Addressing the vital need for water infrastructure improvements, Gov. Bill Lee and the Tennessee Department of Environment and Conservation Commissioner David Salyers have announced a substantial $17 million loan for the Brownsville Energy Authority. This financial boost, sourced from the Clean Water State Revolving Fund Loan Program, is set to support the construction of a new wastewater treatment plant, a project of critical importance for the community's environmental health. As reported by Tennessee Department of Environment and Conservation the official announcement, the loan carries a low-interest rate at 1.32 percent over a 20-year term, with a unique aspect of $4,999,700 in principal forgiveness.
The decision to grant low-interest loans seeks to directly address and to readily support community needs in an affordable manner. “Tennessee continues to support infrastructure investments for a growing state, including water quality improvements,” Gov. Lee said, according to the official press release. Complementing the governor's statement, Commissioner Salyers emphasized, “Water quality is one of the most important priorities we have at TDEC.”
In addition to the hefty investment in Brownsville, the Tennessee Local Development Authority has also approved a $1.6 million loan for the City of Parsons, reinforcing the state government’s dedication to nurturing sustainable development across various localities. These loans are part of an overarching State Revolving Fund Loan Program which allows communities and authorities to access financing at more favorable rates than private markets could typically offer. The fiscal prudence exhibited in these actions prioritizes long-term community health and prosperity while managing taxpayer resources responsibly.
Over the current fiscal year, Tennessee allocated $42,631,173 in drinking water loans and $95,327,432 in clean water loans. According to Commissioner David Salyers, “Low-interest-rate loans are a great way to meet a community need, and we look forward to the results of the process.” Since their inception, the Clean Water and Drinking Water State Revolving Fund Loan Programs have issued more than $2.3 billion in low-interest loans.
