, based on each community’s economic health.
This fiscal year, TDEC has awarded $1.4 million in drinking water loans and $57.7 million in clean water loans to meet the state’s infrastructure needs. During fiscal year 2021, TDEC awarded $7,171,000 in drinking water loans and $77,568,000 in clean water loans for a total of $84,739,000.
Tennessee’s Clean Water State Revolving Fund Loan Program has awarded more than $2 billion in low-interest loans since its inception in 1987. The state’s Drinking Water State Revolving Fund Loan Program has awarded more than $300 million in low-interest loans since its inception in 1996.