Wastewater/Stormwater and Drinking Water Loans
Illinois EPA's Wastewater/Stormwater and Drinking Water Loans fund projects that improve water quality and infrastructure through low-interest loans supporting advanced water system upgrades.
Funder: Illinois Environmental Protection Agency
Due Dates: March 31, 2027: Funding Nomination Form due | March 31, 2027: Planning approval deadline | March 31, 2027: IFL projects with funding reserved must open bids
Funding Amounts: Low-interest loans; FY2026-27 rates: Base 2.44%, Small Community 1.83%, Hardship 1.00% (for eligible projects); typical loan term up to 20-30 years.
Summary: Provides low-interest loans for design and construction of wastewater, stormwater, and drinking water infrastructure projects to improve water quality in Illinois.
Key Information: All projects must comply with Build America, Buy America Act (BABA) requirements.
Description
The Illinois Environmental Protection Agency (IEPA) State Revolving Fund (SRF) program offers low-interest loans to eligible public and private entities for projects that protect or enhance Illinois' water resources. The program supports a wide range of initiatives, including construction of new water infrastructure, upgrades or rehabilitation of existing systems, and stormwater projects that improve water quality. The SRF consists of two primary loan programs: the Water Pollution Control Loan Program (wastewater and stormwater) and the Public Water Supply Loan Program (drinking water), as well as a dedicated Lead Service Line Replacement loan track. Funding is sourced from federal capitalization grants, state matching funds, loan repayments, and bond sales, ensuring ongoing support for communities of all sizes.
