State Revolving Fund (SRF) Loan Program Interest Rates

The SRF program sets interest rates for all our loan borrowers on a quarterly basis. Interest rates will be published on the first Monday of the first full week of the first month each quarter, starting July 1, 2025.

SRF interest rates are based on 100 percent of the interest rate reported on the 20-year, 25-year, and 30-year Bond Buyer Index and the Municipal Market Data General Obligation. This data is used to set the Base Rate for SRF quarterly.  A community’s interest rate is based on the SRF Base Rate and their ATPI. The state has developed a tiered interest rate reduction methodology that corresponds to a community’s ATPI. Communities that fall within the lower economic scale of the ATPI will be eligible for a lower interest rate. The lower a community’s ATPI, the lower their community economic health, and greater need for financial assistance.

 Interest rates can vary from 40 percent of the quarterly SRF Base Rate (lower ATPI) to 100 percent of the quarterly SRF Base Rate (high ATPI).

• Low range ATPI values between 0 – 20 have a 0.40 multiplier.
• Marginal range ATPI values between 30 – 40 have a 0.60 multiplier.
• Moderate range ATPI values between 50 – 60 have a 0.80 multiplier.
• High range ATPI values of 70 or greater will receive the standard reported interest rates.

SRF interest rates are further stratified by the term of the loan. Once loan terms are established, the appropriate base interest rate is selected. The community ATPI is verified, then the multiplier corresponding to the ATPI is multiplied by the SRF Base Rate  to establish the SRF awarded interest rate.

The interest rates for utility districts and water authorities that have service areas in more than one county will be evaluated and ranked by utilizing the lowest ATPI for the county or city that directly benefits from the project(s) associated with the loan.

SRF Quarterly Interest Rates