Clean Water SRF 

The Clean Water State Revolving Fund (CWSRF) Loan Program, administered by the Texas Water Development Board (TWDB), offers low-cost financial assistance for planning, acquisition, design, and construction of wastewater, reuse, and stormwater infrastructure. This program is rooted in the Clean Water Act and is part of a national initiative aimed at improving water quality and infrastructure through sustainable funding mechanisms. It is designed to assist both public and private entities in implementing water quality protection projects, especially those involving innovative or green technologies. Eligible applicants for CWSRF funding include a wide array of public entities such as cities, counties, river authorities, districts, and designated management agencies. Additionally, authorized Indian tribal organizations and private entities engaged in nonpoint source or estuary management projects may apply. The eligible projects include building or improving wastewater treatment facilities and related infrastructure, purchasing existing treatment plants or land, implementing green infrastructure, and various other water management initiatives, including disaster recovery and water conservation measures like water meters. The CWSRF offers multiple financial assistance options, including below-market interest rate loans, 0% loans, and principal forgiveness, which operates similarly to grants. These options are detailed in the program’s Intended Use Plan (IUP). For example, disadvantaged communities may receive up to 70% principal forgiveness based on specific income and cost factors. Small or rural disadvantaged communities may be eligible for 100% forgiveness up to $1 million, while very small systems serving 1,000 or fewer can receive up to $400,000. Urgent need projects and green projects may also qualify for special forgiveness provisions. Each year, solicitation for SRF programs opens in December and closes in March. To be considered in the initial priority list, applicants must submit a completed Project Information Form (PIF) by the closing deadline. However, PIFs can be submitted at any time for consideration in future rounds. Financial assistance requires compliance with several federal and state regulations, including the National Environmental Policy Act, Davis-Bacon wage rates, American Iron and Steel provisions, and for Equivalency Projects, compliance with the Build America, Buy America (BABA) Act and Disadvantaged Business Enterprise requirements. For the 2024 fiscal year, the program has at least $460 million available, including $55 million for principal forgiveness. This funding pool combines annual and supplemental appropriations, such as those from the Infrastructure Investment and Jobs Act of 2021. Entities planning to apply for financial assistance must adhere to specific application requirements, including loan origination fees and preparation of conservation and contingency plans for assistance exceeding $500,000. Applicants are supported by regional project implementation teams. Contact information for these teams can be found on the TWDB website. Additional program resources include webinars, program FAQs, project forms, and application guidance materials, all accessible via the TWDB website.

Submit PIF early to be included in initial priority list Ensure compliance with BABA, Davis-Bacon, and other federal/state regulations Review the IUP table “Allocations and Terms Available Under Each Funding Option”