SRF Loan Recipients To See Savings Through Lower Interest Rates

Wed 11-30-2016 []

(Des Moines)-- The Iowa Finance Authority and the Iowa Department of Natural Resources announced Tuesday that 29 Iowa communities with current state Revolving Fund loans for water quality projects will save a total of more than $1.3 million in interest over the remaining life of their loans as a result of their interest rate being reduced from 3% to 1.75%.

Locally, the city of Bancroft will save $117,413 on its loan; the city of George will realize a savings of $44,313; Primghar will see a savings of $25,244; Royal will save $17,850; Ruthven will save $33,838 on its loan; and the city of Storm Lake will save $32,938.

The State Revolving Fund is one of Iowa's primary sources for financing projects designed to improve the state's water quality.

Two funds, one for drinking water and one for wastewater and pollution control, have provided low-cost financing to projects in 60 Iowa communities as well as to farmers, watershed groups and others for water quality projects.

The program is jointly administered by the Iowa Finance Authority and the Iowa Department of Natural Resources.