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RURAL DEVELOPMENT WATER & WASTE PROGRAMS

RURAL DEVELOPMENT WATER & WASTE PROGRAMS. ALASKA. WATER AND WASTE FACILITIES. WATER SYSTEMS OR COMPONENTS OF WATER SYSTEMS SEWER SYSTEMS OR COMPONENTS OF SEWER SYSTEMS SOLID WASTE SITES AND EQUIPMENT NEEDED TO CONSTRUCT & MANAGE SITE. WHO MAY APPLY?. PUBLIC BODIES: CITIES OR BOROUGHS

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RURAL DEVELOPMENT WATER & WASTE PROGRAMS

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  1. RURAL DEVELOPMENT WATER & WASTE PROGRAMS ALASKA

  2. WATER AND WASTE FACILITIES • WATER SYSTEMS OR COMPONENTS OF WATER SYSTEMS • SEWER SYSTEMS OR COMPONENTS OF SEWER SYSTEMS • SOLID WASTE SITES AND EQUIPMENT NEEDED TO CONSTRUCT & MANAGE SITE

  3. WHO MAY APPLY? • PUBLIC BODIES: • CITIES OR BOROUGHS • AUTHORITIES (LIKE A PORT AUTHORITY) • SPECIAL SERVICE DISTRICTS • OTHER POLITICAL SUBDIVISION OF A STATE • NON-PROFIT CORPORATIONS • NATIVE AMERICAN TRIBES • POPULATION LIMITS: • W&W: POPULATION OF 10,000 OR LESS

  4. PRE-PLANNING AND DEVELOPMENT GRANTS USDA/RD IS ALLOWED TO MAKE GRANTS FOR PRE-PLANNING AND DEVELOPMENT TO PAY FOR THE PREPARATION OF THE ENVIRONMENTAL REPORT, PRELIMINARY ENGINEERING REPORT AND DESIGN. IN THE LOWER 48, THESE GRANTS ARE LIMITED TO $25,000. ALASKA MUST ASK FOR EXCEPTIONS IF A GREATER AMOUNT IS NEEDED.

  5. GUARANTEED LOAN PROGRAMS • Applicant makes application with bank. • Interest rate and term are negotiated with lender. • Rural Development Guarantees 80% of Lender’s Loan. • Water and Waste: MAY Guarantee up to 90%, Guarantee Fee is 1% of guaranteed amount.

  6. DIRECT LOAN PROGRAM • RURAL DEVELOPMENT PROVIDES THE FUNDING. • INTEREST RATES ARE TYPICALLY 4.125 TO 5.5% BUT UNDER CERTAIN CONDITIONS HAVE BEEN AS LOW AS 2.75% (RATES DETERMINED BY MEDIAN HOUSEHOLD INCOME OF COMMUNITY) • TERM OF LOAN: UP TO 40 YEARS OR THE LIFE OF THE FACILITY, WHICHEVER IS LESS.

  7. GRANTS • RURAL DEVELOPMENT CAN PROVIDE 45% TO 75% OF TOTAL PROJECT COSTS. • AMOUNT OF GRANT IS DETERMINED BY MEDIAN HOUSEHOLD INCOME OF COMMUNITY AND SIMILAR SYSTEMS USER RATES. • MUST BE UNABLE TO REPAY A LOAN. • MUST PROVIDE MATCHING FUNDS. REQUIRED MATCH MAY BE FEDERAL.

  8. HOW MAY FUNDS BE USED ? • PURCHASE, CONSTRUCT, ENLARGE, OR IMPROVE A FACILITY. FOR EXAMPLE, TO BUILD,ENLARGE OR IMPROVE A WASTE OR WATER SYSTEM OR A SOLID WASTE FACILITY • PURCHASING EQUIPMENT NECESSARY TO CONSTRUCT, OPERATE AND MAINTAIN A FACILITY ( FOR EXAMPLE, BALERS, INCINERATORS, BACKHOES, BULLDOZERS ETC. • RECYCLING EQUIPMENT

  9. HOW MAY FUNDS BE USED ? LOAN FUNDS ONLY • INTEREST on RD LOANS UNTIL THE FACILITY IS SELF-SUPPORTING, TYPICALLY FIRST YEAR. • INITIAL OPERATING EXPENSES FOR FIRST YEAR.

  10. SECURITY FOR LOANS • BONDS (G0 AND REVENUE) • REAL PROPERTY, APPRAISAL AT DISCRETION OF RD • ASSIGNMENT OF INCOME (LEASES, FEE INCOME, USER CHARGES. • ASSURED INCOME (HISTORICALLY RECEIVED--GRANTS, ETC.)

  11. DENALI COMMISSION ALASKA NATIVE TRIBAL HEALTH CONSORTIUM INDIAN HEALTH SERVICE DOT HUD, ICDBG & CDBG, NAHASDA DEPARTMENT OF ENVIRONMENTAL CONSERVATION UTILITIES PRIVATE FOUNDATIONS PARTNERS

  12. Bureau of Indian Affairs Department of Community and Economic Development Private Lenders Regional Health Corporations Bond Banks Housing Authorities Economic Development Administration State of Alaska Environmental Protection Agency Administration for Native Americans More Partners

  13. Construction Methods • FORCE ACCOUNT • CONTRACTED

  14. Community Based--Result of Community Plan, Community actively involved in design and location. Projects should have input from all stakeholders. Community “Ownership” of project. Sufficient funding to ensure completion of the project . Meets community needs. Key Elements of Community Projects

  15. LOAN AND GRANT APPLICATIONS • SUBMITTED TO RURAL DEVELOPMENT ALASKA ANYTIME. (except for TAT/SWM) • PRE-APPLICATION PROCESS TO DETERMINE ELIGIBILITY. • APPLICATION PROCESS, NOT GRANT WRITING. • HEALTH/SAFETY PROJECTS PRIORITIZED. • STATE HAS APPROVAL AUTHORITY UP TO $5,000,000.

  16. TECHNICAL ASSISTANCE • TAT GRANTS TO IDENTIFY SOLUTIONS TO WATER AND WASTE DISPOSAL PROBLEMS IN RURAL AREAS, IMPROVE O&M ON EXISTING SYSTEMS. PRIVATE NON-PROFITS ONLY • SOLID WASTE MANAGEMENT GRANTS TO ELIMINATE POLLUTION OF WATER RESOURCES, IMPROVE PLANNING AND MANAGEMENT OF SOLID WASTE SITES. PRIVATE NON-PROFITS AND PUBLIC BODIES 7 CFR 1775 Applications Accepted October 1-December 31st.

  17. INTERNET RESOURCES FOR WATER AND WASTE • The 1780 and 1775 Regulations can be found at: http://www.rurdev.usda.gov/RegulationsAndGuidance.html. Click on “Regulations” under Rural Utilities Service, Select 1780 or 1775. • RUS Bulletin 1794A-602 can be found at the same site. Click on “Bulletins”, then Water & Environmental. Select B 1794A-602. This bulletin addresses the format for the environmental report for Water and Waste Programs. • Preliminary Engineering Report Guides can be found on the same page as the Environmental Bulletin. Select B 1780-2 for Water, B 1780-3 for Wastewater and B 1780-4 for Solid Waste.

  18. QUESTIONS???

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