NASHUA, Mont. – Governor Steve Bullock today announced that communities served by the Dry Prairie Regional Water System will save $582,000 thanks to changes he made to the State Revolving Fund (SRF) loan program in 2014. The savings come as a result of a $1.7 million SRF loan to Dry Prairie to add 38 miles of new pipeline to the system.
“Through strong fiscal management and a bit of common sense, we’re ensuring communities served by Dry Prairie can keep more money in their pockets,” Bullock said. “We’ll continue to work with local communities to find responsible ways to make critical infrastructure improvements, and save money for Montana residents, Main Street Montana businesses and customers.”
Using the new loan, Dry Prairie will add 38 miles of pipeline to the existing system to serve 152 households in Valley County north and west of Glasgow. Joni Sherman, Dry Prairie manager, said construction work is under way and should be completed this fall.
To finance the project, Dry Prairie has borrowed $1.7 million from the SRF loan program for 20 years at 2.5 percent interest.
The changes to the SRF interest rate were made in 2014 as part of Bullock’s Main Street Montana Project. He reduced long-term interest rates from three percent to 2.5 percent. In addition, he reduced the amount of financial reserves communities must hold in order to receive a loan, and reduced the debt-service coverage communities must have.
The Main Street Montana Project is building and implementing a business plan for the state of Montana that helps businesses grow, supports job creation, and increases wages. One of the goals of the project is to ensure Montana businesses and communities have efficient and reliable infrastructure.
Macon Construction of Wolf Point has been awarded the bid for the Dry Prairie project, which is expected to be completed in December of 2016.
Bullock noted the State Revolving Fund loan program administered by DNRC and the Montana Department of Environmental Quality (DEQ) enables Montana communities to upgrade or expand critical drinking- or wastewater treatment facilities at the lowest possible cost.
For more information on the State Revolving Fund program, contact Anna Miller of DNRC at (406) 444-6689, or visit the Montana DNRC Web site at http://dnrc.mt.gov/.