Division of Public Health

Drinking Water State Revolving Fund

Background

- Safe Drinking Water Act (SDWA) passed in 1974, amended in 1986 and 1996

- Designed to protect public health Established health-based standards protecting against wide range of contaminants

- through regulation of the public drinking water supplies.

Safe Drinking Water Act

• ODW enforces the Safe Drinking Water Act for Delaware. –Delaware was granted primacy in 1978. –Primacy means our regulations are

properly adopted, enforceable and at least as stringent as EPA regulations.–16 Delaware Code 122(3)(c)

Role of the DWSRF

- EPA provides grants used to support low-interest loans

- State provides technical, managerial and financial assistance to water systems

- Delivered thru focused set asides programs- Provisions for extra assistance for

disadvantaged communities with greater economic needs

Why in Public Health?

- DWSRF is located within the Primacy agency that administers the Public Water System Supervision (PWSS) program

- PWSS maintains drinking water regulations, tracks system compliance and enforcement of regulations

DWSRF Priorities

- Public Health Protection

- Compliance with drinking water standards

- Affordability

DWSRF Annual Cycle

- Notice of Intent or Pre-Application request- Collection, scoring and ranking of applications- Development of Intended Use Plans and

Hosting of Public Hearings or Workshops - Writing the Budgets and Grant Application- Issuing of Binding Commitments and loans- Continuing project management and sub -

recipient monitoring

DWSRF Grant Basics

- State must match 20% of the Federal grant- Request match through State Budget process- Grant has five elements

- Loan portion- 2% Technical Assistance for Small Systems- 4% Program Administration- 10% Program Management (Additional 1:1 match

required)- 15% Capacity Development

Loan Portion

- Starting July 2013 DNREC will manage loan portfolio, loan disbursements and repayments- The DWSRF Administrator, Heather Warren

- Develops customer/community relationships- Assesses the needs of the customer/community- Orchestrates the loan process- Hosts public hearings and workshops

2% Technical Assistance

- This set aside is used to fund training programs for the water systems operators

- Currently funds two technical assistance providers- Del-Tech Environmental Training Center

- to train and certify Delaware’s Water Operators- Delaware Rural Water Association

- provide on-site technical assistance to over 65 small water systems

4% Program Administration

- This set aside is geared to paying the cost of running the Loan program

- In the past it paid legal expenses and other costs associated with loans and outreach

- The current grant 4% is consumed solely by DNREC salaries

10% Program Management

- Supplement the PWSS program activities; - enforcement of SDWA regulations- data management- laboratory certification- compliance assistance- operator certification program

- Underground Injection Control Program (DNREC) - This regulatory program controls real and potential sources of

ground water contamination.- Requires a dollar for dollar “soft “ match

15% Capacity Development

- Capacity Development & DWSRF loan recipients- Assists drinking water systems and DWSRF applicants in

building technical, financial, and managerial capacity.

- Source Water Protection (DNREC)- Delaware Wellhead Protection Program (WHPP) - Source Water Assessment and Protection Program

(SWAPP)

Project Management

- Engineering Reviews, Project Management and Davis Bacon Wage Certification are handled by our Public Health Engineering Section, led by Doug Lodge

- The Public Water System Supervision (PWSS), Capacity Development and Operator Certification programs are managed by the Office of Drinking Water (ODW), led by Ed Hallock

Projected Demand

Delaware’s 20-year demand is: • Large Community Water Systems - $73.5M• Small Community Water Systems - $291.6M• Non-profit non-community systems - $3.7M• Total over the next 20 years = $368.8 million

• According to the Fifth Report to Congress of the Drinking Water Infrastructure Needs Survey and Assessment released in April 2013.

Drinking Water Systems

• DPH/ODW regulates approximately 485 public water systems

• 214 community water systems• 187 transient non-community systems• 84 non-transient non-community water

systems

System Compliance

• Delaware is more stringent than the EPA in several areas; – Established standards for MTBE and Nickel– Our MCL for PCE, TCE and vinyl chloride is lower

than EPA’s standards. – In 2012 16.8% of Delawareans served drinking

water by a community water system were exposed to a health-related contaminant above the MCL and 17.3% of the water systems had at least one violation in 2012.

CPCNs• The Public Service Commission issues

Certificate of Public Convenience and Necessity (CPCNs)

• ODW provides comment on all new applications for a CPCN

Drinking Water Supply and Source Water Protection

• ODW works closely with DNREC on source water protection activities

- Cooperate regularly on monitoring events when contamination is either suspected or has been identified

• DWSRF has provided over $5M to DNREC Source Water Protection activities

DWSRF vs. PWSS

• Congress established the DWSRF in the 1996 Amendments – Created set asides because drinking water

programs were underfunded – 10% set aside designed to supplement the PWSS

grant and ensure states could maintain a drinking water program• 10% set aside 1:1 match requirement allows states to

use all of the 1993 PWSS match and any overmatch from the current year PWSS grant

Total $$To date, the program has closed over

$161M in loans.

Borrowers

• 30 municipalities• 1 private – Wilkerson Water Co

• 3 investor-owned – Artesian– Tidewater– United

Ineligible Projects

Per 40 CFR Parts 9 and 35• Dams• Reservoirs• Water Rights• Future Population Growth• Equipment that’s useful life will not last the

life of the loan

Smallest Loan

1/16/2001Closed a $34,321 loan with Granada Mobile Home Park for main upgrades and nitrate removal

Largest Loan

2/20/09Closed a $18,975,000 loan with the City of Wilmington for new membranes at the Brandywine Treatment Plant

DWSRF LoansBINDING

COMMITMENTLOAN

CLOSING SITE NAME ODW PROJECT TOTAL DWSRF LOANS

WMA STATE

GRANTS

3/1/2000 6/23/2000 Frankford $1,640,000 $820,000 $820,0003/6/2000 10/20/2000 Felton $370,000 $370,000

1/16/2001 1/16/2001 Granada MHP $34,321 $34,321

11/16/2000 1/31/2001 Fenwick Island - Artesian Water Co. $3,151,628 $3,151,628

11/16/2000 1/31/2001 South Bethany - Artesian Water Co. $1,155,516 $1,155,516 12/6/2000 3/29/2001 Blades $767,300 $401,300 $366,0005/31/2001 1/31/2002 Broadkiln Beach $270,800 $270,800

05/25/01 08/31/01 McNicol Place - Tidewater Utilities $138,484 $138,484

05/25/01 08/31/01 Bay Colony - Tidewater Utilities $190,992 $190,992

05/25/01 08/31/01 Garrisons Lake - Tidewater Utilities $239,282 $239,282

05/25/01 08/31/01 Voshells Cove - Tidewater Utilities $214,890 $214,890 05/23/01 06/08/01 Milton $643,370 $643,370 7/9/2002 8/23/2002 Wilmington $11,000,000 $11,000,000

7/24/2002 10/30/2002 Greenwood $932,000 $932,000

11/26/2002 1/31/2003 Broadkiln Beach - Supplemental $140,000 $140,000

12/11/2002 2/21/2003 Keenwicks - Artesian Water Co. $1,822,062 $1,822,062

12/11/2002 2/21/2003 Route 54 Phase II - Artesian Water Co. $1,078,223 $1,078,223

2/24/2003 4/14/2003 Bear Trap - Tidewater Utilities $840,000 $840,000

DWSRF Loans (pg 2)

2/24/2003 4/14/2003 Jonathon's Landing - Tidewater Utilities $640,000 $640,000

2/24/2003 4/14/2003 Rehoboth/Lewes Tank - Tidewater Utilities $840,000 $840,000

2/24/2003 4/14/2003 Forest Grove - Tidewater Utilities* $0 $0

2/24/2003 4/14/2003 West Bay Park/Woods …- Tidewater U. $160,218 $160,218

2/24/2003 4/14/2003 Woodfield Tank - Tidewater Utilities $596,750 $596,750 2/21/2003 4/14/2003 Dagsboro $1,839,519 $839,519 $1,000,0006/10/2003 11/12/2003 Millsboro $893,200 $893,200 7/30/2003 11/7/2003 Midvale - Artesian* $0 $0 7/30/2003 11/7/2003 Wilmington Manor - Artesian* $0 $0 7/30/2003 11/7/2003 North Jane Way - Artesian* $0 $0 7/30/2003 11/7/2003 Olga Avenue - Artesian $580,000 $580,000 7/30/2003 11/7/2003 Spring Lake - Artesian $339,545 $339,545 7/30/2003 11/7/2003 Swanwyck Estates - Artesian $750,000 $750,000 7/30/2003 11/7/2003 Kentucky Avenue - Artesian $446,950 $446,950

12/12/2003 3/24/2004Jon./Wood./Reho.-Lewes Tidewater

Supplemental $882,535 $882,535 10/20/2003 4/19/2004 Smyrna - Gardenside Proj. $1,750,000 $1,750,000

12/1/2003 2/10/2004 Laurel $1,083,300 $1,083,300 6/16/2004 6/15/2005 Town of Blades $114,000 $114,000 1/5/2004 5/13/2004 Frankford Supplemental $275,000 $275,000

1/20/2005 6/30/2005 Georgetown $556,500 $556,500

DWSRF Loans (pg 3)

BC SignedLOAN

CLOSING Project Name 0 0

WMA STATE

GRANTS8/18/2004 1/20/2005 Lewes $1,276,000 $1,276,000

4/6/05 8/10/2005 Lewes 4 street upgrade 716,000 716,000 4/14/05 7/25/2005 Angola District-TUI 1,680,000 1,680,000 4/14/05 7/25/2005 Chimney Hill-TUI 320,000 320,000 4/7/05 8/10/2005 Dagsboro Supplemental 1,007,776 560,481 447,295

6/27/05 9/16/2005 Wilmington Cool Springs Completion 13,700,000 13,700,000

2/14/06 5/16/2006 Smyrna elevated tank project from 02 PPL 1,761,000 1,761,000 7/20/05 24-Jul-06 Clayton 850,000 850,000 2/28/06 29-Jun-06 Lewes 0 0 3/27/06 1-Jun-06 TUI West Bay park 993,000 993,000

Declined by CCSPI 10/06 TUI Angola/Lochwood interconnection

11/13/2006 12/22/2006 City of Wilmington-Porter Plant* 3,795,000 3,795,000 10/27/2006 4/19/2007 City of Rehoboth 5,000,000 5,000,000

3/30/2007 6/22/2007 City of Wilmington-main replacement 3,185,000 3,185,000 10/1/2007 12/21/2007 Town of Millsboro 1,644,000 1,644,000 10/5/2007 12/21/2007 Chimney Hill Supplemental-TUI 140,000 140,000 10/5/2007 12/21/2007 Oak Meadows-TUI 940,000 940,000

12/12/2008 2/20/2009 City of Wilmington-Brandywine 18,975,000 18,975,000

12/12/2008 2/20/2009 City of Wilmington-main replacement 5,000,000 5,000,000

DWSRF Loans (pg 4)12/15/2008 6/5/2009 Town of Laurel 2,512,000 2,512,000 6/11/2009 6/25/2009 ARRA City of Wilmington 8,900,000 8,900,000 6/9/2009 6/25/2009 ARRA Town of Greenwood 528,230 528,230 6/9/2009 6/25/2009 ARRA Town of Smyrna 3,768,000 3,768,000

6/17/2009 6/25/2009 ARRA Town of Millsboro 2,602,500 2,602,500 6/16/2009 6/25/2009 ARRA City of Seaford 2,729,408 2,729,408 6/11/2009 6/25/2009 ARRA Town of Bridgeville 250,000 250,000 01/27/10 02/16/10 TUI General's Greene 1,114,800 1,114,800 02/24/10 03/24/10 City of Dover 2,404,017 2,404,017 02/28/10 06/11/10 Town of Delmar 400,206 400,206 02/03/10 02/12/10 Artesian 3,959,110 3,959,110

01/26/11 03/22/11 TUI Southern Shores 1,610,000 1,610,000 01/26/11 03/22/11 TUI Angola by the Bay 2,785,740 2,785,740 01/14/11 03/29/11 Town of Laurel 559,900 559,900 01/28/11 04/29/11 Town of Middletown 2,186,000 2,186,000

01/26/11 05/25/11 City of Wilmington mains phase 1 2,000,000 2,000,000

01/26/11 05/25/11 City of Wilmington misc plant upgrades phase 1 2,500,000 2,500,000 01/31/11 07/15/11 Arteisan 3,606,720 3,606,720 07/12/11 08/12/11 Georgetown mains 2,199,410 2,199,410 02/13/12 03/15/12 City of Milford 45,000 45,000 02/13/12 03/15/12 City of Milford 4,000,000 4.000.000 01/24/12 03/15/12 Town of Selbyville 1,400,000 1,400,000 01/27/12 03/23/12 Town of Georgetown 1,595,590 1,595,590 03/13/12 03/30/12 Town of Middletown 825,000 825,000 01/31/12 04/13/12 Town of Blades 375,000 375,000

DWSRF Loans (pg 5)02/01/12 05/11/12 City of Wilmington-mains phase 2 2,000,000 2,000,000

2/1/112 05/11/12 City of Wilmington-misc plant upgrades phase 2 2,500,000 2,000,000 05/02/12 06/08/12 Town of Georgetown 3,300,000 3,300,000 02/17/12 06/08/12 Town of Delmar 375,800 375,800 02/22/12 04/20/12 Town of Greenwood 232,500 232,500 10/26/12 12/11/12 Bethany Beach 2,600,000 2,600,000 11/28/12 02/20/13 Laurel--transite replacement 1,116,675 1,116,675 10/31/12 02/15/13 Smyrna--Commerce Sts 1,156,275 1,156,275 02/23/13 05/10/13 Delmar--Grove St Phase 1 616,890 616,890

45 44 TOTAL $166,113,932 $141,386,907 $2,633,295 WMA Grants

6/13/2005 6/24/2005 Town of Frederica $65,000 $65,000

7/15/2005 7/29/2005 Slaughter Neck Community Action Agency $15,000 $15,0005/12/2006 5/15/2006 Town of Frederica $49,000 $49,0005/16/2006 5/17/2006 Town of Greenwood $1,151,000 $1,151,000

8/1/2006 Town of Frankford $500,000 $500,000 10/27/2006 Town of Laurel $1,195,000 $1,195,000

4/5/2007 4/5/2007 Country Center Girl Scout Camp $16,174 $16,174 Town of Frankford $850,000 $850,000 WMA Loans

5/23/2006 7/24/2006 City of Delaware City $297,300 12/5/2006 12/22/2006 Broadkiln Beach $175,206

12/13/2006 12/22/2006 City of Wilmington-Porter Plant* $0 $1,246,499 $4,313,680

* Porter Plant funds moved from WMA to DWSRF to allow

Frankford funding 8/09.

Questions