Georgia Communities Receive Infrastructure Loans Totaling $29 Million

March 18, 2014

ATLANTA - The cities of Danielsville, Griffin, Hinesville, LaFayette, Lavonia, Leesburg, Tybee Island, Walnut Grove, and The Albany Water, Gas & Light Commission were awarded financing totaling $29,096,000 for water and wastewater infrastructure improvements by the Georgia Environmental Finance Authority (GEFA) executive committee today. One of the loans includes water conservation activities and qualifies for a reduced interest rate.

Approved Loans:

  • Danielsville was awarded a $599,900 Georgia Fund loan.
  • Griffin was awarded an $11,100,000 Georgia Fund loan.
  • Hinesville was awarded a $10,000,000 Georgia Fund loan.
  • LaFayette was awarded a $1,600,000 Georgia Fund loan.
  • Lavonia awarded a $465,000 Drinking Water State Revolving Fund (DWSRF) loan.
  • Leesburg was awarded a $786,100 DWSRF loan.
  • Tybee Island was awarded a $1,695,000 Georgia Fund loan.
  • Walnut Grove awarded an $850,000 Georgia Fund loan.
  • The Albany Water, Gas & Light Commission was awarded a $2,000,000 DWSRF loan.

Quotes:

“The water, water supply and wastewater infrastructure programs administered by GEFA assist local governments with improving their environmental infrastructure. Financing water, water supply, sewer and solid waste projects encourages economic growth and the stewardship of our environment.” – GEFA Executive Director Kevin Clark. 

“I’d like to express my appreciation to Gov. Deal and to the members of the General Assembly for their support. The state’s commitment to helping cities and counties finance infrastructure projects contributes greatly to improving Georgia’s water resources.” – GEFA Executive Director Kevin Clark. 

“GEFA financing for water, water supply and wastewater infrastructure helps communities in all areas of the state. The projects that we agreed to finance today demonstrate that GEFA is investing in communities that are willing to invest in themselves.” – Chairman of the GEFA Board of Directors and Mayor of Dahlonega Gary McCullough.

Project and Loan Details:

City of Danielsville

The $599,900 Georgia Fund loan will finance relocating a 100,000 gallon elevated storage tank from Franklin County to Danielsville, and the necessary appurtenances to complete the project. The city will pay 2.40 percent on the 20-year loan. The total project cost is $599,900 with GEFA providing the entire amount.

City of Griffin

The $11,100,000 Georgia Fund loan will finance upgrading and expanding the city’s Potato Creek Water Pollution Control Plant from 2 million gallons per day (MGD) to 3 MGD. The project will also replace the intake pumps at the Flint River Pump Station with efficient pumps and a supervisory control and data acquisition (SCADA) system. The city will pay 1.40 percent on the 20-year loan. Georgia Fund policy reduces the current interest rate to communities that have earned the WaterFirst designation from the Georgia Department of Community Affairs, which recognizes communities for excellence in water stewardship. Griffin was awarded this designation in 2007. The total project cost is $11,100,000 with GEFA providing the entire amount.

City of Hinesville

The $10,000,000 Georgia Fund loan will finance upgrades and modifications to the city’s Hinesville-Fort Stewart Wastewater Treatment Plant to meet new effluent permit limits and water reuse standards. The city will pay 1.40 percent on the 20-year loan. Georgia Fund policy reduces the current interest rate to communities that have earned the WaterFirst designation from the Georgia Department of Community Affairs, which recognizes communities for excellence in water stewardship. Hinesville was awarded this designation in 2009.

City of LaFayette

The  $1,600,000 Georgia Fund loan will finance replacing a deteriorated 1 million gallon welded steel water tank with a new 1.5 million gallon pre-stressed concrete water tank on the same site, and upgrade the related feeder main, distribution mains, control valves, and supervisory control and data acquisition (SCADA) controls. The city will pay 2.40 percent on the 20-year loan. The total project cost is $1,900,000 with GEFA providing $1,600,000, and the Appalachian Regional Commission (ARC) providing a $300,000 grant.

City of Lavonia

The $465,000 DWSRF loan will finance replacing 1,103 existing manual read water meters with radio read meters, and converting 1,555 meters into automated water meters by installing meter transmitting units (MXU). The city will pay 0.50 percent interest on the 10-year loan, which includes principal forgiveness of up to $139,500, if all loan funds are drawn. The total project cost is $465,000 with GEFA providing the entire amount.

City of Leesburg

The $786,100 DWSRF loan will finance constructing a 300,000 gallon elevated water storage tank. The city will pay 0.50 percent interest on the five-year loan, which includes principal forgiveness of up to $181,250, if all loan funds are drawn. The total project cost is $786,100 with GEFA providing the entire amount.

City of Tybee Island

The $1,695,000 Georgia Fund loan will finance replacing 11,100 linear feet of 6-inch and 8-inch water mains along Jones Avenue and Highway 80, and 6,300 linear feet of 12-inch force main long Jones Avenue, Solomon Avenue and Polk Street. The city will pay 1.40 percent on the 20-year loan. Georgia Fund policy reduces the current interest rate to communities that have earned the WaterFirst designation from the Georgia Department of Community Affairs, which recognizes communities for excellence in water stewardship. Tybee Island was awarded this designation in 2005. The total project cost is $1,695,000 with GEFA providing the entire amount.

City of Walnut Grove

The $850,000 Georgia Fund loan will finance improvements to the city’s wastewater treatment and collection system. The city will pay 0.62 percent on the five-year loan. The total project cost is $2,038,000 with GEFA providing $850,000, and Walnut Grove contributing $169,000 of its own funds and $1,019,000 in SPLOST funds.

The Albany Water, Gas & Light Commission

The $2,000,000 DWSRF loan will finance installing a water storage tank and 1,845 linear feet of water main to link the proposed water tank to the existing water system. The Albany Water, Gas & Light Commission will pay 1.40 percent interest on the 20-year loan. The total project cost is $2,000,000 with GEFA providing the entire amount.

Additional Information:

The DWSRF, a federal loan program administered by GEFA, provides communities throughout Georgia with low-interest loans to fund water infrastructure projects that deliver safe, affordable drinking water. Eligible projects include a wide variety of public health or compliance related water supply projects. These projects conserve and improve water resources, and facilitate economic growth and development. Low-interest loans from this program are available up to $25 million.

The Georgia Fund, a state-funded program administered by GEFA, provides communities with low-interest loans for water, wastewater, water conservation and solid waste infrastructure projects. Eligible projects include water and sewer lines, treatment plants, pumping stations, wells, water storage tanks and water meters. These projects conserve and improve water resources, and facilitate economic growth and development. Low-interest loans from this program are available up to $10 million.