Section R317-102-3 - Definitions and EligibilityA. Eligible Activities of the SRF. All funds within the SRF must be used solely to provide loans and other authorized forms of financial assistance: 1. for the construction of publicly owned wastewater treatment works as defined in Section 212 of the CWA that appear on the Utah State Project Priority List as described in R317-100-1;2. for implementation of a nonpoint source pollution control management program under Section 319 of the CWA.B. First Use Requirement. The categories of funds described below must first be used for any major and minor publicly owned treatment works (POTW) that EPA Region VIII and Utah has previously identified as part of the National Municipal Policy universe: 1. the Federal capitalization grant award under section 205(m) and Title VI of the CWA;2. repayments of initial loans awarded from the grant; and3. the State match. In order for Utah to use these funds for other kinds of treatment works, without unmet enforceable requirements under 212 or programs for nonpoint pollution sources, the Utah Division of Water Quality must certify that the POTWs described above are:
b. on an enforceable schedule, orc. have an enforcement action filed, ord. have a funding commitment during or prior to the first year covered by the Intended Use Plan. C. Types of Financial Assistance 1. Loans a. Interest Rate. Loans may be made at or below market interest rates.b. Repayment. Annual repayments of principal and interest will be made to begin not later than one year after project completion. Project Completion shall be defined as the date operations of the treatment works are capable of being initiated. Where a treatment works has been phased or segmented, the repayment requirement applies to the completion of individual phases or segments. At the discretion of the Water Quality Board, principal and interest payments may begin earlier than one year after operations are initiated. The yearly amount of the principal repayment and the interest payment is set at the discretion of the Water Quality Board.
c. Dedicated Repayment Source. Loan recipients must establish one or more dedicated sources of revenue for repayment of the loan. 2. Refinancing Existing Debt Obligations. The Water Quality Board may use funds from the SRF to buy or refinance local debt obligations at or below market interest rate, where such debt was incurred after March 7, 1985. Refinanced projects must comply with the requirements imposed by the CWA as though they were projects receiving initial financing from the SRF. Further, where the original debt was in the form of a multi-purpose bond incurred for purposes in addition to wastewater treatment facility construction, refinancing from the SRF may be provided only for eligible purposes, and not for the entire debt.3. Guarantee or Purchase Insurance for Local Debt Obligations.4. Guarantee SRF Debt Obligations. Resources in the SRF may be used as security or as a source of revenue for the payment of principal and interest on revenue or general obligation bonds issued by the State and deposited in the SRF.5. Loan Guarantees for sub-State Revolving Funds.6. Earn Interest on Fund Accounts.7. SRF Administrative Expenses.Utah Admin. Code R317-102-3