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Water & Waste Disposal Loan & Grant Program in Puerto Rico

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What does this program do?

This program provides funding for clean and reliable drinking water systems, sanitary sewage disposal, sanitary solid waste disposal, and storm water drainage to households and businesses in eligible rural areas.

Who may apply?

This program assists qualified applicants who are not otherwise able to obtain commercial credit on reasonable terms. Eligible applicants include:

What is an eligible area?

Areas that may be served include:

What kinds of funding are available?

  • Long-term, low-interest loans
  • If funds are available, a grant may be combined with a loan if necessary to keep user costs reasonable.

How may the funds be used?

Funds may be used to finance the acquisition, construction or improvement of:

  • Drinking water sourcing, treatment, storage and distribution
  • Sewer collection, transmission, treatment and disposal
  • Solid waste collection, disposal and closure
  • Storm water collection, transmission and disposal

In some cases, funding may also be available for related activities such as:

  • Legal and engineering fees
  • Land acquisition, water and land rights, permits and equipment
  • Start-up operations and maintenance
  • Interest incurred during construction
  • Purchase of facilities to improve service or prevent loss of service
  • Other costs determined to be necessary for completion of the project
  • See 7 CFR Part 1780.7 and 1780.9 for a complete list

What is the loan term and rate?

  • Up to 40-year payback period, based on the useful life of the facilities financed
  • Fixed interest rates, based on the need for the project and the median household income of the area to be served

Contact us for details and current interest rates applicable for your project

Are there additional requirements?

  • Borrowers must have the legal authority to construct, operate and maintain the proposed services or facilities.
  • All facilities receiving federal financing must be used for a public purpose.
  • Partnerships with other federal, state, local, private and nonprofit entities that offer financial assistance are encouraged.
  • Projects must be financially sustainable.

How do we get started?

Visit RD Apply

  • Applications are accepted year round and may be filed electronically using RD Apply. The RD Apply Customer Help Guide is provided to help you get started and work through the application process
  • Applications are also accepted through your local RD office.
  • Program resources are available online (i.e., forms, guidance, certifications, etc.).

Who can answer questions?

  • Contact the local representative who serves your area
  • Participating nonprofits in your area may also offer assistance and training

What governs this program?

Why does USDA Rural Development do this?

This program helps very small, financially distressed rural communities extend and improve water and waste treatment facilities that serve local households and businesses. Good practices can save tax dollars, improve the natural environment, and help manufacturers and businesses to locate or expand operations.

NOTE: Program details may change over time. Before you begin an application, please confirm you have the most current information by contacting a program specialist in your local RD office for assistance or consult the program instructions listed in the section above titled "What Governs this Program?"

NOTE: Please ensure that your state is selected in the dropdown menu above to find the state office contact information, and speak to a program specialist before attempting to fill out any forms or applications. This will save you time in completing your application.

Interest Rates

Current interest rates for 2nd quarter FY 2024, effective April 1, 2024.  

Poverty:  2.125%
Intermediate:  2.750%
Market:  3.500%

National Architect Requirements:

There are no other architect requirements at the national level. If there are additional state-specific requirements they will be listed above.

National Engineering Requirements:

Key WEP Engineering Resource Page

 

Individual states will have particular requirements based on state and local regulations. Please contact the local RD office in the state where your project is located.

State Environmental Requirements:

Local Redevolpment Authority for Roosevelt Roads (LRA) Sewer System Improvements

Notice is hereby given that the Rural Development (RD), as required by the National Environmental Policy Act, is issuing an Environmental Assessment (EA) in connection with possible impacts related to a project proposed by the LRA in Ceiba, PR. The LRA is proposing major wastewater infrastructure improvements for the initial re-development phase at a group of land parcels conforming the former “Naval Station Roosevelt Roads”.  The project is being developed in the following group of parcels: Machos, Guayacán, and Quebrada Seca Wards, in the municipality of Ceiba, PR.

After the United States Navy ceased military operations in Roosevelt Roads in 2004, the Government of Puerto Rico created the “Local Redevelopment Authority – Roosevelt Roads” (LRA) as the government agency authorized to promote the re-development at the former base.  The LRA proposal improvements include a new Wastewater Treatment Plant (WWTP) at the location of the existing Forrestal WWTP.  The improvements will be performed in order to have a maximum treatment capacity of 0.5 MGD.  In addition, it involves the replacement or rehabilitation of approximately 1,400 lineal meters of the main gravity sewer lines and rehabilitation of Lift Stations 39, 1971, 1471, 2262, and 2382.  Also, new force lines with a total length of approximately 6,100 lineal meters are proposed from Lift Station 1471 up to the existing gravity sewer on the marina/waterfront area. 

The Navy, prepared an Environmental Assessment (EA) and a Supplement EA that describes the project, assesses the proposed project’s possible environmental impacts, and summarizes as applicable any mitigation measures used to minimize environmental effects. RD has conducted an independent evaluation of the environmental assessment and believes that it accurately assesses the possible impacts of the proposed project. No significant impacts are expected as a result of the construction of the project.

The EA and their supporting documents are included below for the next fourteen days (14) open to the public for comments.

The LRA plans to request financial assistance from the USDA-Rural Development under the Water & Waste Program to finance their sewer system improvements project. To obtain additional information or to provide comments, please contact Héctor Núñez, Area Director, by telephone at: (787) 838-7006 ext. 107 or (787) 743-1600 ext. 123, or by email at: hector.nunez@pr.usda.gov.

The following proposal requires the preparation of an Environmental Assessment in accordance with 7 CFR 1970 Environmental Policies and Procedures.   The links below provide electronic copies of all related EA documentation. In addition, copy of the EA is available, during working hours, at our RD Caguas Area Office, located at Gatsby Building, 30 Calle Padial Ste 300, Caguas, Puerto Rico.

Environmental Studies – Assessment

There are no other additional requirements at the national level. If there are additional state-specific requirements they will be listed above.

Nereida Rodriguez - Director
Voice: (787) 766-5158
Fax: (855) 523-9680
nereida.rodriguez@usda.gov


Elis Marrero - Specialist
Voice: (787) 766-5212
Fax: (855) 523-9680
elis.marrero@usda.gov

Christian Flores-Jatib - Specialist
Voice: (787) 766-5209
Fax: (855) 523-9680
christian.floresjatib@usda.gov

James Rivas- Specialist
Voice: (787) 766-5286
Fax: (855) 523-9680
james.rivas@usda.gov


Wilma Castro - Technician
Voice: (787) 766-5144
Fax: (855) 523-9680
wilma.castro@usda.gov

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