The Department of Environmental Conservation (DEC) has multiple loan programs that provide loan opportunities as a source of low-cost financing for the repair or replacement of failed or damaged structures, storage tanks, water systems, onsite wastewater systems, and unsafe dams. These programs aim to protect public health and the environment while helping Vermonters with limited financial resources afford necessary upgrades to increasingly costly repairs or replacements. DEC is seeking proposals for financial, administrative, underwriting, and consultation services as described below in the operation and management of loan funds available for the following 3 programs. 1. The Underground Storage Tank (UST) Loan Assistance Program, since 1990 authorized under 10 V.S.A. § 1944 the Underground Storage Tank Loan Assistance Program Statute. DEC has helped UST owners facilitate costly projects to upgrade, replace, or remove UST tanks/systems. Reducing the likelihood of a release of petroleum to the environment by offering interest free loans if the applicant owns less than five UST facilities in the State. Or at a 2% interest rate (fixed) if the applicant owns five or more UST facilities in the state. All UST program loans are not to exceed a term of 10 years. 2. The Vermont Wastewater and Potable Water Revolving Loan Fund (On-site Loan Program) was established in 2012 to provide homeowners with a source of low-cost financing for the repair or replacement of failed septic and/or water supply systems. The goal of this program is to protect both public health and the environment while assisting Vermonters with limited financial resources to upgrade increasingly expensive failed systems. Authorized under 24 VSA Chapter 120 § 4753(a)(10). The standard loan terms are a fixed interest rate of 3% with a 15-year amortization. Loans range in size between around $3,000 to $45,000; the program typically closes 6 to 12 loans per year. 3. Authorized under section 1106 of 10 VSA Chapter 43, The Dam Safety Revolving Loan Fund (DSRLF), was established in statute in 2024 to provide loan funding to municipalities, nonprofit entities, and private individuals, for the reconstruction, repair, removal, breaching, draining, or other action necessary to reduce the threat of a dam or portion of a dam determined to be unsafe. The statute establishing the loan fund required the loan program be defined in rule and the Dam Safety Program will need to conduct rulemaking in order to establish the loan terms, rates, conditions, maximum total project costs, eligibility requirements, etc. before the loan program can begin accepting applications for non-emergency dam projects.
