U.S. Water Infrastructure Act/Best Practices for Administering State Revolving Funds for Drinking Water: U.S. Environmental Protection Agency April 2022 Report | Mitchell, Williams, Selig, Gates & Woodyard, LLC

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The U.S. Environmental Protection Agency (“EPA”) released an April 2022 report titled:

AWIA Best Practices for the Administration of State Revolving Funds for Drinking Water (“Report”)

The 2018 amendments to the American’s Water Infrastructure Act (“AWIA”) required the EPA to publish a report addressing best practices/examples in seven specific areas:

  • Streamlined the process for applying for assistance from the State Clean Water Revolving Fund (“DWSRF”).
  • Programs that help borrowers complete requests for DWSRF assistance.
  • Incentives for large public water systems to help small public water systems with their DWSRF applications.
  • Practices to ensure that DWSRF loan funds are used to provide loans, loan guarantees or other authorized assistance in a timely manner.
  • Practices that support effective management of DWSRF loan funds.
  • Practices and tools to improve the financial management of DWSRF loan funds.
  • Key Financial Metrics to Evaluate DWSRF Operations.

Drinking water funding in Arkansas is administered by the Arkansas Division of Natural Resources, which is a division of the Arkansas Department of Agriculture. The Arkansas Safe Drinking Water Fund consists of two programs which include:

  • State Revolving Fund for Drinking Water
  • State set-aside program

The Water Resources Division of the Arkansas Division of Natural Resources uses the DWSRF to meet the goals of the Federal Safe Drinking Water Act.

The 1996 amendments to the Safe Drinking Water Act created the DWSRF to help fund community infrastructure improvements to ensure compliance with drinking water standards.

Components of the EPA report include:

  • Efforts to Streamline the DWSRF Assistance Request Process
  • Programs That Help Borrowers Complete DWSRF Assistance Requests
  • Incentives for large public water systems to help small public water systems with the DWSRF application
  • Practices to ensure that DWSRF loan funds are used to provide loans, loan guarantees or other authorized assistance in a timely manner
  • Practices that Support Effective Management of DWSRF Loan Funds
  • Practices and Tools to Improve Financial Management of DWSRF Loan Funds
  • Key Financial Metrics for Assessing DWSRF Operations

Examples are selected from 10 states that are considered best practices:

  • Alaska
  • Arizona
  • Colorado
  • Hawaii
  • Illinois
  • North Carolina
  • North Dakota
  • New Jersey
  • Pennsylvania
  • Utah

A copy of the report can be downloaded here.

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