Financial Assistance Center Wastewater Loan Programs

State Revolving Fund

Leveraged Loans for Construction of Public Wastewater Systems

This program is made available in cooperation with the Missouri Department of Natural Resources and the Environmental Improvement and Energy Resources Authority.

As in prior years, the Clean Water State Revolving Fund Leveraged Loan Program will provide financing at below market rates and finance 100 percent of eligible planning, design and construction. Loans with a maximum 20-year repayment term from completion of first contract and subsidized interest rates will be made available to eligible applicants meeting the minimum credit criteria.

Every effort will be made to encourage participation in the leveraged loan program due to the limited amount of funds available under other department programs. The interest subsidy in fiscal year 2008 will be 70 percent. This subsidy will reduce the interest paid to 30 percent of the market rate at closing.

Interim Direct Loan

For the purpose of accelerating a project, applicants on the leveraged loan fundable list are eligible for the Interim Direct Loan Program. The direct loan will be paid in full upon origination of the leveraged loan.

Direct Loans

This program is offered to communities that do not qualify for a leveraged loan. Typically direct loans are targeted to high risk applicants, but larger communities may be considered on a case-by-case basis.

Interest rates are dependent on published rates, but are generally 30 percent of the market rate. Projects applying for loans through the department will be directed to this program, if necessary.
These are secured loans with a successful community bond issue that the department will purchase to provide a below market interest rate.

Direct Loan Fact Sheet -- PUB2306

Small Borrower

Small Borrower Loans are available only to communities or public sewer districts of less than 1,000 population or service area. Qualifying communities or public sewer districts may be considered for a direct loan for wastewater system improvements for up to $100,000 with a maximum 20-year repayment term. In addition to providing financial assistance, this program is geared toward helping communities and sewer districts become familiar with the State Revolving Fund Loan Programs.

Missouri On-site Loan Program

The Missouri On-site Loan Program is designed to provide funding to entities to address on-site wastewater treatment concerns in their area.  These entities use these funds to assist individuals who need to repair, replace or remove failing or failed on-site wastewater treatment systems.

Currently, the department has two pilot projects taking advantage of this program:

  • The Upper White River Basin Foundation Inc. d/b/a Ozarks Water Watch will use the State Revolving Fund to provide low interest loans and grants to qualified homeowners in the Upper White River Basin Watershed. For more information, please contact Ms. Ronna Haxby at 417-739-5001.
  • The Missouri Association of Councils of Government will use the State Revolving Fund to provide low interest loans to qualified homeowners throughout the entire state of Missouri.

For more information on the On-site Loan Program, contact Jeremy Payne at 573-751-6823.