Section 365.220  Uses of the Water Pollution Control Loan Program

The Water Pollution Control Loan Program shall be used and administered by the Agency to provide assistance for the following purposes:

a)         To accept and retain funds from grant awards, appropriations, transfers and payments of interest and principal;

b)         To make direct loans at or below market interest rates and to provide additional subsidization, including, but not limited to, forgiveness of principal, negative interest rates, and grants, to any eligible local government unit to finance the construction of wastewater treatment works and projects that fulfill federal State Revolving Fund grant requirements for a green project reserve;

c)         With respect to funds provided under the American Recovery and Reinvestment Act of 2009, to make direct loans at or below market interest rates to any eligible local government unit and to provide additional subsidization, including, but not limited to, forgiveness of principal, negative interest rates, and grants;

d)         With respect to funds under the American Recovery and Reinvestment Act of 2009, to make direct loans at or below market interest rates to any eligible local government unit to buy or refinance debt obligations for treatment works incurred on or after October 1, 2008;

e)         With respect to funds under the American Recovery and Reinvestment Act of 2009, to provide additional subsidization, including, but not limited to, forgiveness of principal, negative interest rates, and grants for treatment works incurred on or after October 1, 2008;

f)          To make direct loans at or below market interest rates and to provide additional subsidization, including, but not limited to, forgiveness of principal, negative interest rates, and grants, to any eligible local government unit to buy or refinance debt obligations for costs incurred after March 7, 1985 for the construction of wastewater treatment works, and projects that fulfill federal State Revolving Fund grant requirements for a green project reserve;

g)         To make direct loans at or below market interest rates for the implementation of a management program established under Section 319 of the Federal Water Pollution Control Act, as amended;

h)         To guarantee or purchase insurance for local obligations where such action would improve credit market access or reduce interest rates;

i)          As a source of revenue or security for the payment of principal and interest on revenue or general obligation bonds issued by the State or any political subdivision or instrumentality thereof, if the proceeds of such bonds will be deposited in the Fund;

j)          To finance the reasonable costs incurred by the Agency in the administration of the Fund; and

k)         To transfer funds to the Public Water Supply Loan Program. [415 ILCS 5/19.3(b)]

(Source:  Amended at 34 Ill. Reg. 17582, effective November 8, 2010)