State: Interest Rate Reduction Will Save 16 Towns Money
DES MOINES, Iowa (AP) - State officials say 16 Iowa towns that received loans for water quality projects will end up saving money because of interest rate cuts.
The Iowa Finance Authority and the Department of Natural Resources says those towns will see a combined savings of $1.5 million over the life of their loans. They have been paying 3 percent interest on the loans, but rates are being lowered 1.75 percent.
The State Revolving Fund is one of main sources for projects to improve Iowa's drinking water, and to enhance wastewater and pollution control.
The towns that will see savings are Ainsworth, Alleman, Audubon, Bancroft, Carroll, Fort Dodge, Fort Madison, Grandview, Kalona, Lisbon, Lovilia, Neola, Pocahontas, Rockwell City, Sioux City and Tiffin.