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$14 Million in drinking water Funds Unspent in Virginia

But problems remain around the state, such as in Salt Lake City where the system is aging and in need of a major influx of funds, Bousfield said.

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Office of Policy and Management spokesman Gian-Carl Casa said the agency “continues to consider the policy implications” of legislation passed in 2014.

When loans are not issued and grant money isn’t spent, “needed drinking water improvements are not implemented, communities do not receive the intended health benefits and states miss opportunities to infuse funds into the state’s economy and create jobs”, the agency’s inspector general warned a year ago.

Congress established the revolving fund in 1996 as a way to provide low-interest loans to cities, counties and utilities to help pay for maintaining aging water systems.

Meanwhile, fewer cash-strapped water systems are applying for the program because they can’t afford to take on new debt, said Steve Pellei, division director for Virginia’s Drinking Water State Revolving Loan Fund.

On its 2015 priority list, the state’s Department of Environmental Services requested $48.3 million for 42 projects, ranging from $24,750 for arsenic treatment at the Johnson Creek Water System in Durham to $9.1 million for improvements to the city of Dover’s water facilities.

“When you have that age of infrastructure, it takes a lot to maintain it”, said Mathieu, adding that every water system that has participated in the loan program has been looking forward to the possibility of getting the grant money since the legislation passed.

“It’s hugely important to meet the infrastructure needs, and it’s always hugely important to keep the drinking water program run out of the state”, Pillsbury said.

“We have communities where there have been, particularly the ones that have pretty sizeable loans, long periods of time without their submitting pay (requisitions)”, Blatt said. Many water districts are reluctant to take on loans, which sometimes results in raising water rates for customers, he said. It’s will use a $150,000 grant from the Drinking Water Revolving Fund to replace existing lines and upgrade pump stations to get the water to Pocahontas.

The program is also helping to build a $76 million water-treatment plant in Ames, Iowa.

In New Mexico, officials say numerous water systems are small and there are simply not enough staff and technical experts to do the work needed before the money can be doled out.

Since the fund’s inception, more than 11,500 projects have received assistance totaling $28 billion. Supporters are rallying to its defense.

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“If that well goes down, it puts us in a predicament”, said Michelle Dunlap, who serves as the town’s deputy clerk. “It’s a great program”.

Tenn. takes steps to utilize federal water-system funds