EPA issues $218M in WIFIA funding to Silicon Valley Clean Water

July 18, 2019
Loan will finance wastewater infrastructure upgrades that will protect public health and the San Francisco Bay.

WASHINGTON, DC, JULY 18, 2019 -- The U.S. Environmental Protection Agency (EPA) announced a $218 million Water Infrastructure Finance and Innovation Act (WIFIA) loan to Silicon Valley Clean Water (SVCW) to finance wastewater infrastructure upgrades that will protect public health and the San Francisco Bay.

"This $218 million WIFIA loan will help the Bay Area upgrade its wastewater infrastructure and protect the health of the bay and local residents while at the same time creating well-paying jobs," said EPA Administrator Andrew Wheeler. 

During an event hosted by SVCW in Redwood City, California the Tunnel Boring Machine-an an $18.2 million machine selected as an alternative to more disruptive construction options-was available for viewing. Its name, Salus, was revealed before beginning two years of work constructing a wastewater conveyance pipeline. The loan closing was announced at this event, with Warren Lieberman and Teresa Herrera of Silicon Valley Clean Water and Tomás Torres, Water Division Director for EPA's Pacific Southwest Region.

With EPA's WIFIA loan, SVCW's Regional Environmental Sewer Conveyance Upgrade (RESCU) Program will rehabilitate aging wastewater infrastructure and construct new facilities to improve the system's safety and reliability and protect the San Francisco Bay. The program will construct a 3.3-mile gravity pipeline, replace four pump stations, and build a new preliminary treatment facility. The program will also add capacity to manage stormwater. When completed, SVCW will be able to handle future wastewater wet weather flows of up to 108 million gallons per day.

"SVCW's mission to protect public health and the environment in a cost-efficient, practical, and responsible manner is greatly facilitated by receiving a loan under the WIFIA loan program," said Teresa Herrera, Plant Manager of Silicon Valley Clean Water. "We are appreciative that the U.S. government supports critical wastewater infrastructure upgrades and understands the value of protecting our environment and supporting our local economy."

The RESCU Program will cost $495 million in capital dollars. The EPA's WIFIA loan is funding eligible project costs, plus capitalized interest, which combined is valued at $517 million. EPA's WIFIA loan will finance a significant amount-up to $218 million. The WIFIA loan will save SVCW an estimated $43 million compared to typical bond financing. Project construction and operation are expected to create 400 jobs.

For more information about the WIFIA program, visit https://www.epa.gov/wifia.

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