Shawnee Municipal Authority Receives $4,250,000 Wastewater Infrastructure Loan with $1,000,000 in Principal Forgiveness from the OWRB
OKLAHOMA CITY – The Shawnee Municipal Authority (Authority) received approval for a $4,250,000 loan with $1,000,000 in principal forgiveness on Tuesday from the Oklahoma Water Resources Board (OWRB) to improve the Authority’s wastewater infrastructure. Construction of upgrades and improvements to the wastewater system will be financed by the Oklahoma Clean Water State Revolving Fund (CWSRF).
The Authority owns and operates a wastewater treatment plant and sanitary sewer collection system. The proposed project will replace and rehabilitate 16,705 linear feet of aging sanitary sewer lines using pipe bursting and trenching methods, along with replacing 34 manholes and constructing 10 new manholes. These improvements will strengthen the reliability of the wastewater collection system, reduce the risk of sanitary sewer overflows, and help protect public health and the environment for residents and businesses in and near the Authority.
The estimated construction cost is $4,236,020.40. The project will be funded through a CWSRF loan of $4,250,000.00, including $1,000,000.00 in loan forgiveness, and local funds if additional costs are incurred.
Lori Johnson, chief of the OWRB’s Financial Assistance Division, calculated that the Authority’s customers will save an estimated $1,295,600 over the life of the 30-year loan compared to traditional financing. The CWSRF loan will be secured with a senior parity lien on the Authority’s water and sewer revenues, and a 0.5 cents sales tax.
Shawnee Municipal Authority’s officials attending the OWRB’s monthly meeting in support of the loan application included City Manager Mark Simpson and Project Engineer Seth Barkhimer, P.E. CFM. “Thank you for your consideration,” said Simpson when addressing the Board.
Rep. Dell Kerbs, R-Shawnee, and Rep. Danny Sterling, R-Tecumseh, issued the following joint statement in support of the infrastructure investment: "This loan will provide essential support for the Shawnee Municipal Authority as it replaces and rehabilitates aging sanitary sewer infrastructure. These improvements will strengthen the reliability of the system, reduce the risk of sanitary sewer overflows, and help protect the health and quality of life of residents. The principal forgiveness will make this critical investment more affordable for the Authority and the community it serves."
“We are grateful to State Senator Shane Jett, State Representative Dell Kerbs and State Representative Danny Sterling for their support of our financial assistance programs,” said Julie Cunningham, Executive Director of the OWRB.
The CWSRF program is administered by the Oklahoma Water Resources Board with partial funding from the U.S. Environmental Protection Agency (EPA). The CWSRF program has provided approximately $3 billion in water quality loans to provide communities with the resources necessary to maintain and improve the infrastructure that protects our valuable water resources statewide.
Since 1983 the Water Resources Board has approved over $9.3 billion in loans and grants for water and wastewater infrastructure improvements throughout Oklahoma.
Established in 1957, the Oklahoma Water Resources Board (OWRB) serves as the state’s water resources planning and development agency. A nine-member Board oversees the OWRB, with members appointed by the Governor to represent nine geographic regions and water-use sectors. The OWRB is committed to managing, protecting, and improving Oklahoma’s water resources to meet long-term water supply, water quality, flood mitigation, and infrastructure needs. For more information, visit Oklahoma.gov/owrb.
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Contact:
Lori Johnson
Oklahoma Water Resources Board
Chief, Financial Assistance Division
(405) 530-8800
Lori.Johnson@owrb.ok.gov
