Clean Water

State Revolving Fund

COLLECTION SYSTEM IMPROVEMENTS

STATE PROGRAM: Colorado Water Resources and
Power Development Authority

ASSISTANCE RECIPIENT; Town of Yampa

ASSISTANCE AMOUNT: $1.32M

PROJECT DESCRIPTION

The Town of Yampa, located in Northwestern Colorado, wanted to improve their wastewater treatment works
but were dismayed by the potential rate increase associated with their project cost estimates. The Town
worked closely with the State to assess project alternatives. They decided to approach improvements to the
collection system and the treatment system upgrades as separate projects and seek separate funding sources
for each.

The Town determined that the CWSRF would fund the collection system improvements and USDA Rural
Development would fund the replacement of the Town's lagoon system with a mechanical treatment plant.
This enabled the Town to leverage principal forgiveness opportunities available from both funding sources.
Additionally, by splitting the project in two, the Town was able to apply for two state grants for $1 million each
from the Colorado Department of Local Affairs. The Town also developed a business case to establish their
status as a disadvantaged community, which qualified the community for a design and engineering assistance
grant. The Town is still developing the lagoon replacement project plan with USDA Rural Development. The SRF
funded collection system project will cost $2.3 million, $1.7 million of which is likely eligible for principal
forgiveness, with a repayable amount of $500,000 - avoiding further user rate increases for the Town.

To read more about this case study, please visit https://www.epa.gov/system/files/documents/2024-04/cwsrf-
pisces-2023-recognition-program.pdf.

CWSRF Case Study

&EPA

https://www.epa.gov/cwsrf

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