85% of New Mexico community public water systems are considered disadvantaged

New Mexico is just one of 50 States Seeking to improve Assistance to Disadvantaged Communities (DAC).  85% of New Mexico's community public water systems are considered disadvantaged.   New Mexico Environmental Department (NMED) changed the rules in September of 2021 to the CWSRF concerning low population not being defined in the Clean Water Act; therefore,  making $336 million dollars of  CLean Water State Revolving Fund (CWSRF) available to bigger cities instead of small communities with low populations as originally attended.  When  State Revolving Funds (SRF’S) where originally Created and purposed through the Clean Water Act and the Safe Drinking Water Act (SDWA).  These were established to help small communities with low populations afford funding to help them stay in compliance with State and Federal regulations. 

 Please help me ask the New Mexico state government to refine the definition of low populations so that small communities with  low populations can utilize funding from Bipartisan Infrastructure Law (BIL).

    The United States EPA  has  provided information to help states explore options for refining DAC assistance programs to better support communities in need. The purpose of the EPA’s June 2022  report is to serve as a resource for states interested in revising their DAC assistance programs. With few exceptions, the variability among states’ definitions lies not in what indicators they use, but in how they use them to establish criteria for the Disadvantaged Community (DAC) definitions and determine which communities receive greater financial assistance. In some states, having an MHI that is at or below the state MHI brings access to more affordable financing.  

 In 2022 the Bipartisan Infrastructure bill was passed where $55 billion dollars was allocated throughout all  50 states  through the two SRF’s (CWSRF& DWSRF ).  As of August 2022, 85% of New Mexico communities are not able to receive funding because they cannot afford the loan portion of the SRF’s because they are considered DAC’s.   

States have broad discretion in defining DAC’s, establishing loan rates and loan terms, deciding how much of their capitalization grant to award as additional subsidy, and establishing criteria for the distribution of additional subsidies . 

We need to ask New Mexico Government to define low populations.  80% of New Mexicos community public water systems are operated by volunteer board members who lack full-time management to know and understand how to navigate funding sources.  It is abhorrent that New Mexico SRF’s are not being used as originally intended (for small communities with low population) to help communities afford to stay in compliance with State and Federal regulations. 

 Your voice matters!  Help 85 % of New Mexico communities (rural New Mexico)by calling and writing your local  legislators.  Speak with your county government and share with them your concerns.  

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The 1996 amendments to the Safe Drinking Water Act (SDWA) established the Drinking Water State Revolving Fund (DWSRF) to help water systems finance infrastructure improvements needed to ensure compliance with drinking water standards or otherwise advance the public health protection objectives of the SDWA. To achieve this goal, DWSRF financing is subsidized through below-market interest rates and extended loan terms. However, this subsidized financing may still be insufficient for some 85% of water systems in New Mexico that face greater challenges to financing and implementing critical drinking water infrastructure improvements. the SDWA requires that each state establish affordability criteria to define “disadvantaged communities” (DACs) in the state.

Water systems that qualify as DACs are eligible for even more affordable assistance to ensure that critical drinking water system improvements are affordable for all customers.

Thank you . 

Paul Spencer 

5052870156