Lee, TDEC Announce $15.9 Million Loan for City of Clifton Water Improvements

Gov. Bill Lee and Tennessee Department of Environment and Conservation (TDEC) Commissioner David Salyers today announced a $15,903,809 loan for the City of Clifton to improve water infrastructure.

The City of Clifton loan comes from the Drinking Water State Revolving Fund Loan Program. It will address the construction of a new drinking water treatment plant. The loan has a 20-year term at 1.32 percent interest.

As a disadvantaged community, Clifton is receiving $4.999 million in standard loan forgiveness. It has also been determined there are high amounts of PFAS in its source water. Therefore, Clifton took additional protective measures, securing $5.188 million in additional loan forgiveness for technology it will use to address and remove PFAS from treated drinking water.

“Tennessee continues to support infrastructure investments for a growing state, including water quality improvements,” said Lee. “We are pleased these funds will make projects affordable to deliver important resources for Tennesseans across the state.”

“Quality water infrastructure is vital for a community, and we are glad this program can assist Clinton,” Salyers said. “The low-interest loans make it possible for communities to make improvements they need and deserve.”

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 $58,534,982 in drinking water loans and $75,720,597 in clean water loans to meet the state’s infrastructure needs. During fiscal year 2024, TDEC awarded $54,108,182 in drinking water loans and $85,350,843 in clean water loans for a total of $139,459,025.

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.