ATLANTA – As part of the American Recovery and Reinvestment Act (ARRA), Georgia Environmental Facilities Authority (GEFA) Executive Director Phil Foil announced today the approval of a green project through the Clean Water State Revolving Fund (CWSRF). The loan of $192,000 and a CWSRF subsidy of $288,000 were approved by the GEFA board of directors for the city of Summerville. The funding will help construct a pump station that transfers treated wastewater for reuse in carpet manufacturing. “Green projects such as water and energy efficiency and green infrastructure promote sustainable development and help to conserve Georgia’s natural resources,” said Governor Perdue. “Balancing economic growth with the stewardship of the environment will have a lasting impact on a community’s quality of life.” “GEFA’s water and sewer programs assist local governments with improving their environmental infrastructure,” said Phil Foil. “As part of the Clean Water program, cities and counties can improve the environment through affordable financing for green projects.” Foil expressed appreciation to Governor Perdue, U.S. Senators Saxby Chambliss and Johnny Isakson, U.S. Representative Phil Gingrey, State Senator Jeff Mullis and State Representative Barbara Reece for their support. GEFA helps communities prepare for economic growth and development through the provision of low interest loans. In February, the Congress approved and the President signed the ARRA, which included a substantial investment in two federal programs administered by GEFA for water and sewer infrastructure projects. The CWSRF finances wastewater and water pollution abatement projects and the DWSRF finances drinking water supply projects. The ARRA directs the states to reserve 20 percent of the ARRA funding for “…projects to address green infrastructure, water or energy efficiency improvements or other environmentally innovative activities.” Under the ARRA financing terms adopted by the GEFA board of directors, cities or counties with eligible green projects qualify for a 60 percent subsidy. For example, if a community applies for a $1 million green project loan, then 60 percent of the loan will be forgiven and the community will close on a loan of $400,000 at a three percent interest rate. The unprecedented amounts of subsidy in the ARRA financing terms will help Georgia meet the ARRA’s short-term goals of job creation and economic stimulus. Georgia local governments expressed a tremendous amount of interest in the ARRA funds. Cities and counties submitted more than 1,600 clean water, drinking water and green projects with a total cost that exceeded $6 billion. Total available funding for projects through the ARRA is $144 million, and funding is obligated to projects on a first-come-first-serve basis. Communities are required to meet all reporting and administrative requirements of the ARRA. The total project cost is $480,000 with GEFA providing the entire amount. Consistent with GEFA’s ARRA financing terms for green projects, 60 percent ($288,000) of the principal will be forgiven and the city of Summerville will pay three percent interest on a 20-year loan of $192,000.