DEQ awards $1.5 million to Wilderness Ranch Owners Association
Wednesday, May 13, 2020
BOISE—The Idaho Department of Environmental Quality (DEQ) awarded a $1,560,000 low-interest drinking water construction loan to the Wilderness Ranch Owners Association located in Boise County, Idaho.
The funding will be used to replace underground water mains, improve the booster pumping facilities, and upgrade the water storage reservoirs.
DEQ is authorized by state law to make loans to assist in the construction of public drinking water systems. Since the annual cost of drinking water services for residential customers exceeds one and one-half percent of the median household income, the Wilderness Ranch Home Owners’ Association qualifies for a disadvantaged loan, which carries favorable repayment terms.
The loan from DEQ’s State Revolving Loan Fund, which is capitalized annually by grants from the U.S. Environmental Protection Agency, carries a simple 1.75% interest rate. The loan is payable over 30 years and has $290,636 of principal forgiveness. These terms represent a $622,139 savings to the community when compared to average costs for municipal general obligation debt issuances.