U.S. Department of Agriculture Rural Development
Water & Sewer Loan/Grant Program Community Facility Loan/Grant Program
Rural
Development has two programs for rural communities: ◦ Community Facilities (town halls, fire halls, DPW buildings, fire trucks, police cars, libraries, etc.) ◦ Water & Waste (water & sewer projects) Website - http://www.rurdev.usda.gov/mi/
In 2011, for all programs, USDA Rural Development invested approximately $1.4 billion in Rural Michigan. Programs include: ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦
Water & Waste Community Facilities Loans and Grants Telecommunications, Distance Learning Grants, Broadband SFH Direct & Guaranteed Home Loans Home Repair Grants & Loans MFH Direct & Guaranteed Loans MFH Rental Assistance MFH Housing Preservation Grants Guaranteed Business and Industry Loans Renewable Energy Grants
• Community Facilities: eligible entities include: – Public bodies, non-profits, & tribes located in communities or a service area less than 20,000 population.
• Water & Waste: eligible applicants include: – Public bodies, tribes, non-profits located in communities or a service area less than 10,000 population.
WEP Direct $55,035,000 Loan/$10,073,000 Grant WEP 306C (Tribal) $1,166,000 Grant WEP Solid Waste Management $89,300 Grant
2011 Community Facilities Funding
CF Direct $32,297,000 Loan/ $487,900 Grant CF Guaranteed Loan $21,997,000 CF Childcare Initiative $112,000 Grant CF Economic Impact Initiative $312,200 Grant CF Tribal College Initiative $170,000 Grant CF Rural Community Development Initiative $150,000 Grant
Loan - $109,329,000 Grant - $12,560,400 TOTAL - $121,889,400
Water & Waste – approximately 68,382 residents benefited from 61 projects
Community Facilities – 97 equipment and/or construction projects in over 80 communities.
Water & Waste 2010 (includes ARRA) Initial Allocation $50,345,000
Water & Waste 2009 (includes ARRA) Initial Allocation $46,366,000
Actual Obligation $156,775,197
Actual Obligation $204,703,000
Water & Waste 2008 (includes Farm Bill) Initial Allocation $41,259,080
Actual Obligation $97,723,245
($26,766,464 farm bill & $29,552,456 reserve funds)
Community Facilities 2010 (includes ARRA) Initial Allocation $10,549,000
Community Facilities 2009 (includes ARRA) Initial Allocation $10,330,810
Actual Obligation $26,786,500
Actual Obligation $24,094,810
Community Facilities 2008 Initial Allocation $9,257,000
Actual Obligation $10,953,350
$448,745,000 Water & Sewer Loan Portfolio 11/30/2010 $542,642,000 Water & Sewer Loan Portfolio 11/30/2011
Increase - $93,897,000
$136,665,000 Community Facilities Portfolio 11/30/2010 $143,393,000 Community Facilities Portfolio 11/30/2011
Increase - $6,728,000 Total - $100,625,000
Increase to outstanding loan portfolio represents loans closed and cash advanced to construction of projects or purchase of equipment.
2012 Levels of Funding: Expected Water & Waste 2012 Regular Allocation : Direct Loan: $26,806,000 Direct Grant: $11,533,000 Expected Community Facilities 2012 Regular Allocation: Loan: $46,504,124!! Guarantee: $ 3,192,000 Direct Grant: $ 297,200 Economic Impact Initiative Grant: $ 145,600
Due to nationwide backlog of CF and WEP projects, loan and grant funds may be limited.
MI application backlog - 48 Water & Sewer Projects - 45 CF loans & 49 CF grants
= $143,617,537 = $ 57,259,830
Nationwide application backlog - 1,610 Water & Sewer Projects = $5,182,889,625 - 999 CF loans & 1,515 CF grants = $2,168,208,521
Much pressure on the states to get ARRA funded projects under construction and the money expended by 9/30/15!!
REFINANCING EXISTING DEBT◦ Limited to