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Eight Rural Iowa Projects Receive $4.76 Million from USDA Rural Development for Water and Wastewater System Improvements

Name
Darin Leach
City
Des Moines
Release Date

USDA Secretary Tom Vilsack today announced loans and grants for 141 projects to build and improve water and wastewater infrastructure in rural communities across the nation. Eight of those projects totaling $4,760,700 in USDA funding are serving rural Iowans.

“Many rural communities need to upgrade and repair their water and wastewater systems, but often lack the resources to do so,” Vilsack said. “These loans and grants will help accomplish this goal. USDA’s support for infrastructure improvements is an essential part of building strong rural economies.”

USDA is awarding $299 million for 88 projects in the Water and Waste Disposal Loan and Grant Program and $15 million for 53 grants in the Emergency Community Water Assistance Grant (ECWAG) program.

ECWAG grants enable water systems that serve eligible rural communities to prepare for, or recover from, imminent or actual emergencies that threaten the availability of safe drinking water. Water and Waste program recipients can use funds to construct water and waste facilities in rural communities.

Receiving Water and Waste Disposal Loan and Grant Program assistance in Iowa include:

  • The City of Lone Rock in Kossuth County is receiving a $215,000 loan and $635,000 grant to help construct a new water treatment system and replace the existing distribution lines in the community.
  • Iowa Lakes Regional Water, serving rural residents and businesses in Buena Vista, Cherokee, Clay, Dickinson, Emmet, O’Brien, Palo Alto and Sac Counties in Iowa, and Jackson County in Minnesota, is receiving a $1,293,000 loan and $954,700 grant to extend water services to nearly 100 additional users throughout its service area and make others system improvements.
  • The YMCA of the Cedar Rapids Metropolitan Area is receiving a $631,000 loan and $40,000 grant to help make improvements to the sewer lagoon system at YMCA Camp Wapsie located near Coggon.

Receiving Emergency Community Water Assistance Grants in Iowa include:

  • City of Panora - $147,000 grant to assist with emergency repairs to the Lenon Mill Dam that will protect the city’s water supply.
  • City of Guttenberg - $150,000 grant to replace 16,000 feet of water lines damaged due to freezing.
  • Osceola County Rural Water System - $48,000 grant to replace infrastructure damaged due to freezing.
  • Southwest Regional Water District - $147,000 grant to install 650 feet of water pipe crossing the Nodaway River near Clarinda.
  • Denison Municipal Utilities (City of Denison) - $500,000 grant to assist with the construction of three new water production wells, well houses and equipment to enhance access to the Boyer River alluvial aquifer and alleviate drought stress.

Since 2009, USDA has helped provide improved water and wastewater services to nearly 18 million rural residents across the country by investing $12.3 billion in 5,174 projects.

Funding of each award announced today is contingent upon the recipient meeting the terms of the grant and loan agreement.

USDA Rural Development is accepting applications for loans and grants to build rural water infrastructure. Applications may be completed online through RDAPPLY, a new electronic filing system, and at state and local Rural Development offices. Public entities (counties, townships and communities), non-profit organizations and tribal communities with a population of 10,000 or less are eligible to apply. Interest rates for this program are at historically low levels, ranging from 2 percent to 3.25 percent. Loan terms can be up to 40 years. For more information, visit http://www.rd.usda.gov/programs-services/rd-apply.

USDA Rural Development’s funding continues to have a dramatic impact on rural communities across Iowa.  Since 2009, USDA Rural Development has invested more than $3 billion on essential public facilities, small and emerging businesses, water and sewer systems, and housing opportunities for Iowa families.

USDA Rural Development can help rural communities and regions grow and prosper by offering a variety of financial and technical assistance programs that encourage the development of strong community and economic development strategies.

This past year USDA Rural Development’s investment in Iowa helped create or retain more than 1,000 jobs, aided 2,400 families in buying their own homes and assisted more than 50 communities as they made improvements to their facilities, services and infrastructure.

Contact USDA Rural Development

For more information about finance programs available through USDA Rural Development, please call (515) 284-4663 or visit the agency’s web site at www.rd.usda.gov/ia.

USDA Rural Development has 11 offices across the state to serve the 1.7 million Iowans living in rural communities and areas.  Office locations include a State Office in Des Moines, along with Area Offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly.

President Obama’s plan for rural America has brought about historic investment and resulted in stronger rural communities. Under the President's leadership, these investments in housing, community facilities, businesses and infrastructure have empowered rural America to continue leading the way – strengthening America’s economy, small towns and rural communities.