Tucker, Franzini

1. Kelly Tucker
U.S. Environmental Protection Agency
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Willow tree planted in a community garden in Camden, NJ
The Clean Water State Revolving Fund:
Flexible Funding for the Urban Tree Canopy
Jessica Franzini
NJ Tree Foundation

2. Overview
• Introduction to the Clean Water State
Revolving Fund (CWSRF)
• Program eligibilities and funding
flexibility
• SRF-UCF Partnership
• Example Project: Camden SMART, of
which the NJ Tree Foundation is a
member
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3. What is the CWSRF?
20% State Match
Federal Grant
CWSRF Loans
Loan Repayments

4. $5.8 Billion in Financing During Fiscal Year 2015

5. • The CWSRF program provides low-cost financing for a wide
range of water quality infrastructure projects including:
• Publicly owned treatment works
• Nonpoint source projects
• Implementation of a National Estuary Program comprehensive
conservation and management plan
• Decentralized systems
• Water conservation
• Watershed pilot projects
• Energy efficiency
• Water reuse projects
• Security measures at POTWs
• Technical assistance
• Stormwater projects
CWSRF Eligibilities
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6. The Green Project Reserve
• The American Recovery and
Reinvestment Act of 2009 and
subsequent annual appropriations
require all CWSRF programs to use a
portion of their federal grant for
projects that address green
infrastructure, water and energy
efficiency, or other environmentally
innovative activities.
• Through September of 2016 CWSRF
programs have provided over $950
million for green infrastructure.

7. Clean Water State Revolving Fund
Green Infrastructure Policy
Green Infrastructure Policy for the CWSRF: (January 2016)
Encourages financing of green infrastructure projects nationally
through actions including prioritizing projects, marketing the
program’s eligibilities, and providing financial incentives such as
additional subsidization.
Financing Green Infrastructure, A Best Practices Guide for the
CWSRF: (December 2015) Illustrates incentives states can use to
encourage financing of green infrastructure and foster sustainability
within their programs.
• Co-funding - with other federal or state programs
• Sponsorship – POTW project paired with GI project
• Conduit Lending - pass-through and linked deposit loans
• Guarantees
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8. Serious Savings
Cost Savings of CWSRF Below-Market Interest Rates
CWSRF Rate
Market
Rate
0.0% 1.0% 2.0% 3.0% 4.0%
5.0% 38% 31% 24% 16% 8%
6.0% 43% 36% 30% 23% 16%
When the market rate is 6.0%, a 3.0% CWSRF loan to a $100,000 project is equal in
savings to a $23,000 grant and a $77,000 loan at market rates.

9. Flexible Repayment Options
• Identifying a repayment source can be challenging for stormwater projects.
• CWSRF assistance recipients have the flexibility to access income from
many sources as repayment, including:
• Usage based wastewater bill charges
• Special assessments
• Home owner association assessments
• Stormwater district fees
• Farming revenues
• Non-profit membership fees
• Home owner fees
• Landfill fees
• For profit company revenue
• Property tax revenue

10. Additional Subsidization
• Under certain conditions, CWSRF programs may provide up to a fixed
percentage of their capitalization grants as additional subsidization in the
form of principal forgiveness, negative interest rate loans, or grants.
• The annual CWSRF appropriation must be greater than $1 billion.
• The recipient must be a municipality or inter-municipal, interstate, or state
agency.
• Additional subsidization may only be used to help address affordability
issues or to implement a process, material, technique, or technology that
addresses water or energy efficiency goals; mitigates stormwater runoff; or
encourages sustainable project planning, design, and construction.
• Over $170 million of additional subsidization has been provided to GPR
projects

11. Loan Sponsorship
Project POTW Project Only
POTW Project + NPS Project
(Sponsorship)
Project
Size
$1,000,000 $1,200,000
Interest
Rate
2.98% 1.06%
Repayment
Amount
$33,366
(2x / year)
$33,366
(2x / year)
• POTWs can sponsor a NPS project in their community in exchange for a
reduced interest rate on their CWSRF loan
• No financial impact to the POTW
• Projects without an easily identifiable repayment source get implemented
• States need to judiciously use this tool because it does impact the buying
power of the CWSRF
Interest rate is set so that repayments
remain the same

12. CWSRF –Urban and Community Forestry Partnership
• Arizona: UCF staff are publicizing the program and serving as technical
experts in helping potential SRF clients develop projects. UCF and SRF
staff are looking out for place based projects to partner around.
• New Jersey: UCF staff attended two meetings with water folks since
connecting just a few short months ago. Touching base again shortly
after Partners Conference.
• Georgia & Oklahoma: Conversations have started between state level
UCF and SRF personnel.

13. Introduction to NJ Tree Foundation
Trees planted along N. 32nd Street in Camden

14. Introduction to Camden, NJ
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Flooding along Delaware Avenue Photo of Sycamore Street in Camden before tree planting

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16. Projects Made Possible in Camden, NJ
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Top: Rain garden at Octavious Catto School
Right: Stormwater planer and porous pavement on Cramer Street

17. Projects Made Possible in Camden, NJ
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Waterfront South Rain Gardens
from abandoned gas station to rain
garden park

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19. Projects Made Possible in Camden, NJ
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Phoenix Park
from abandoned factory to
waterfront park

20. Projects Made Possible in Camden, NJ
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Cisterns and Rain Barrels
installed at residents’ homes,
in community gardens, at
schools, and at churches
Both photos: Respond, Inc.

21. Projects Made Possible in Camden, NJ
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Baldwin’s Run
* Day-lighting of a stream
* Installation of a boardwalk
* View of the Delaware River

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Projects Made Possible in
Camden, NJ

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Learn more at www.camdensmart.com
and www.njtreefoundation.org

24. http://www.epa.gov/cwsrf
Jessica Franzini
jfranzini@njtreefoundation.org
Kelly Tucker
tucker.kelly@epa.gov