Drinking Water State Revolving Fund (SRF) Loan Program – Emergency Rules

What's Happening

We adopted an emergency rule to make changes to Chapter 246-296 WAC to implement RCW 70A.125.160, the Federal Safe Drinking Water Act, and to conform to the federal Bipartisan Infrastructure Law that was passed in November 2021. The CR-103E Rule-making order, WSR 23-18-044, was filed and effective August 30, 2023.  

The emergency adoption allows us to forgive a portion or all of the SRF loan amount, update the definition of a disadvantaged community, remove water system plan requirements for those systems that are seeking a loan to address LSL identification and replacement, and remove obsolete priority rating and ranking criteria to allow more water systems to qualify for loans in conformance with EPA’s direction to implement BIL requirements. 

• Effective date of August 30, 2023 
• Expiration date of December 27, 2023 

Why? 

The SRF Loan Program must implement the requirements of the federal Bipartisan Infrastructure Law (BIL) enacted on November 15, 2021 under Public Law 117-58, which includes new criteria for public water systems to obtain a Drinking Water State Revolving Fund (SRF) loan. BIL requires that states provide loan subsidization, up to one hundred percent principal forgiveness, to qualifying disadvantaged and non-disadvantaged communities. BIL also, dedicated $15 billion nationwide in funding to the SRF for lead service line (LSL) identification and replacement loans, 49% of which must be provided as forgivable loans to qualifying disadvantaged communities. In order to award LSL identification and replacement funding in accordance with BIL requirements, EPA recommends that each state evaluate and revise their definition of a disadvantaged community and furthermore, revise the SRF priority point system for project rating and ranking commensurate with need. 

Rulemaking Files

Contacts

Nina Helpling, Rules Coordinator

Chris Pettit, Drinking Water State Revolving Fund Manager