2022 DWSRF ANNUAL REPORT OCTOBER 2023 www.epa.gov 816-R-23-004 ------- HIGHLIGHTS /'ffiN/ffiN/oX | ^|L| J£L| $1 $1 •SB .21B to communities with pop, of 10,000 or below to disadvantaged communities ASSISTANCE PROVIDED: $4.41 B I $637M Provided in additional subsidy (principal forgiveness/ grants/negative interest) $440.3M (65%) of the additional subsidy went to disadvantaged communities The average DWSRF loan interest rate in 2022 was 1.25% This lower loan interest rate results in approximately $778.7 million in savings to local community rate payers, compared to a state market interest rate of 2.2% over 20 years 1,046 ASSISTANCE AGREEMENTS IN STATE FISCAL YEAR 2022 VVfVVVV 69% to communities serving 10,000 or fewer persons 43% of assistance agreements went to disadvantaged communities RANGE OF LOAN SIZES: $274M SET-ASIDE FUNDING PROVIDED: $227M $13.50M for technical assistance to small systems PLANNING AND DESIGN ASSISTANCE: $30.3 M DWSRF ANNUAL REPORT 1 ------- SINCE 1997 PROGRAM HIGHLIGHTS ASSISTANCE PROVIDED: $53.0 B with $24.5B in Federal investments ASSISTANCE AGREEMENTS: 18,363 0L 35% of assistance agreements went to disadvantaged communities ADDITIONAL SUBSIDY PROVIDED: Since program inception, the DWSRF has provided $4.5 billion in additional subsidy V5 These grant-like dollars help keep water rates affordable for communities DISBURSEMENTS: SET-ASIDE FUNDING PROVIDED: $45.2 B $4.2 B SAVINGS IN LOCAL COMMUNITIES: JtlkJflLJtlL The below-market DWSRF interest rates resulted in approximately $12.5B in savings to local community rate payers over the life of the loan, compared to state market interest rate LOOKING AHEAD IWSRF AND THE BIPARTISAN INFRASTRUCTURE LAW OF 2021 SUMMARY OF BIL APPROPRIATIONS (IN BILLIONS OF DOLLARS) FY 2022 THROUGH FY 2026 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 Five Year Total DWSRF General Supplemental $1.9 $2.2 $2.4 $2.6 $2.6 $11.7 DWSRF Emerging Contaminants DWSRF Lead Service Line Replacement $0.8 $3.0 $0.8 $3.0 $0.8 $3.0 $0.8 $3.0 $0.8 $3.0 $4.0 $15.0 approximately 49%* to be provided as grant-like dollars, which represents a substantial increase over past authority *100% of funds for emerging contaminants/per- and polyfluoroalkyl substances (PFAS) will be grant-like No or reduced state cost-share makes it easier for states to put funds to work ------- The City of Stuart received $470,000 in DWSRF funding as loan principal forgiveness to incorporate 146 residents from a small, disadvantaged community into the City's utility service area after their private groundwater wells were found to be contaminated with perfluorooctanesulfonic acid (PFOS) and perfluorooctanoic acid (PFOA). The solution was the result of a collaboration between the City, Martin County and the Florida Departments of Health and Environmental Protection. To ensure all community members had the opportunity to connect to the City's water system, information sessions were conducted in both English and Spanish. A collaborative long-term solution to PFAS contamination in the drinking water of 146 people. PERU, IN: WATER SYSTEMS IMPROVEMENTS The City of Peru received $8.5 million in DWSRF and U.S. Housing and Urban Development Community Development Block Grant (CDBG) Program funding to complete multiple water system improvements. The City replaced lead service lines and water mains to reduce contamination and water loss, installed permanent generators for standby power at booster stations and variable frequency drives on well pump motors to increase efficiency, both of which will help ensure reliable drinking water during power outages. System-wide improvements remove lead service lines, | replace water mains, and build resiliency and sustainability. DWSRF ANNUAL REPORT 3 ------- The City of Woonsocket received over $57 million in DWSRF funding to replace its aging 1960s-era drinking water facility, which was showing metal fatigue and cracked concrete and risked potential clearwell tank failure. The new facility can produce seven million gallons per day of drinking water for the area's 50,000 residents, is easier to operate, eliminates pollution discharges into the Blackstone River, and is more resilient to climate change given its new location well out of the floodplain. Building a new facility out of the floodplain increases climate resiliency. BRADY, TX: RADIUM REDUCTION WATER TREATMENT $15M helps a rural community ensure safe, reliable drinking water for its 6,000 residents. After testing revealed manganese levels to be three times higher than EPA's public health advisory level, the City of West Point used $3.5 million in DWSRF funding to replace water treatment plant filters and upgrade system controls. They also installed variable frequency drives to better control water flow. Following the water treatment plant improvements, manganese levels were brought below the secondary maximum contaminant level (MCL). The City of Brady struggled with violations for radionuclides and disinfection byproducts (DBPs) in their drinking water system. With $15 million from the DWSRF and $15 million from the Texas Water Development Board Economically Distressed Areas Program, the City constructed a new radionuclide reduction treatment plant, water transmission mains, water storage facilities, and improvements to the pre-treatment methods at the surface water treatment plant. Treatment plant upgrades reduced manganese levels from over 3x above the public health advisory level to below the secondary MCL ------- |