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Clean Water Revolving Loan Fund

Overview

The Virginia Clean Water Revolving Loan Fund (CWRLF) provides financial assistance for water quality improvement projects throughout Virginia. Since 1987, over $4 billion has been invested in projects throughout the Commonwealth.

Eligible projects in the CWRLF include publicly-owned wastewater collection and treatment facilities, publicly owned stormwater best management practices, remediation of contaminated brownfield properties, land conservation through open space preservation, living shorelines, and agricultural best management practices.

CWRLF Benefits

  • Below-market interest rates (100-150 basis points below market)
  • Additional rate subsidization to 0.50% for disadvantaged communities
  • 20-30 year loan terms (determined by the useful life of the project)
  • No bond issuance costs
  • No payments during the construction period
  • Interest accrues only on the drawn portion of the loan

Program Administration

The Department of Environmental Quality (DEQ) administers the program and policy aspects of the fund on behalf of the State Water Control Board (SWCB). DEQ receives annual federal funding through the U.S. Environmental Protection Agency to support the CWRLF.

Annual applications to the CWRLF are traditionally due to DEQ in July. After DEQ prioritizes the projects, the SWCB authorizes the loan amounts and rates in December.

Virginia Resources Authority serves as the financial manager of the CWRLF. It includes the following responsibilities: underwriting and structuring loans, loan closings, making disbursements to loan recipients, collecting loan repayments, investing uncommitted CWRLF monies, and issuing bonds.

Additional information about the CWRLF program can be found on the Virginia Department of Environment Quality website. The annual application period for the CWRLF opens on June 10, 2024 and closes on July 26, 2024.

CWRLF Interest Rates

Loan TermMay 2024June 2024
20 Year2.20%2.35%
25 Year2.75%2.85%
30 Year3.20%3.30%

Note: Interest rates are set approximately 1-month before loan closing

Partner

Featured Projects

Capital Improvement Plan Programmatic Loan for Hampton Roads Sanitation District

VRA was pleased to work with Hampton Roads Sanitation District (HRSD) on this innovative financing opportunity, which received a PISCES award from the Environmental Protection Agency (EPA) in 2022.

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AlexRenew RiverRenew Tunnel System

In 2021, the City of Alexandria, Virginia Sanitation Authority (“AlexRenew”) borrowed $186 million through the Clean Water Revolving Loan Fund to implement its RiverRenew program.

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Conservation Easement on over 20,000 Acres in Russell County

In late summer of 2019, the Nature Conservancy closed on a $20.1 million loan through the Clean Water Revolving Loan Program to finance the acquisition of a permanent and perpetual conservation easement on over 20,000 acres in Russell County.

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