(a) The board shall establish eligibility criteria for project financing pursuant to this chapter that shall be consistent with federal requirements.
(b) To the extent permitted by federal law, the board may provide grant funding, and principal forgiveness and 0 percent financing on loans, from the Safe Drinking Water State Revolving Fund to a project for a water system with a service area that qualifies as a severely disadvantaged community if the water system demonstrates that repaying a Safe Drinking Water State Revolving Fund loan with interest would result in unaffordable water rates.
(c) For purposes of this section, “unaffordable water rates” means an average water bill that is at least 1.5 percent of the median household income of the service area or other percentage that the board determines is appropriate to reflect funding priorities.
(Amended by Stats. 2017, Ch. 552, Sec. 1. (AB 560) Effective January 1, 2018.)
Last modified: October 25, 2018