The Rhode Island Infrastructure Bank has closed on two loans totaling $950,000 to the towns of Tiverton and Jamestown that will allow both communities to offer no-interest loans to homeowners for repairing or replacing failing septic systems and cesspools.
Tiverton will receive $450,000 and Jamestown $500,000 through the bank’s Community Septic System Loan Program, the agency announced. Homeowners interested in the financing should contact their respective town halls for more information and applications.
“We recognize the financial strain that septic system or cesspool replacements can impose on homeowners,” said Bill Fazioli, the Infrastructure Bank’s executive director. “That’s why we are pleased to make these funds available to the Town of Tiverton and the Town of Jamestown so they can offer 0% interest loans to address septic system issues. This will help homeowners manage significant costs while protecting our environment and public health from the impacts of failing septic systems.”
The program provides long-term financing to residential property owners to repair or replace failed septic systems or upgrade a cesspool to a modern septic system, according to the bank. Borrowers typically receive interest-free loans with a 10-year repayment term, paying only a one-time origination fee and a small annual servicing charge.
Nineteen Rhode Island communities currently participate in the program: Bristol, Charlestown, Coventry, Cranston, Glocester, Hopkinton, Jamestown, Johnston, Narragansett, New Shoreham, North Kingstown, Portsmouth, Richmond, Scituate, Smithfield, South Kingstown, Tiverton, Warren and Westerly.
The Rhode Island Infrastructure Bank finances infrastructure projects for municipalities, businesses and homeowners across the state, including water and wastewater, road and bridge, energy efficiency, renewable energy and brownfield remediation work. More information is available at riib.org.
