Lee, TDEC Announce $9 Million Loan For City of Lakeland Water Improvements
Tennessee Gov. Bill Lee and the Tennessee Department of Environment and Conservation (TDEC) Commissioner David Salyers today announced a $9 million loan for the City of Lakeland to improve water infrastructure.
The loan is one of four approved by the Tennessee Local Development Authority, with loans for the City of Cleveland, the City of Lakeland, and the Brownsville Energy Authority, totaling $16.5 million.
“This program provides important assistance in addressing water infrastructure needs in communities across the state,” Lee said. “We look forward to the results of this process and commend local officials for their commitment to serving our citizens.”
“For many years, the State Revolving Fund Loan program has helped build quality water systems in Tennessee,” TDEC Commissioner David Salyers said. “We are pleased these loans have been approved. It is an important way to meet community needs in our state.”
The City of Lakeland loan comes from the Clean Water State Revolving Fund Loan Program. It will address improvements to the wastewater collection system. The loan has a 20-year term at 3.35 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 $75,000 in drinking water loans and $18,905,000 in clean water loans to meet the state’s infrastructure needs. During fiscal year 2023, TDEC awarded $ 47,345,000 in drinking water loans and $64,095,945 in clean water loans for a total of $111,440,945.
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.