Cleveland receives $1.7M SRF loan for project

Sewer initiative for Durkee, Benton Pike

By TIM SINIARD
Posted 7/5/19

The city of Cleveland will receive a $1.7 million construction loan from the State Revolving Fund Loan Program for clean water and infrastructure improvements in the Benton Pike and Durkee Road …

This item is available in full to subscribers

Cleveland receives $1.7M SRF loan for project

Sewer initiative for Durkee, Benton Pike

Posted

The city of Cleveland will receive a $1.7 million construction loan from the State Revolving Fund Loan Program for clean water and infrastructure improvements in the Benton Pike and Durkee Road area.

The announcement was made Monday by Tennessee Gov. Bill Lee and Tennessee Department of Environment and Conservation Commissioner David Salyers.

The loan will help improve water and wastewater infrastructure that is critical for improving water quality and protecting public health, according to a TDEC press statement.

“We are pleased to assist local communities with resources to improve infrastructure,” Lee said. “These loans will help keep Tennesseans safe and bolster the quality of life for citizens in these areas.”

The project includes the installation of a sanitary sewer line for the Benton Pike and Durkee Road area, which was annexed into the city between 2010 and 2012.

In an unrelated state announcement, the city of Bell Buckle will receive a $325,000 construction loan.

Craig Mullinax, vice president of the Water and Wastewater Division at Cleveland Utilities, said the project is currently in the easement acquisition process.

"We have acquired eight out of 39 easements, so far," Mullinax said. "Once we have acquired all the easements, we will start the bidding process."

A collection system expansion consisting of the installation of 8,900 linear feet of sanitary sewer line to eliminate use of septic systems in the area will be funded by the loan, which includes $1,593,900 in federal money, with an additional $177,100 in principal forgiveness that will not have to be repaid. 

The 20-year loan will have a 1.37% interest rate.

Salyers said the low-cost loan program has been a major boost for communities across the state.

 “We look forward to the improvements in Cleveland and Bell Buckle that these loans will make happen,” Salyers said.

The revolving fund allows communities, utility districts and water and wastewater authorities to obtain loans with lower interest rates than what can be obtained through private financing, according to the TDEC announcement. 

According to the statement, “During fiscal year 2019, TDEC has awarded $13.3 million in drinking water loans and more than $83 million in clean water loans for a total of nearly $97 million to meet the state’s water infrastructure needs.

The statement added, “Tennessee’s Clean Water State Revolving Fund Loan Program has awarded more than $2 billion in low-interest loans since its inception in 1987. The state’s Drinking Water State Revolving Fund Loan Program has awarded more than $300 million in low-interest loans since its inception in 1996.” 



 

Comments

No comments on this story | Please log in to comment by clicking here
Please log in or register to add your comment

X

Print subscribers have FREE access to clevelandbanner.com by registering HERE

Non-subscribers have limited monthly access to local stories, but have options to subscribe to print, web or electronic editions by clicking HERE

We are sorry but you have reached the maximum number of free local stories for this month. If you have a website account here, please click HERE to log in for continued access.

If you are a print subscriber but do not have an account here, click HERE to create a website account to gain unlimited free access.

Non-subscribers may gain access by subscribing to any of our print or electronic subscriptions HERE