Drinking Water Revolving Fund:
With the passage of SB95-083, the General Assembly created the Drinking Water Revolving Fund (“DWRF”). The Safe Drinking Water Act Amendment (“SDWA”) of 1996 (P.L. 104-182) authorized a drinking water state revolving fund to assist public water systems with the financing of the costs of infrastructure to achieve or maintain compliance with SDWA requirements and to attain the public health objectives of this Act. On September 30, 1997, Colorado’s DWRF Operating Agreement and initial capitalization grant were approved by the U.S. Environmental Protection Agency (“EPA”).
The DWRF program is a joint effort with the Water Quality Control Division (“WQCD”) of the Colorado Department of Public Health and Environment handling the technical aspects of drinking water facility construction and public water system operations, the Division of Local Government (“DLG”) of the Colorado Department of Local Affairs conducting financial analyses and outreach activities, and the Authority acting as the financing entity for the program. The Authority and the EPA executed an Operating Agreement that outlines the financing structure and the procedures for operation of the DWRF.
Through December 31, 2015, 227 loans have been executed under the DWRF program totaling $558,278,827 with an outstanding principal balance of $318,675,920.
Water Pollution Control Revolving Fund:
In 1988, the Authority’s functions were expanded to include the financing of wastewater facilities through the Water Pollution Control Revolving Fund (“WPCRF”). Under the Clean Water Act Amendments of 1987, Congress mandated the conversion of the grant system for wastewater facility construction to a state revolving fund loan program. This loan program is capitalized with grants from the EPA.
The WPCRF program is a joint effort with the WQCD handling the technical aspects of wastewater facility construction, the DLG conducting financial analyses and outreach activities, and the Authority acting as the financing entity for the program. The Authority and the EPA executed an Operating Agreement which outlines the financing structure and the procedures for operation of the WPCRF.
Through December 31, 2015, 255 loans have been executed under the WPCRF Program totaling $1,045,108,030 with an outstanding principal balance of $496,153,659.
Small Hydropower Loan Program:
The Authority Board of Directors approved the Small Hydropower Loan Program at the June 6, 2008 Board meeting to support the development and use of a clean and renewable source of electrical power for the citizens of Colorado. The Board budgeted $10 million in 2009 to be loaned to local governments for new small hydropower facilities. The Board Authorized $150,000 annually to provide matching grants to communities to plan and design small hydropower facilities.
Water Revenue Bonds:
In response to occasional requests for funding for water-related projects that do not qualify for funding from the SRF programs, the Authority issues bonds under the Water Revenue Bond Program. Under this program the Authority assists the borrower with the structuring of the bonds, subsidizes the costs of bond issuance and may purchase a surety bond in lieu of a cash-funded debt service reserve fund, if available. In 2003, legislation (SB 03-236) was enacted to increase the maximum loan limit from $100 million to $500 million per borrower per project. Water supply loans over $500 million require approval from the General Assembly.
GAP- Grant Assistance Program:
GAP-The Colorado Water Resources & Power Development Authority Board of Directors has authorized $2,500,000 for a 2012 grant program to assist small systems in funding actual construction and associated engineering costs for water and wastewater system projects. The mission of the program is to fill the need or gap between small community funding needs and available State and Federal funds. Each grant is limited to $250,000 per entity and requires each applicant to provide a 20% matching contribution. Matching funds will include reserves, other grants, loans, and properly documented in-kind services. All applications must be received on or before June 15, 2012 for consideration.
Small Water Resources Projects:
The Small Water Resources Projects (the "SWRP") Program was developed after the passage of Senate Bill 67 in 1989. Under the statute, the Authority can expedite its procedures to assist local governments in the financing of water resource projects, defined as water management facilities or hydroelectric facilities, with loans of up to $500 million without legislative review. This process gives the project sponsor and the Authority greater flexibility in reacting to rapidly changing bond market conditions. Financial enhancements provided by the Authority under the program include funding of the debt service reserve fund, pooling multiple borrowers, and subsidizing the cost of bond issuance. The last SWRP bond issue took place in 2006 and has been phased out and replaced by the WRBP.