Missouri American Water has been named a recipient of a loan from the Water Infrastructure Finance and Innovation Act project for two projects.
The Water Infrastructure Finance and Innovation Act of 2014 (WIFIA) established the WIFIA program, a federal credit program administered by EPA for eligible water and wastewater infrastructure projects. The WIFIA program accelerates investment in our nations water infrastructure by providing long-term, low-cost supplemental loans for regionally and nationally significant projects.
These low-interest loans are a great mechanism to allow us to start and complete critical projects with better financing than previously available, all to benefit our customers, said Cheryl Norton, President of Missouri American Water.
In St. Louis County, the St. Louis Area Water Main Replacement and Lead Abatement Program will include the replacement of approximately 100 miles of main and adjacent customer-owned lead service lines. These replacements will directly provide new pipes and service lines to more than 20,000 individuals and hundreds of businesses, schools, hospitals, and other public buildings. The purpose of the program is to proactively replace aged water mains to reduce main breaks and replace adjacent customer-owned lead service lines to eliminate the risk of lead leaching into the drinking water. The exact loan amount for the project was submitted at $84 million, though the final amount is still to be determined.
In Joplin, the Joplin Water Supply Reservoir project will construct a new dam, reservoir, and pumping facilities to provide a reliable water supply source for the Joplin area. The proposed dam will create a 1,000 to 1,500 acre water supply reservoir that will hold approximately 12 billion gallons of water. The purpose of the project is to address the critical and growing water supply shortage for the Joplin region in southwest Missouri and relieve regional water supply challenges by alleviating pressure on the Ozark Aquifer. The exact loan amount for the project was submitted at $103 million, though the final amount is still to be determined.
We are excited to be selected to access WIFIA funds for these projects, because these loans will spur investment in projects that are much needed across Missouri, Norton said. These projects will ensure continued access to clean, safe, award-winning water for our customers in St. Louis County and Joplin. They will also provide for jobs and investment in these communities.
The WIFIA program has invited 39 projects in 16 states and Washington, D.C. to apply for WIFIA loans. Together, the selected borrowers will receive WIFIA loans totaling up to $5 billion to help finance over $10 billion in water infrastructure investments and create up to 155,000 jobs. These loans will allow large and small communities across the country to implement projects to address two national water priorities “ providing for clean and safe drinking water including reducing exposure to lead and other contaminants and addressing aging water infrastructure.
Missouri American Water
Missouri American Water, a subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water and/or wastewater services to approximately 1.5 million people.
With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly traded water and wastewater utility company. The company employs more than 6,900 dedicated professionals who provide regulated and market-based drinking water, wastewater and other related services to an estimated 15 million people in 46 states and Ontario, Canada. American Water provides safe, clean, affordable and reliable water services to our customers to make sure we keep their lives flowing. For more information, visit amwater.com and follow American Water on Twitter, Facebook and LinkedIn.
Missouri American Water
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