The United States Department of Agriculture (USDA) aids rural disadvantaged communities through loans and/or grants for infrastructure improvements (i.e. sewer treatment plant and collection upgrades). Monitor compliance for loans and/or grants that are approved.
In regards to the USDA’s history with the Niland Sanitary District, please read the following information:
- On September 8, 2016, the District applied to USDA Rural Development to request a $3,813,700 grant to partially fund the Wastewater Treatment Plant Improvement Project.
- The total project cost is estimated at $5,813,700. The District intends to pursue the gap of $2,000,000 from the Border Environment Cooperation Commission (BECC) and the North American Development Bank (NADBank).
- On September 15, 2016, USDA-RD obligated a grant in the amount of $3,813,700 to the project and issued a Letter of Conditions to the District.
- The District had one year to satisfy the conditions identified in the Letter of Conditions. Amongst the conditions to be satisfied are the approval of a rate increase through a Prop 218 process to show the District’s financial solvency, completion of design and engineering for the project, and the execution of a construction agreement.
- As of September 14, 2017, the Letter of Conditions has expired, and the funds are in jeopardy of being de-obligated.
- The District, Successor Entity, or County needs to submit a request to extend the Letter of Conditions to USDA-RD no later than November 22, 2017 to try and salvage the $3,813,700 Grant.
For more information on USDA visit: https://www.usda.gov/