Small System Capacity & Resiliency Program
The Vermont Bond Bank (VBB) is now accepting applications for the Small System Capacity and Resiliency Program (SCRP). The program consists of a Tier I subsidized financing round for wastewater and water systems originally impacted by Super Storm 2023 and a Tier II grant round for small water systems at risk of failure. SCRP was created through a State of Vermont ARPA grant in collaboration with the Vermont Department of Environmental Conservation (DEC).
The Tier II announcement is expected in late summer 2024. Below is the description of the Tier I program. The Bond Bank anticipates approximately $4.7 million of Tier I loans under this program. Loan repayments from Tier II will be used to fund grants under Tier II.
Applications for the Tier I round are due on Friday, August 23, 2024, by the end of the day.
Key Dates
Application Webinar: Tuesday, July 30th at noon ET
Application Due Date: Friday, August 23rd by EOD
Tier I Overview
Tier I financing is designed to support water and wastewater systems recovering from Severe Storm 2023 and related flooding events through no-interest loans. Eligibility for the program is limited to systems in recovery from the 2023 storm but financed projects can include needs from the 2024 Beryl related storm, which will impair on-going recovery and rebuilding efforts.
The intent of the financing is to accelerate recovery by either bridging FEMA reimbursements at no cost and/or financing recovery projects not eligible for FEMA reimbursement at low costs.
In the case of the latter category, the speed of the financing is intended to reduce recovery costs by mitigating construction inflation and/or preserving rate-payer revenue. Partial forgiveness of loans may be available under the terms described below.
Eligibility
- Preliminary engineering
- Engineering design and bid specification
- Construction for flood-impacted water and wastewater systems
- All projects must comport with the EPA’s DWSRF and CWSRF Eligibility Handbook
- Link project to 2023 flood recovery
Please review attachment for full details and loan terms.