Lee, TDEC Announce $2.5 Million Loan for City of Dyersburg Water Improvements

Gov. Bill Lee and the Tennessee Department of Environment and Conservation (TDEC) Commissioner David Salyers today announced a $2.5 million loan for the City of Dyersburg to improve water infrastructure.

The loan is one of two approved by the Tennessee Local Development Authority, with loans for the City of Memphis and the City of Dyersburg totaling $44.6 million.

"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."

"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 Dyersburg loan comes from the Clean Water State Revolving Fund Loan Program. It will address infiltration and inflow corrections, the rehabilitation of sewer lines, the lining of manholes, and pump station improvements. The loan has a 20-year term at 1.72 percent interest. The City of Dyersburg received $1,250,000 in principal forgiveness with the remainder of the loan amount to be paid back as principal.

Through the State Revolving Fund Loan Program, communities, utility districts, and water and wastewater authorities can obtain loans with lower interest rates than through private financing. These low interest rate loans can vary from zero percent to below market rate, based on each community's economic health.

This fiscal year, TDEC has awarded $24,327,750 in drinking water loans and $83,541,000 in clean water loans to meet the state's infrastructure needs. During fiscal year 2023, TDEC awarded $47,345,000 in drinking water loans and $64,095,945 in clean water loans for a total of $111,440,945.

Tennessee's Clean Water State Revolving Fund Loan Program has awarded more than $2 billion in low-interest loans since its inception in 1987. The state's Drinking Water State Revolving Fund Loan Program has awarded more than $300 million in low-interest loans since its inception in 1996.