PIERRE, S.D. – Today, the South Dakota Department of Agriculture and Natural Resources (DANR) announced the Board of Water and Natural Resources has approved $431,159,550 in grants and loans for rural water systems throughout South Dakota. These awards are part of more than $1.1 billion in statewide awards approved by the board today.

The $431,159,550 total includes $152,265,282 in grants and $278,894,286 in low-interest loans to be administered by the Department of Agriculture and Natural Resources.

“I am pleased to announce this financial assistance is available,” said DANR Secretary Hunter Roberts. “These grants and loans will result in upgraded drinking water systems which is good for the users and the environment.”

The grants and loans were awarded from DANR’s Drinking Water State Revolving Fund Program, Consolidated Water Facilities Construction Program, and American Rescue Plan Act (ARPA) to the following area systems:

Aurora-Brule Rural Water Systems received a $4,144,734 Drinking Water State Revolving Fund loan and a $1,855,266 ARPA grant to address water pressure and reliability issues within the system by installing 10 miles of new parallel water main, a new water storage reservoir, a booster station, multiple loops within the system, and making other line improvements. These funds and local cash will cover the cost of the project. The loan terms are 1.875 percent for 30 years.

Davison Rural Water System received a $810,385 Drinking Water State Revolving Fund loan and a $439,615 ARPA grant to address water supply and system pressure issues. In addition, the project will increase accuracy and efficiencies by upgrading from self-reading meters to automatic meter read technology. The loan terms are 2.125 percent for 30 years. This funding and local cash will cover the project costs.

Hanson Rural Water System received a $2,356,165 Drinking Water State Revolving Fund loan and a $1,273,835 ARPA grant to address water supply and pressure issues within the system by paralleling and looping existing mains to meet current demands. In addition, the project will upgrade metering methodology by moving from self-reading meters to automatic meter read technology to increase accuracy. The loan terms are 1.625 percent for 30 years. This funding package along with local funds will complete the cost of the project.

Mid-Dakota Rural Water System received a $29,467,750 Drinking Water State Revolving Fund loan, a $2,000,000 Consolidated Water Facilities Construction Program grant, and a $13,867,250 ARPA grant to install a new water meter system, construct parallel pipe, and make improvements to the water treatment system including a new backwash recovery system and additional membrane capacity. The loan terms are 1.875 percent for 30 years.

Tripp County Water Users District received a $9,250,000 Drinking Water State Revolving Fund loan and a $4,050,000 ARPA grant to replace two storage tanks, parallel and loop lines to increase water pressure, and expand their well field to address supply issues. The terms of the loan are 0.0 percent for 30 years.

TM Rural Water District received a $5,913,600 Drinking Water State Revolving Fund loan and a $2,534,400 ARPA grant to address deficiencies in its distribution system due to increasing demands attributed to drought and new customers. Improvements includes installation of 4 miles of parallel 12-inch watermain. The loan terms are 1.625 percent for 30 years.

West River/Lyman Jones Rural Water System received a $2,800,000 Drinking Water State Revolving Fund loan and a $1,200,000 ARPA grant to install 8-inch, 6-inch, and 4-inch PVC water main pipes to replace existing undersized main services in Mellette, Haakon, and Lyman counties. In addition, a ground storage tank will be replaced in Pennington County. The terms of the loan are 1.625 percent for 30 years.

The American Rescue Plan Act provides grants for eligible water, wastewater, storm water, and nonpoint source projects. The state of South Dakota is making a historic investment in infrastructure by dedicating $600 million of American Rescue Plan Act funding for local water and wastewater infrastructure grants.

The Consolidated Water Facilities Construction Program, funded in part by revenues from the Petroleum Release Compensation Tank Inspection fee and the sale of lotto tickets, provides grants and loans for water, wastewater, and watershed projects.

The State of South Dakota and the U.S. Environmental Protection Agency fund the Drinking Water State Revolving Fund Program, which provides low-interest loans for public drinking water system projects. The program is funded through a combination of federal appropriations, loan repayments, and bonds.

The board approved the funding at today’s meeting in Pierre.