Code of Massachusetts Regulations
310 CMR - DEPARTMENT OF ENVIRONMENTAL PROTECTION
Title 310 CMR 44.00 - Dep Selection, Approval and Regulation of Water Pollution Abatement Projects Receiving Financial Assistance from the State Revolving Fund
Section 44.07 - Financing Criteria
Current through Register 1531, September 27, 2024
(1) In general, the Trust is authorized to structure the debt service costs on loans and other forms of financial assistance for Eligible Projects that provide the financial equivalent of a loan made at an interest rate equal to 2%. Notwithstanding the foregoing, subject to the limits on contract assistance provided in M.G.L. c. 29C, § 6, the Trust may provide additional financial assistance that is the financial equivalent of a loan made at an interest rate equal to 0%, as provided in 310 CMR 44.07(1)(a) for Nutrient Removal Projects in communities that have established Flow Neutral Land Use Controls, as provided in 310 CMR 44.07(2). Notwithstanding the foregoing, subject to the limits on contract assistance provided in M.G.L. c. 29C, § 6, the Trust may provide additional financial assistance that is the financial equivalent of a loan made at an interest rate less than 2%, which may include principal forgiveness, as determined by the Trust, for Qualifying Designated Projects, as provided in 310 CMR 44.07(4).
(2) Nutrient Removal Projects. Subject to the limits on contract assistance provided in M.G.L. c. 29C, § 6, a Local Governmental Unit applying for financial assistance for a Nutrient Removal Project, as defined in 310 CMR 44.03, on the Intended Use Plan for calendar year 2009 to calendar year 2069, is eligible for loans and other forms of financial assistance at the financial equivalent of a loan made at an interest rate at 0% if the Local Governmental Unit demonstrates to the Department's satisfaction that it meets all of the following criteria:
(3) Flow Neutral Land Use Controls. To demonstrate that it has adopted adequate Land Use Controls to ensure that the overall wastewater flow in the community will be "flow neutral", as required by M.G.L. c. 29C, § 6, and 310 CMR 44.07(2)(d), a Local Governmental Unit must estimate wastewater flow volume to demonstrate that overall wastewater flow in the sewered watershed will not increase as a result of the project for which a zero rate of interest is sought. A Local Governmental Unit will be deemed to have established such "flow neutral" Land Use Controls if the Local Governmental Unit has a Department-approved CWMP or 208 Plan that includes a watershed benchmark flow, and the Local Governmental Unit has established Land Use Controls that limit future wastewater flow volume to the watershed benchmark flow contained in the Department-approved CWMP or 208 Plan. Such Land Use Controls must be in effect prior to closing to receive zero rate of interest loans. In demonstrating that it has established such "flow neutral" Land Use Controls, a Local Governmental Unit may use either one of the two methods in 310 CMR 44.07(3)(a) or (b). In doing so, the Local Governmental Unit should express all flow volumes as an annual average in gallons per day per acre.
(4) Qualifying Designated Projects.