The Clean Water State Revolving Fund (CWSRF) program is a federal-state partnership that provides communities low-cost financing for a wide range of water quality infrastructure projects. Federal funds provide initial funding with a 20% match from each state. Bond holders provide additional funds. Loan repayments continually sustain the Fund over time.
Who Administers the CWSRF in Pennsylvania?
PENNVEST administers the CWSRF in Pennsylvania. The program offers low interest loans ¾ at or below market interest rates ¾ with flexible terms and principal forgiveness funds where applicable and available.
In PA, projects include the construction, improvement, extension, expansion, repair or rehabilitation of wastewater collection, treatment or disposal facilities, drinking water infrastructure, storm water management, and nonpoint source pollution controls including agricultural best management practices and watershed and estuary management.
Funding awards are made by the PENNVEST Board at scheduled meetings (typically quarterly). The type and amount of funds are dependent upon the relative ranking of a project in the pool of projects, the economic need of the system and the amount of funding available for award at that meeting.
PENNVEST performs similarly to a bank for the CWSRF program in Pennsylvania and manages the financial aspects of the fund, while the Department of Environmental Protection is the technical arm for the program.
The seed money for the CWSRF is distributed to states annually under Congressional authorization pursuant to the Clean Water Act of 1987. The funds and the program are administered nationally by United States Environmental Protection Agency (EPA).
How does the CWSRF Work?
The following graphic illustrates the flow of funds from EPA to the states for the CWSRF.