Regional San’s EchoWater Project OK’d for $1.6 Billion in Low-Interest Financing
Clean Water State Revolving Funds will save region more than a half billion dollars in interest costs
Sacramento — On April 7, 2015, one of the largest public works projects in the history of Sacramento County was approved to receive nearly $1.6 billion in low-interest financing from the State of California’s Clean Water State Revolving Fund. The approximately $2 billion “EchoWater Project” – a massive upgrade to the region’s wastewater treatment plant in Elk Grove – will be constructed over the next eight years to comply with stringent new requirements issued by the State in 2010. This is the largest single block of financing ever issued to a project under the California Clean Water State Revolving Fund program.
This unique financing approach is expected to reduce the long-term EchoWater Project financing costs through favorable terms for interest rate and loan term. “Our ability to secure this funding means at least a half billion in savings over the life of the loan compared to traditional bond funding,” noted Prabhakar Somavarapu, Regional San’s District Engineer. “This is another way we’re working to minimize the financial burden to our ratepayers for this important regional project. It underscores why the Revolving Fund program is very important to communities, not only in California, but around the country,” added Somavarapu.
When completed, the EchoWater Project will improve water quality and result in a nearly 95% reduction in ammonia discharged to the Sacramento-San Joaquin River Delta. The treatment plant’s discharge permit requires the EchoWater Project must be fully complete and operational by 2023. A formal groundbreaking for the project will take place at the treatment plant on May 28, 2015.
“Projects such as EchoWater illustrate the role of the Clean Water State Revolving Fund in accelerating critical water quality and water supply projects. With the help of the State Water Board, the Sacramento region can now upgrade their system to better protect public health, while realizing substantial cost savings to pass on to their ratepayers,” said State Water Board Chair Felicia Marcus. “We’re pleased to help support this critically important environmental and water supply project.”
Regional San provides wastewater treatment and disposal for households and business within Sacramento County and the City of West Sacramento, serving approximately 1.4 million persons.
Claudia Goss, Public Affairs Manager
Sacramento Regional County Sanitation District
(916) 876-6058 (office) (916) 599-2417 (cell)