Lee, TDEC Announce $1.1 Million Loan for Perryville Utility District Water Improvements

Gov. Bill Lee and Tennessee Department of Environment and Conservation (TDEC) Commissioner David Salyers today announced a $1.1 million loan for the Perryville Utility District to improve water infrastructure.

The loan is one of two approved by the Tennessee Local Development Authority, including a loan of $2,875,000 for the City of Lafollette.

The Perryville Utility District loan comes from the Drinking Water State Revolving Fund Loan Program. It will address water meter replacement and water storage tank improvements. The loan has a 20-year term at 1.15 percent interest. The Perryville Utility District received $550,000 in principal forgiveness with the remainder of the loan amount to be paid back as principal.

“Tennessee continues to support infrastructure investments for a growing state, including water quality improvements,” said Lee. “We are pleased these funds will make projects affordable to deliver important resources for Tennesseans across the state.”

“Quality water infrastructure is a basic need for a community, and we are pleased to announce these low-interest loans to meet that necessity,” Salyers said. “We appreciate the commitment at the local level to go through this process.”

Through the State Revolving Fund Loan Program, communities, utility districts, and water and wastewater authorities can obtain loans with lower interest rates than through private financing. These low-interest-rate loans can vary from zero percent to below market rate, based on each community’s economic health.

This fiscal year, TDEC has awarded $42,631,173 in drinking water loans and $75,720,597 in clean water loans to meet the state’s infrastructure needs. During fiscal year 2024, TDEC awarded $54,108,182 in drinking water loans and $85,350,843 in clean water loans for a total of $139,459,025.

Tennessee’s Clean Water State Revolving Fund Loan Program has awarded more than $2 billion in low-interest loans since its inception in 1987. The state’s Drinking Water State Revolving Fund Loan Program has awarded more than $300 million in low-interest loans since its inception in 1996.