Drinking Water State Revolving Fund Program
Purpose of Funding
To provide low-interest loans to finance the costs of infrastructure needed to achieve or maintain compliance with Safe Drinking Water Act (SDWA) requirements and to protect the public health in conformance with the objectives of the SDWA. Financing is proposed to be available for a variety of construction projects, including water treatment facilities, to address the correction of a system's non-compliance with Surface Water Treatment requirements; to address acute violations, maximum contaminant levels, lead and copper rule exceedances or secondary drinking water regulation exceedances; for consolidation of water systems to comply with the SDWA; for rehabilitation of existing water treatment facilities, water mains, pump stations or water storage facilities, or for new water storage facilities to maintain compliance with the SDWA and wells. Allowances for planning and design are also available.
Source of Funding
Financing is proposed from two sources; the New Jersey Environmental Infrastructure Trust (Trust), and Drinking Water State Revolving Fund (Fund). The Fund provides loans at 0% interest for up to 20 years for three-quarters (75%) of the allowable costs. The Trust offers loans at market rate for the remaining allowable project costs (25%), also for a 20-year term. Some higher ranked projects may get a portion of their loan as principal forgiveness.
P.L. 1981, c. 261, as amended, Water Supply Bond Act
of 1981; N.J.S.A. 58:12A, Safe Drinking Water Act.
Who is Eligible
Any publicly or privately owned community water systems
and nonprofit non-community water systems in New
Jersey may receive funds.
Qualifications Required for Consideration
Eligibility is determined according to the ranking
criteria of the Project Priority System and an
Intended Use Plan developed each year by the DEP, subject
to public participation. Each project is evaluated,
assigned points and placed on a Project Priority List.
Projects are certified for funding based on amount
of available funds, list rank and compliance with program
requirements, and deadlines for planning, design and
application for funding.
Eligible entities must: (1) request placement on the
Project Priority List by completing an online letter of intent form; , and (2) satisfy the planning, design and application deadlines and program requirements; including technical, financial and managerial capacity requirements.
A commitment letter and project planning documentation
are required to be submitted in advance of the actual
application deadline identified below.
For More Information or to Request an Application, Contact
Alan Dillon, Section Chief
Mail Code 401-04Q
Bureau of Safe Drinking Water
PO Box 420
Trenton, NJ 08625-0420
Telephone: (609) 292-5550
Fax: (609) 633-1495