EPA announces $128M water infrastructure loan to the city of Santa Cruz - KSBW Monterey

The U.S. Environmental Protection Agency announced a $128 million Water Infrastructure Finance and Innovation Act loan to the city of Santa Cruz.

EPA announces $128M water infrastructure loan to the city of Santa Cruz

The U.S. Environmental Protection Agency announced a $128 million Water Infrastructure Finance and Innovation Act loan to the City of Santa Cruz.

The act will upgrade the cities drinking water system to be more resilient to drought and climate change.

EPA is helping the City of Santa Cruz protect its water supply and deliver safe, reliable drinking water to nearly 100,000 residents.

According to water officials, Santa Cruz is located in a drought-prone region and is dependent on local water supplies.

The city will use funds to modernize critical facilities by converting existing groundwater wells into aquifer storage and recovery wells and updating its raw water conveyance pipeline.

The project will also support treatment process upgrades to address current and emerging contaminants, as well as source water quality variability.

“The WIFIA loan from the EPA allows Santa Cruz to make critical investments in securing our community’s water future, while saving our ratepayers substantial costs,” said Rosemary Menard, Santa Cruz water director.

By financing with the low interest rate of a WIFIA loan, the City of Santa Cruz will save approximately $18 million.

The construction and operations for the project are estimated to create more than 1,000 jobs.