This year is front-loaded with first quarter projects because this is the last quarter that they can receive stimulus money. The federal legislation called on stimulus projects to be given principal loan forgiveness in order to entice communities to apply for the available dollars. “Principal forgiveness” allows communities to avoid paying back a portion of their loan amount in order to encourage them to move forward with their water and sewer projects.
This week, the MI Department of Environmental Quality has estimated that they will provide $420 million in loans for the entire year. This figure is nearly double what was loaned out last year.