The New York State
Environmental Facilities Corporation
10th Annual Symposium on Environmental &
Energy Systems
Oncenter Complex, Syracuse, NY
September 28, 2010
David Paterson, Governor
Pete Grannis, Chairman
Matthew J. Driscoll, President & CEO
The Environmental Facilities Corporation
Providing Low-cost Financing and Technical Assistance to Municipalities, Businesses, and
NY State Agencies for Environmental Projects
A Public Benefit Corporation
 Accountability
 Transparency
 Clean Water State Revolving Fund
(1987 Clean Water Act Amendments)
 Clean Water Program:
50% Interest Subsidy
 Drinking Water State Revolving Fund
(1997 Safe Drinking Water Act)
 Drinking Water Program:
33.3% Interest Subsidy
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NYS Environmental Facilities Corporation
September 28, 2010
NYS Water Infrastructure Needs

CW - $36.2 Billion: 20 Years
 $11 Billion in Urgent Need

DW - $38 Billion: 20 years

Historic Declines in Federal
Funding
 Delayed Projects
NYS Environmental Facilities Corporation
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Aging Sewers
 Combined Sewer Overflow
 Over 100 years old

Declining Water Quality
 Agricultural and Other
Nonpoint Sources of
nutrients
September 28, 2010
NYS Environmental Facilities Corporation
September 28, 2010
SOURCE: 305 (b) Water Quality Report
National Water and Sewer System Numbers
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NYS Environmental Facilities Corporation
850 billion gallons of untreated
wastewater discharged annually
32 years average useful life of water
treatment equipment
$390 billion to replace and build new
wastewater systems over next 20 years
$10,000 per household cost of replacing
water mains and treatment plants
3% of US electricity demand accounted
for by water systems
Electricity is the second largest
operational cost for wastewater treatment
plants
September 28, 2010
Water and Sewer Systems

Water and Sewer Infrastructure
Spending Nation-wide (a)

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2005: $90.1 billion ($305 per capita)
2050 projections (b):

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$133.5 billion: at current population
trends
$115.7 billion: at 50% reduction in
immigration
$90.1 billion: at zero population growth
Notes:
a: Capital, operations, and maintenance spending by
federal, state and local governments in 2006 dollars.
b: Assumes per capita spending remains at 2005 levels.
Sources: Congressional Budget Office, American Society of Civil Engineers, American Water Works
Association, Pew Research Center.
NYS Environmental Facilities Corporation
September 28, 2010
An Underfunded
Legacy
Federal Wastewater Treatment Funding 1986-2010
$4.0
Federal
Appropriation $3.5
ARRA
$3.0
$2.5
$2.0
$1.5
Appropriations
$1.0
($billion)
$0.5
$0.0
'86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10
Federal Fiscal Year
In the last year, federal lawmakers have allocated more than $10 billion
for water infrastructure programs, one of the largest such commitments
in history.
 An EPA study estimated that $335 billion would be needed simply to
maintain the nation’s drinking water systems in coming decades.
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NYS Environmental Facilities Corporation
September 28, 2010
Clean Water SRF

Leverage rate financing with
50% subsidy for up to 30 years

Hardship financing as low as
0% interest for up to 30 years

Short term financing for 3 years
at 0% interest
NYS Environmental Facilities Corporation
September 28, 2010
Drinking Water SRF

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Leverage rate financing with 33% subsidy for up to 30
years
Hardship financing at 0% interest for 30 years,
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Short Term Financing for 3 years at 0% interest
SRF Backed, Guarantee Program

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Only if needed to reach “Target Service Charge”
Communities Benefit From the Corporation’s AAA Rating
Fund components of projects that are “green”

At least 20% of 2010 federal cap grant must go for green
components
NYS Environmental Facilities Corporation
September 28, 2010
How SRF Programs Work
NYS Environmental Facilities Corporation
September 28, 2010
CWSRF Intended Use Plan (IUP)
The Intended Use Plan (IUP), published on an annual basis, identifies
funds available to the CWSRF and uses of those funds.
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Effective October 1st through September 30th (Federal Fiscal Year)
Project Priority Lists of potentially eligible projects
 Annual List (Projects expecting financing in current year)
 Multi-Year List (Projects to be financed in future years)
Excerpt from 20XX Final CWSRF IUP - Project Category: B
Service Area
Project
Description
Project #
Applicant Name
C1-XXX-XX-00
GREAT NECK, VILLAGE OF
VILLAGE
STP UP
C1-XXX-XX-00
NASSAU COUNTY
BAY PARK, SD #2
C6-XXX-XX-00
UTICA, CITY OF
C9-XXX-XX-00
Est.
Amount
Additional
Above ST
SPDES
no
Score
$17,200,000
$17,200,000
NY0022128
154
NPS, STMSEW
$430,000
$430,000
NY0026450
113
PHASE A1
CSO, I/I CORR
$2,850,000
$2,850,000
NY0025780
112
TONAWANDA, TOWN OF
PARKERS-FRIES INTERCEPTOR
COLL, INT
$24,310,000
$24,310,000
NY0026395
111
C6-XXX-XX-00
ONEIDA COUNTY
PHASE 1
CSO, I/I CORR
$5,300,000
$5,300,000
NY0025780
107
C6-XXX-XX-01
ONEIDA COUNTY
PHASE 2A
CSO, I/I CORR
$20,500,000
$20,500,000
NY0025780
107
“Subsidy Line”
NYS Environmental Facilities Corporation
September 28, 2010
Short-Term CWSRF Financing
Market-Rate
Project Score below the IUP
subsidy Line, or for short-term
project costs above the amount
available Interest-Free
Interest-Free
Project Score above the IUP
subsidy line
AAA/Aaa Borrowing Rates
0% Interest
SRF “line of credit” is available for up to 3 years or readiness for longterm financing, whichever is sooner, for recommended minimum
term of six months
NYS Environmental Facilities Corporation
EFC
Works like a credit card…SRF
line of credit for municipalities
to charge project costs.
September 28, 2010
CWSRF Short-Term Application Submission
A Complete CWSRF STF Application:
1)
Signed Application Form
2)
Application Checklist
3)
Approvable Engineering Report
4)
Adoption of a Bond Resolution
5)
Completion of the State Environmental Review
Process (SERP)
6)
Approval of project by the NYS Office of Parks,
Recreation and Historic Preservation (SHPO or
OPRHP)
7)
Approval of Sewer District Formation by the
State Comptroller’s Office (if necessary)
NYS Environmental Facilities Corporation
September 28, 2010
Long-Term CWSRF Financing
30 years…works just like
a home mortgage…
Long-Term Market Rate
Subsidized- Interest
(4.06% June 2010)
(2.03% June 2010)
Below the Subsidy Line
Above the Subsidy Line
AAA/Aaa Borrowing Rates
AAA/Aaa Borrowing Rates Plus 50%
interest rate subsidy for up to 30 years
Final financing costs are determined when project approvals are in place.
Major contracts awarded, permits in place.
NYS Environmental Facilities Corporation
September 28, 2010
Hardship Eligibility
The CWSRF Hardship Program provides long-term financing at a reduced interest
rate, as low as 0%, to communities that have been determined to be
economically distressed by the implementation of an eligible water quality
improvement project.

Available for point source (Section 212) projects with a total project cost up to
$14 million.
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Project must be listed on annual list of IUP above subsidy line.
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A hardship application form must be submitted to be considered for hardship
eligibility including information on:
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Equivalent Dwelling Units (EDUs) served by the project
Existing sewer debt service
Existing and projected operation and maintenance cost
Project cost funded by other sources (grant, loan, municipal sources, etc.)

Hardship Confirmation Letter with Two Year Expiration.

Hardship projects in IUP Category D
NYS Environmental Facilities Corporation
September 28, 2010
2010 CWSRF Highlights

$225 million Federal Appropriation

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Principal Forgiveness (PF) / Grants
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NYS Environmental Facilities Corporation
$112 million available for clean water
projects
Green Innovations Grant Program

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$736 million in CWSRF loans are
available to communities.
Funding for stand-alone “green” projects
$15 million available for Fall 2010
Application Process
U.S. EPA recognized New York’s CWSRF
with the 2009 “Pisces Award for
Performance and Innovation in the SRF”
for the GIGP
September 28, 2010
2010 IUP Principal Forgiveness
For Disadvantaged Communities

Category A - Population up to 3,500

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Category B - Population between 3,500 to 1,000,000

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$29.8 million
Category C - New York City

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$7.4 million
$30 million
Category D - Hardship Communities

$30 million
NYS Environmental Facilities Corporation
September 28, 2010
Co-funding Opportunities

USDA Rural Development loan/grant program

New York State DEC Water Quality Improvement Program

Office of Community Renewal CDBG Program

NYSERDA Water/Wastewater programs
NYS Environmental Facilities Corporation
September 28, 2010
EFC Client Services
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NYS Environmental Facilities Corporation
Application Development –
Intended Use Plan
Legal, Engineering, Financial
Expertise
Individual Project Consultations
On-site Visits
Field Offices
Public Outreach and Education
Co-Funding
Post Closing Assistance
September 28, 2010
Things to Come: Scoring System Initiative
Feedback will be Essential to Success of CWSRF/DWSRF
NYS Environmental Facilities Corporation

Asset Management

Smart Growth

Fair (Not Full) Cost Pricing

“Green” Priorities/Energy
Efficiency

Federal/State/Local
Partnership
September 28, 2010
Green Innovation Grant Program
$15 million Available for “Green” Infrastructure Projects

Water Efficiency:
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Energy Efficiency:
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Reduce Energy Consumption or Produce Clean Energy
Green Wet Weather Infrastructure:

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Reuse, Conserve or Improve Water Efficiency
Maintain, Restore, or Mimic Natural Systems to Infiltrate,
Evaporate or Recycle Stormwater
Environmental Innovation:

Manage Water Resources to Prevent or Remove Pollution in an
Economically Sustainable Way
NYS Environmental Facilities Corporation
September 28, 2010
Green Innovation Grant Program (GIGP)
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Begun under the American Recovery and Reinvestment
Act of 2009
Post Program Analysis by Syracuse University
Environmental Finance Center
Analysis of program data and survey of applicants
NYS Environmental Facilities Corporation
September 28, 2010
GIGP: Who Can Apply?
Any corporation which is organized and existing under the laws of the
State of New York which is empowered to develop a project
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Municipality
School district*
Soil and water conservation district*
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Not-for-profit
Partnership
Association
* Only eligible for GIGP Grants under existing State laws.
NYS Environmental Facilities Corporation
September 28, 2010
What Kind of Projects?
Point Source - Clean Water Act Section 212 Projects
I Secondary Treatment
II Advanced Treatment
III-A Infiltration/Inflow
III-B Sewer System Rehabilitation
IV-A New Collector Sewers
IV-B New Interceptors
V CSO Correction
VI Storm Sewers (In Phase I and
Phase II MS4 areas)
X Recycled Water Distribution
Ex. Wastewater Treatment Plants
NYS Environmental Facilities Corporation
September 28, 2010
Non Point Source Projects - Clean Water Act Section 319
VII-A Agricultural Cropland
VII-B Agricultural Animals
VII-C Silviculture
VII-D Urban, excluding decentralized
systems, Green Infrastructure
VII-E Ground Water, unknown source
VII-F Marinas
Ex. Regional Digester/Bioenergy Facility
NYS Environmental Facilities Corporation
VII-G Resource Extraction
VII-H Brownfields
VII-I Storage Tanks
VII-J Sanitary Landfills
VII-K Hydromodification
VII-L Individual/Decentralized Systems
Ex. Porous Pavement
September 28, 2010
Estuary Assistance – CWA Section 320 Projects
Implementation of US-EPA Approved Estuary
Conservation and Management Plans for:

New York-New Jersey
Harbor

Peconic Bay

Long Island Sound
Estuaries
NYS Environmental Facilities Corporation
September 28, 2010
Westcott Reservoir
Awarded $753,543 in GIGP for demonstration project
 Microturbine System
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3rd largest water tanks in the world
 Expected to generate 438,000 kWh of electricity annually
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Solar Photovoltaic System
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Expected to produce 56,000kWh of power annually
The energy generated from the new systems will allow the facility
to operate almost entirely “off-the-grid”
NYS Environmental Facilities Corporation
September 28, 2010
GIGP 2010 Objectives
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Protects, improves or enhances water quality, aquatic or
riparian habitat
Spur Innovation
Build Green Capacity
Facilitate Technology Transfer
Fund Strategic and Highly Visible Demonstration Projects
Foster Local Program Development
Lead to Larger Scale Implementation Efforts
Encourage Outreach and Education
Incorporate Smart Growth / Livability Principles
NYS Environmental Facilities Corporation
September 28, 2010
NYS Environmental Facilities Corporation
September 28, 2010
Philadelphia Water Department and WRT
Porous Pavement
Lindenhurst Library - Suffolk County
Seagrit Planting Bed – NYC Green Streets
NYC, NY
GIGP 2010 Grants
Two types of Grants:

Construction Grants
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Grant for up to 90% of construction costs, not exceeding $750,000
Require complete Engineering Report (treatment plant projects) or
concept plan and feasibility report for green infrastructure /
stormwater projects at time of application.
Design Grants

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Grant for up to 50% of design costs, not exceeding $50,000 per
project
Require complete Feasibility Study (treatment plants) or Concept
Plan (green infrastructure / stormwater projects) at time of
application.
NYS Environmental Facilities Corporation
September 28, 2010
GIGP 2010 Eligibility
Must be eligible under SRF and US EPA SRF 2010 Green
Project Reserve requirements.
 Meet all applicable NYS design standards.
 Demonstrate the capacity to own, operate, and maintain the
proposed project.
 Meet Davis Bacon Act requirements
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Meet Federal DBE Program requirements
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Prevailing wage rates paid
Ensure nondiscriminatory actions in the award and administration of contracts
Must be under committed/contract with EFC by September
2011
NYS Environmental Facilities Corporation
September 28, 2010
Application Tips

Focus on one innovative
demonstration project

Submit a complete and concise
application

Project selection based on
GIGP 2010 goals and
objectives
Green Roof – Rockefeller Center
NYS Environmental Facilities Corporation
September 28, 2010
Stay Informed
www.nysefc.org
Email

SRF Newsletter
 Sign up to receive EFC’s
Receive immediate notice
quarterly newsletter
of new and updated funding
opportunities, programs,
and initiatives
NYS Environmental Facilities Corporation
Webcasts

Join EFC live to discuss
important issues
September 28, 2010
EFC President and CEO
Matthew J. Driscoll
Driscoll@nysefc.org
NYS Environmental Facilities Corporation
625 Broadway
Albany, NY 12207
1.800.882.9721
www.nysefc.org
Financing for a Sustainable Future
NYS Environmental Facilities Corporation
September 28, 2010