DEQ awards $1,194,056 to Nezperce
NEZPERCE, Idaho (KIFI) — The Idaho Department of Environmental Quality (DEQ) announced the award of a $1,194,056 low-interest wastewater construction loan to the city of Nezperce, Lewis County.
The funding will be used for the implementation of wastewater reuse facilities, including the installation of pump stations, storage facilities, and irrigation systems.
DEQ is authorized by state law to make loans to assist in the construction of public wastewater systems. Since the annual cost of wastewater service for residential customers exceeds one and one-half percent of the median household income, the city of Nezperce qualifies for a disadvantaged loan that carries favorable repayment terms.
The loan from DEQ’s State Revolving Loan Fund, which is capitalized annually by grants from the United States Environmental Protection Agency, carries a simple 1.50% interest rate, is payable over 30 years, and has $513,370 in principal forgiveness. The favorable loan terms represent a $1,097,660 savings to the community when compared to average costs for municipal general obligation debt issuances.
