The Iowa Finance Authority and the Iowa Department of Natural Resources recently announced that 13 Iowa communities with current State Revolving Fund loans for water quality projects will save a total of $619,525 in interest over the remaining life of their loans as a result of their interest rate being reduced from 3% to 1.75%.

Melcher-Dallas is one one of the 13 communities across the state that will see the savings. Due to the interest rate reduction Melcher-Dallas will save approximately $11,600 towards a project for construction improvements to the the city’s water system.

The State Revolving Fund is one of Iowa’s primary sources for financing projects designed to improve Iowa’s water quality. Two funds, one for drinking water and one for wastewater and pollution control, have provided low-cost financing to projects in 600 Iowa communities.