Illinois Administrative Code

Section 662.210 Fixed Loan Rate The interest rate of the loan agreement shall be a fixed loan rate and shall be established as follows: a) Base 30 Year Rate – Loan agreements with a repayment period not to exceed 30 years shall have a fixed loan rate equal to 50% of the market in…

Section 662.220 Loan Repayment Period a) Except as provided in subsections (b) and (c), the loan repayment period cannot exceed the lesser of 30 years beyond the initiation of operation date, 30 years beyond the initiation of the loan repayment period, or the projected useful lif…

Section 662.240 Restructuring All restructuring shall be consistent with the objectives of the SDWA and shall meet the requirements of this Part. a) A written request for the restructuring of the loan obligation must be submitted in writing to the Agency. Each written request for…

Section 662.250 Additional Subsidization All financial assistance from the PWSLP shall be in the form of low interest loans, with principal forgiveness terms used and applied as necessary to meet specific requirements of the federal Capitalization Grant Agreement. The availabilit…

Section 662.260 Limitations on Loan Assistance The Agency may establish the annual limitations on the amount of loan assistance given to each loan recipient by considering the status of the Fund, capitalization grant amounts, economic conditions, and requirements established by U…

Section 662.310 Funding Nomination Form a) Every loan applicant shall submit to the Agency a signed and dated Funding Nomination Form that includes, at a minimum, the following items: 1) Loan applicant information A) name; B) contact information; and C) authorized representative …

Section 662.320 Project Plan a) Loan applicants shall submit to the Agency a Project Plan, with its initial Funding Nomination Form, that shall consist of plans and studies that are directly related to the construction or implementation of the proposed project. The Project Plan s…

Section 662.330 State Environmental Review a) Preliminary Environmental Review 1) All loan applicants shall submit an environmental checklist on forms prescribed by the Agency. 2) Prior to making a final determination on the acceptability of any Project Plan, the Agency shall und…

Section 662.340 Project Priority List a) The Agency shall not provide financial assistance from the State Water Revolving Fund under this Part to projects that are not on the Agency's Project Priority List. b) The Agency shall develop a Project Priority List for each fiscal year …

Section 662.345 Loan Priority Score a) Projects will be scored and ranked for inclusion on the Project Priority List using the loan priority score methodology set forth in this Section. b) The Agency will calculate the loan priority score by totaling the points awarded in subsect…

Section 662.350 Loan Application and Other Documentation Before the Agency will issue a loan agreement, the loan applicant must submit the following documents: a) An application, on forms prescribed by the Agency, which must include the following documents: 1) Loan Program Certif…

Section 662.355 Letter of Commitment a) Anytime during the fiscal year, the Agency may issue a letter of commitment reserving funds for a project, provided funds are available, if the following conditions have been met: 1) The project is on the Project Priority List; 2) The proje…

Section 662.410 Loan Issuance The Agency may, subject to the availability of funds, issue a loan agreement authorizing the initiation of construction of a project or activity listed in Section 662.130 when: a) the loan applicant submitted a Funding Nomination Form and the project…

Section 662.420 Post-Loan Issuance Construction Contract Requirements a) The loan recipient shall provide construction engineering and project monitoring to assure that the construction substantially conforms to the approved plans and specifications. b) The following procedures s…

Section 662.430 Loan Eligible Costs The loan recipient shall be paid, upon request, in accordance with Section 662.440, for all costs within the scope of the approved project, not to exceed the total amount of the loan, and that are determined to be eligible in accordance with th…

Section 662.440 Disbursement and Use of Loan Funds a) Before the Agency will disburse loan funds, the loan recipient shall submit the following: 1) A complete payment request based on costs incurred that are due and payable, as evidenced by invoices; and 2) A certification that t…

Section 662.450 Initiation of Loan Repayment Loan repayment to the Agency shall be in accordance with the loan repayment provisions contained in the loan agreement. a) Loan repayments shall commence not later than 6 months after the initiation of the loan repayment period and sha…

Section 662.460 Loan Closing and Issuance of Final Loan Amendment a) The Agency shall conduct a project review to ensure that all applicable loan conditions have been satisfied. After the final loan disbursement has been made and the project is complete, the loan recipient shall …

Section 662.470 Ongoing Auditing and Monitoring of Financial Capability a) The loan recipient shall maintain books, records, documents, reports, and other evidentiary material in accordance with generally accepted accounting principles and shall be subject to inspection and audit…

Section 662.510 Delinquent Loan Repayments a) In the event that a timely payment is not made by a loan recipient according to the loan schedule of repayment, the loan recipient shall notify the Agency in writing within 15 days after the payment due date. The notification shall in…

Section 662.520 Noncompliance with Loan Procedures a) In the event of noncompliance with any condition or obligation arising out of the loan, the Director may take any necessary action as provided by law or by the loan agreement against the loan recipient including, but not limit…

Section 662.530 Stop-Work Order a) In the event of any violation of this Part or noncompliance with the terms of the loan agreement, the Agency may, by written order, require the loan recipient to stop all or any part of the project work for a period of not more than 30 days afte…

Section 662.540 Termination a) Loan Termination by the Agency 1) The Agency, by written notice to the loan recipient, may terminate the loan in whole or in part. Cause for termination shall include, but not be limited to, the following: A) failure by the loan recipient to comply …

Section 662.610 Requirements for Subagreements The intent of this Subpart is to provide for maximum open and free competition in the procurement of materials, goods and services for the construction of projects funded from the PWSLP. Any procurement method, except as allowed unde…

Section 662.620 Construction Contracts The following procedures shall apply to construction contracts (subagreements) awarded by loan recipients for the construction phase only. They shall not apply to personal and professional service contracts. a) Each construction contract sha…

Section 662.630 Contracts for Personal and Professional Services All subagreements for personal and professional services for design or construction expected to exceed $25,000 in the aggregate shall include the following subagreement provisions. a) Subagreements for personal and …

Section 662.640 Compliance with Procurement Requirements for Construction Contracts a) Loan Applicant Responsibility The loan applicant shall be responsible for selecting the low, responsive, and responsible bidder or other contractor in accordance with applicable requirements of…

Section 662.650 Disputes a) Only the loan recipient may appeal to the Agency in its own name and for its own benefit, under the disputes provision of a loan, with respect to its subagreements. Neither a contractor nor a subcontractor may prosecute an appeal under the disputes pro…

Section 662.660 Indemnity The loan recipient shall assume the entire risk, responsibility and liability for all loss or damage to property owned by the loan recipient, the Agency or by third persons, and for any injury to or death of any persons (including employees of the loan r…

Section 662.670 Covenant Against Contingent Fees The loan recipient shall warrant that no person or agency has been employed or retained to solicit or secure a PWSLP loan upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee. For breach or …

Section 663.105 Purpose This Part sets forth the procedures the Agency shall use to operate the Public Water Supply Loan Program (PWSLP) to provide funding for lead service line replacement projects.

Section 663.110 Definitions Unless specified otherwise all terms shall have the meanings set forth in the Environmental Protection Act (Act) [415 ILCS 5] and the regulations adopted under that Act (35 Ill. Adm. Code: Subtitle F) and the federal Safe Drinking Water Act (SDWA), as …

Section 663.120 Safe Drinking Water Act Requirements a) The Public Water Supply Loan Program is administered by the Agency in accordance with the Safe Drinking Water Act and the Illinois Environmental Protection Act. b) The LSLR Capitalization Grant Agreement between the Agency a…

Section 663.130 Uses of the Public Water Supply Loan Program The Public Water Supply Loan Program shall be used and administered by the Agency for the following purposes: a) to accept and retain funds from grant awards, appropriations, transfers, and payments of interest and prin…

Section 663.140 Projects and Activities Eligible for Assistance a) Eligible community water supplies. Funds available under this Part shall only be used for providing financial assistance to a project or activity that is otherwise PWSLP eligible and is a lead service line replace…

Section 663.160 Application Process a) In order to receive a loan under this Part, loan applicants must apply with the Agency using the loan application process outlined in Subpart C. The process requires that: 1) the loan applicant submit a Funding Nomination Form pursuant to Se…

Section 663.170 Waiver of Procedures a) Except as provided in subsection (b) or otherwise required by law, the Director may waive any of the loan procedures, either in whole or in part, by a written statement to the loan recipient, either as a special condition of the loan or oth…

Section 663.210 Fixed Loan Rate Each loan shall have a Fixed Loan Rate equal to 0%.

Section 663.220 Loan Repayment Period a) Except as provided in subsection (b), the loan repayment period cannot exceed the lesser of 30 years beyond the initiation of operation date, 30 years beyond the initiation of the loan repayment period, or the projected useful life of the …

Section 663.240 Restructuring All restructuring shall be consistent with the objectives of the SDWA and shall meet the requirements of this Part. a) A written request for the restructuring of the loan obligation must be submitted in writing to the Agency. Each written request for…

Section 663.250 Additional Subsidization All financial assistance from the PWSLP shall be in the form of low interest loans, with principal forgiveness terms used and applied as necessary to meet specific requirements of the federal LSLR Capitalization Grant Agreement, the SDWA a…

Section 663.260 Limitations on Loan Assistance The Agency may establish the annual limitations on the amount of loan assistance given to each loan recipient by considering the status of the Fund, capitalization grant amounts, economic conditions, and requirements established by U…

Section 663.310 Funding Nomination Form a) Every loan applicant shall submit to the Agency a signed and dated Funding Nomination Form that includes, at a minimum, the following items: 1) Loan applicant information A) name; B) contact information; and C) authorized representative …

Section 663.320 Project Plan a) Loan applicants shall submit to the Agency a Project Plan with its initial Funding Nomination Form. b) Planning previously or collaterally accomplished under local, State, or federal programs may be utilized to the extent applicable. If any informa…

Section 663.330 State Environmental Review a) Preliminary Environmental Review 1) All loan applicants shall submit an environmental checklist on forms prescribed by the Agency. 2) Prior to making a final determination on the acceptability of any Project Plan, the Agency shall und…

Section 663.340 Project Priority List a) The Agency shall not provide financial assistance from the Fund under this Part to projects that are not on the Agency's Project Priority List. b) The Agency shall develop a Project Priority List for each fiscal year beginning on July 1. O…

Section 663.345 Loan Priority Score a) Projects will be scored and ranked for inclusion on the Project Priority List using the loan priority score methodology set forth in this Section. b) The Agency will calculate the loan priority score by totaling the points awarded in subsect…