Iowa Department of Natural
Resources
PUBLIC MEETING AGENDA
NOTICE TO PARTIES INTERESTED IN LOW INTEREST LOANS
FOR
WATER SUPPLY INFRASTRUCTURE PROJECTS
AND
WATER POLLUTION CONTROL AND ABATEMENT
PROJECTS
NOTICE OF PUBLIC HEARING
Updates to the FY 2007 Intended Use
Plans
for the administration of the
and the Clean Water State Revolving
Fund
The
Iowa Department of Natural Resources and the Iowa Finance Authority will hold a
public meeting on
Oral comments may be
presented at the meetings. Requests for copies of the IUP updates and written
comments may be directed to Patti Cale-Finnegan, State Revolving Fund
Coordinator, Water Quality Bureau, Iowa Department of Natural Resources,
Iowa Department of Natural Resources
Environmental
Protection Commission
|
ITEM |
|
DECISION |
|
TOPIC |
Clean Water and Drinking Water
State Revolving Loan Funds – 2007 Intended Use Plan Updates to Allow
Cross-Program Investment |
Approval will be sought from the Environmental Protection Commission of
changes to the Clean Water State Revolving Fund (CWSRF) and Drinking Water State
Revolving Fund (DWSRF Intended Use Plans to allow cross-program investment.
A proposal has been sent to the U.S. Environmental Protection
Agency. The primary purpose is to
allow use of uncommitted CWSRF monies to delay implementation of a bond issue in
the DWSRF program until it is more economically beneficial. The Iowa Finance Authority estimates
that the estimated savings in cost of issuance and interest expense of doing one
large issue in the fall of 2008 instead of two smaller bond issues is
approximately $300,000.
The language below is proposed as additions to the CWSRF and DWSRF
Intended Use Plans:
With EPA approval, IFA proposes to temporarily invest CWSRF monies in
the DWSRF in May or June 2007. The
investment would be short-term in nature.
The investment plus interest would be repaid within two years. Both the CWSRF and the DWSRF charge 3%
interest on their loans. The
investment from the CWSRF will earn the same rate as it would have earned had it
been used for wastewater loans. An
investment contract formally detailing the terms between the two programs will
be developed and executed.
Currently, the CWSRF has a balance of past loan repayments that are
not pledged to any outstanding bond issues. By using these funds to invest, there
are no concerns with any outstanding bond documents. The maximum amount of
investment from the CWSRF to the DWSRF will be $25 million. This investment will provide a temporary
source of capital to fund DWSRF loans until a bond issue can be completed in FY
2008.
Patti Cale-Finnegan
Water Quality Bureau