DRAFT

DRAFT • Goal: Identify eligible applicants for loan forgiveness.

Objective: Using the new affordability criteria (described in this Annex) and priority projects, identify projects on the current CWSRF PPL eligible to receive loan forgiveness from the FFY 2022 BIL General Supplemental Fund. Accept applications quarterly and add additional projects to the PPL, as applicable, until all loan forgiveness funding is obligated. IV. Assurances and Special Proposals Iowa will provide the necessary assurances and certifications according to the Operating Agreement and between the State of Iowa and the U.S. EPA grant terms and conditions. V. Financial Summary of State’s Financial Plan See “Financial Management Strategies” located in Section 1 of the base CWSRF Program IUP. Sources and Uses See “Sources and Uses of Available CWSRF Funds” located in Section II and Appendix A of the base CWSRF Program IUP. Planned Use of Fee Revenue CWSRF expenses for administering the SRF include the work of wastewater engineering section project managers, administrative staff, specialists in environmental review, financial officers, loan coordinators, and program managers. It also covers expenses for financial and legal advisors. These program expenses will first be paid out of the base CWSRF Program Income and then BIL General Supplemental Program Income. They will then be paid from Non-Program Income once Program Income has been fully expended. DNR intends to use a portion of Non-Program Income funds during SFY 2023 to support staffing to the Field Services Bureau for wastewater compliance activities including inspections, investigations and technical assistance and to support staffing in the Water Quality Bureau for construction permitting, National Pollution Discharge Elimination System permitting, AIS/BABA Site Inspections, and other programmatic staffing needs. Estimates of Program and Non-Program Income resulting from BIL General CWSRF Supplemental Funds cannot be made at this time but will be provided in future updates to this Annex. The scope of the project must be outlined on the IUP application and in the Facility Plan. Additional project information may be required at the time of application for BIL General Supplemental Funds. Changes to the scope are allowed prior to loan closing. Significant changes in scope that cause delays and/or additional work required by the project manager or environmental review specialist, may result in loss of financing through the BIL General Supplemental Fund. Once a loan is signed, only minor changes to the scope will be allowed and only if they do not require additional technical or environmental review. Project Readiness Applicants cannot be offered SRF financial assistance until they meet program requirements. More information can be found in the Wastewater Engineering Construction Permitting Process Manual 11 Loan Policies Project Scope

11 Wastewater Engineering Construction Permitting Process Manual https://www.iowadnr.gov/Portals/idnr/uploads/water/wastewater/wwmanual_full.pdf