The State Revolving Funds (SRF) were created by EPA to disburse funds allocated by Congress for the use of states to improve water and wastewater utilities. There are two SRF programs. The Clean Water SRF (CWSRF) was created by the Clean Water Act of 1987 (CWA), and the Drinking Water SRF (DWSRF) was created by the Safe Drinking Water Act in 1997 (SDWA). Congress provides funds to EPA which then allocates them as grants to the states. States are required to pass enabling legislation and to provide a 20% match from state funds. The funds must be kept in a dedicated fund from which low-or-no interest loans are made to utilities that meet the criteria of the program. Repayments of principle and interest are received back into the fund and available for future lending, thus the term “revolving fund.” States are given wide latitude to set their own criteria for qualifications for SRF loans, as long as they:
- Address the most serious risks to human health
- Are necessary to ensure compliance with the SDWA
- Assist systems most in need according to state affordability criteria
If you would like to contribute by having a resource added to the repository, please email the Southwest Environmental Finance Center (by clicking on the link below) and tell us about it. We welcome your feedback and strive to serve your utility and water systems at large.