DEQ awards $2,621,000 low-interest wastewater construction loan to the city of Moyie Springs
Wednesday, April 22, 2020
BOISE — The Idaho Department of Environmental Quality (DEQ) today announced the award of a $2,621,000 low-interest wastewater construction loan to the city of Moyie Springs in Boundary County.
The funding will be used to pay for the environmental report and facility planning study for the city’s wastewater system project, upgrade the treatment system, and build a discharge line to the Kootenai River.
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 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 Environmental Protection Agency, carries a simple 1.75% interest rate, is payable over 30 years, and has $544,744 principal forgiveness. The favorable loan terms represent a $1,058,643 savings to the community when compared to average costs for municipal general obligation debt issuances.