FILE – Tennessee Gov. Bill Lee speaks during a news conference Tuesday, Nov. 28, 2023, in Nashville, Tenn. Tennessee only plans to participate for one year in a federal program that gives low income families $40 per month per child to pay for food while school is out, the governor’s office said Friday, Feb. 2, 2024. (AP Photo/George Walker IV, File)
MEMPHIS, Tenn. — Governor Bill Lee and the Tennessee Department of Environment and Conservation (TDEC) Commissioner, David Salyers, have approved a multi-million dollar loan for the City of Memphis, it was announced Thursday.
The $42.1 million loan would go towards improving the city’s water infrastructure.
The loan addresses infiltration and inflow corrections, reinstating laterals, and manhole rehabilitation.
“Clean water is vital for all Tennesseans, and this important program is a primary tool to deliver that resource,” Salyers said. “These low-interest loans make it possible for communities to update their infrastructure in a sustainable way.”
The City of Memphis loan comes from the Clean Water State Revolving Fund Loan Program.
The loan has a 20-year term at 1.36 percent interest. The City of Memphis received $2,500,000 in principal forgiveness, with the remainder of the loan amount to be paid back as principal.
The loan is one of two approved by the Tennessee Local Development Authority, with loans totaling $44.6 million for the City of Memphis and the City of Dyersburg.
“Strong and reliable water infrastructure is critical for Tennessee communities and this loan program makes needed upgrades possible,” Lee said. “We look forward to the benefits Tennesseans will see as a result of these improvements.”
