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State Revolving Fund Programs: Funding Climate Change Resiliency & Mitigation Projects

State Revolving Fund Programs: Funding Climate Change Resiliency & Mitigation Projects. Andrew Bielanski U.S. Environmental Protection Agency September 18, 2014. Presentation Goals & Focus. Briefly Explain State Revolving Fund Programs (SRFs)

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State Revolving Fund Programs: Funding Climate Change Resiliency & Mitigation Projects

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  1. State Revolving Fund Programs: Funding Climate Change Resiliency & Mitigation Projects Andrew Bielanski U.S. Environmental Protection Agency September 18, 2014

  2. Presentation Goals & Focus • Briefly Explain State Revolving Fund Programs (SRFs) • Demonstrate How SRFs Can and Have Been Funding Climate Change Resiliency (also called Adaptation) & Mitigation Projects • Various Useful Tools & Contacts

  3. What Are The SRF Programs? • Two Types: Clean Water State Revolving Fund (CWSRF) and Drinking Water State Revolving Fund (Fund) • When created: • CWSRF established in the 1987 Clean Water Act Amendments. • DWSRF established in the 1996 Safe Drinking Act Amendments. • All 50 States and Puerto Rico have both a CWSRF and DWSRF program. • Both CWSRF and DWSRF are directed to have fund balances available to perpetuity, and are held in “trust” (that is, cannot be used for non-specified projects and purposes).

  4. How Do SRF Programs Work? Federal Capitalization Grants Provided through EPA SRFs Provide Matching Funds (20% of Grant) Repayments (Principal + Interest) Increase Size of Fund SRFs Can Increase Available Funds by Leveraging and Issuing Bonds

  5. Types of Climate Change Projects that SRFs Can/Do Fund • Resiliency (Adaptation) Projects and Efforts. • Mitigation Projects and Efforts.

  6. What are Resiliency Projects and Efforts? • Projects that focus on addressing threats from direct or indirect results of Extreme Weather Occurrences. Projects aim to reduce risks and consequencesfrom (specific to Indiana): • Heavy Precipitation and Flooding • Violent Winds & Tornados • Ice Storms • Efforts that promote development and funding of such projects. • Legislative efforts • Funding targets and focuses

  7. What Do Resiliency Projects Include or Involve? • Aim to prevent disruption of operation in the event of extreme weather. • Aim to maintain the integrity of water infrastructure by reducing risks associated with extreme weather. • Efforts involving planning and that analyze threats, vulnerabilities, and consequences.

  8. Resiliency Project Examples • Physical hardening of equipment and structures. • Adding barriers to prevent flooding (levies or dykes). • Utilizing green infrastructure to reduce flooding risk. • Installation of back-up power generators. • Adding redundant or alternate systems. • Planning activities such as Vulnerability Assessments, Asset Management plans, and Emergency Response/Recovery plans.

  9. Example of a Need for a Resiliency Project – Columbus, Indiana Wastewater Treatment Plant (May 2008)

  10. More Pictures of Flooded Columbus, Indiana Old Wastewater Treatment Plant (May 2008)

  11. And a Few More Pictures (May 2008)

  12. Solution to Columbus, Indiana Problem • New $56 million wastewater treatment plant in a less flood-prone location. • Included water efficiency, energy efficiency, and green infrastructure elements. • Received SRF funding from Indiana Finance Authority to finance project. • Received EPA SRF Award for design and incorporation of green elements. • Old wastewater treatment plant abandoned and demolished.

  13. Efforts that Promote Development & SRF Funding of Resiliency Projects • Legislative efforts: • Bioterrorism Act of 2002 – focused on water security for drinking water systems. • Recovery (Stimulus) Act of 2009 – Federal stimulus legislation that created the Green Project Reserve (GPR) which encouraged: • Green Infrastructure • Water Efficiency/Conservation • Energy Efficiency/Conservation • Environmentally Innovated Projects • SRF funding has targeted or focused on efforts via incentives or priority ranking.

  14. Does Anyone Remember the Bioterrorism Act of 2002? • Enacted into Law following the events of September 11, 2001. • Required all drinking water systems serving populations of 3,300 or more to complete and submit Vulnerability Assessments to EPA. • Required the same systems to develop Emergency Response Plans based on Vulnerability Assessments. • No similar law impacting wastewater treatment plants. • Inventory of all assets from vulnerability assessments could also be used to develop asset management plans.

  15. What are Mitigation Projects and Efforts? • Projects that focus on reducing Green House Gases: • Reduce energy consumption. • Alternate forms of electrical power generation at wastewater and drinking water facilities. • Efforts that promote development and funding of such projects. • Legislative efforts • Funding targets and focuses

  16. For Mitigation Projects It’s All About Reducing Energy and Resulting Gases • Reducing energy consumption via: • Energy Efficiency/Conservation projects. • Water Efficiency/Conservation projects (less water to treat, less energy required). • Green Infrastructure (natural systems require less energy input). • Alternate forms of Electrical Power Generation: • Solar Power • Wind Power • Hydropower • Biogas – Combined Heat and Power (at wastewater treatment plants)

  17. Mitigation Project Examples • High motors and variable frequency drives. • High efficiency blowers and diffusers. • More energy efficient processes. • Improved lighting and controls. • Replace leaky distribution (drinking water) and collection system (wastewater) piping to reduce amount of water that needs to be treated, and the energy needed to do so. • Add solar, wind, or hydro generating sources where applicable. • Biogas – Combined Heat and Power projects (wastewater only) • Green Infrastructure to address stormwater (example, infiltration areas).

  18. Efforts that Promote Development & SRF Funding of Mitigation Projects • Legislative efforts – the Recovery (Stimulus) Act of 2009 which was federal stimulus legislation that created the Green Project Reserve (GPR) which encouraged: • Green Infrastructure • Water Efficiency/Conservation • Energy Efficiency/Conservation • Environmentally Innovated Projects • SRF funding has targeted or focused on efforts via incentives or priority ranking. • Electrical rates going up!

  19. Various Useful Tools & Contacts • SRF financing tools and contacts – focus on project eligibilities and funding. • Other tools and contacts – focus on project components or elements.

  20. SRF Financing Tools & Contacts • Federal: • Factsheets & Guidance – Posted on SRF websites • CWSRF at http://water.epa.gov/grants_funding/cwsrf/cwsrf_index.cfm • DWSRF at http://water.epa.gov/grants_funding/dwsrf/ • Financing Alternative Comparison Tool (FACT) http://water.epa.gov/grants_funding/cwsrf/fact.cfm • Regional EPA contacts http://water.epa.gov/grants_funding/cwsrf/contacts.cfm • State: • Indiana Finance Authority website – http://in.gov/ifa/srf/Excellent website! • Contacts found at http://in.gov/ifa/srf/2378.htm • Have an excellent newsletter called “The Watershed.”

  21. Key SRF Resiliency Guidance Issued Following Events of 9/11 Use of the CWSRF to Implement Security Measures at Publicly-Owned Wastewater Treatment Works (2003) Using the DWSRF to Implement Security Measures at Public Water Systems (2001)

  22. Other Tools & Contacts • Resiliency Tools & Contacts: • EPA’s Water Security website has many useful tools & can be found at http://water.epa.gov/infrastructure/watersecurity/ • Climate Resilience Evaluation & Awareness Tool (CREAT) • Community Based Water Resiliency Tool • Factsheet on back-up power generators • And more! • InWARN – Indiana’s water infrastructure emergency response network can be found at http://www.inwarn.org/ • EPA’s Flood Recovery & Resilience Tool – Smart Growth perspective to flood resilience involving a Vermont case study can be found at http://www.epa.gov/smartgrowth/sgia_communities.htm#rec1 (scroll all the way down the page) • Mitigation Tools & Contacts (focus on energy): • EPA’s Energy Efficiency for Water and Wastewater Utilities at http://water.epa.gov/infrastructure/sustain/energyefficiency.cfm • Website includes webinar slides on Energy Self-Assessment Tools & Energy Audits for Water & Wastewater Utilities.

  23. A Few Parting Words… • Special thanks to Jason Chopp for providing the Columbus, Indiana news article and flood photos! • Remember! Better design – Better projects – SRF funded!

  24. My Contact Information • Andy Bielanski, Environmental Engineer, EPA Region 5 • Phone: (312) 886-0208 • Fax: (312) 582-5837 • E-mail: bielanski.andrew@epa.gov

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