State Revolving Fund
Encyclopedia
A State Revolving Fund is a fund administered by a U.S. state
for the purpose of providing low-interest loans for investments in water and sanitation infrastructure (e.g., sewage treatment
, stormwater
management facilities, drinking water
treatment), as well as for the implementation of nonpoint source
pollution control and estuary
protection projects. A SRF receives its initial capital from federal grants and state contributions. It then emits bonds
that are guaranteed by the initial capital. It then "revolves" through the repayment of principal and the payment of interest on outstanding loans. There are currently two SRFs, the Clean Water State Revolving Fund
created in 1987 under the Clean Water Act
, and the Drinking Water State Revolving Fund created in 1997 under the Safe Drinking Water Act
.
U.S. state
A U.S. state is any one of the 50 federated states of the United States of America that share sovereignty with the federal government. Because of this shared sovereignty, an American is a citizen both of the federal entity and of his or her state of domicile. Four states use the official title of...
for the purpose of providing low-interest loans for investments in water and sanitation infrastructure (e.g., sewage treatment
Sewage treatment
Sewage treatment, or domestic wastewater treatment, is the process of removing contaminants from wastewater and household sewage, both runoff and domestic. It includes physical, chemical, and biological processes to remove physical, chemical and biological contaminants...
, stormwater
Stormwater
Stormwater is water that originates during precipitation events. It may also be used to apply to water that originates with snowmelt that enters the stormwater system...
management facilities, drinking water
Drinking water
Drinking water or potable water is water pure enough to be consumed or used with low risk of immediate or long term harm. In most developed countries, the water supplied to households, commerce and industry is all of drinking water standard, even though only a very small proportion is actually...
treatment), as well as for the implementation of nonpoint source
Nonpoint source pollution
Nonpoint source pollution refers to both water and air pollution from diffuse sources. Nonpoint source water pollution affects a water body from sources such as polluted runoff from agricultural areas draining into a river, or wind-borne debris blowing out to sea. Nonpoint source air pollution...
pollution control and estuary
Estuary
An estuary is a partly enclosed coastal body of water with one or more rivers or streams flowing into it, and with a free connection to the open sea....
protection projects. A SRF receives its initial capital from federal grants and state contributions. It then emits bonds
Bond (finance)
In finance, a bond is a debt security, in which the authorized issuer owes the holders a debt and, depending on the terms of the bond, is obliged to pay interest to use and/or to repay the principal at a later date, termed maturity...
that are guaranteed by the initial capital. It then "revolves" through the repayment of principal and the payment of interest on outstanding loans. There are currently two SRFs, the Clean Water State Revolving Fund
Clean Water State Revolving Fund
The Clean Water State Revolving Fund is a self-perpetuating loan assistance authority for water quality improvement projects in the United States. The fund is administered by the Environmental Protection Agency and state agencies...
created in 1987 under the Clean Water Act
Clean Water Act
The Clean Water Act is the primary federal law in the United States governing water pollution. Commonly abbreviated as the CWA, the act established the goals of eliminating releases of high amounts of toxic substances into water, eliminating additional water pollution by 1985, and ensuring that...
, and the Drinking Water State Revolving Fund created in 1997 under the Safe Drinking Water Act
Safe Drinking Water Act
The Safe Drinking Water Act is the principle federal law in the United States intended to ensure safe drinking water for the public. Pursuant to the act, the Environmental Protection Agency is required to set standards for drinking water quality and oversee all states, localities, and water...
.
See also
- Water pollutionWater pollutionWater pollution is the contamination of water bodies . Water pollution occurs when pollutants are discharged directly or indirectly into water bodies without adequate treatment to remove harmful compounds....
- Water purificationWater purificationWater purification is the process of removing undesirable chemicals, materials, and biological contaminants from contaminated water. The goal is to produce water fit for a specific purpose...
- Water supply and sanitation in the United StatesWater supply and sanitation in the United StatesIssues that affect water supply and sanitation in the United States include water scarcity, pollution, a backlog of investment, concerns about the affordability of water for the poorest, and a rapidly retiring workforce...