Commission OKs water loans, grants

The Arkansas Natural Resources Commission approved changes to the state’s water and sewer loan program and approved more than $ 1 million in loans and grants to drinking- water and wastewater utilities in the state at a meeting last week in Batesville.

Commissioners approved issuing refunding bonds, which means the commission plans to sell its bonds and eventually lower the interest rates of new bonds that it issues, said Mark Bennett, the commission’s water development division manager.

Bennett said current interest rates range from 3.9 percent to 4.75 percent. How low interest rates could go won’t be known until the commission sells its bonds. The commission borrows money, then lends it to water and sewer utilities, Bennett said.

Commissioners also approved several loans during a Sept. 21 meeting: up to $ 1.1 million to Nashville to add two pumps and other enhancements to its sewer system; up to $ 500,000 to Mountain Pine to replace a water tank; and up to $ 103,000 to the Little River County Rural Development Authority to replace water pump station media and underdrains.

Commissioners also approved grants of up to $ 25,750 for the Nail- Swain Water Authority to repair waterline leaks and other failed equipment; and up to $ 7,210 to Alicia to replace a sewer lift pump station.