Legislators Replenish Safe Drinking Water Revolving Loan Fund
LITTLE ROCK – A legislative committee voted to add $25.2 million to a revolving loan fund for safe drinking water projects.
The majority of the funds will be loans, but local water systems can apply to have the principle forgiven.
The state Division of Natural Resources brought the funding request to legislators on the Performance Evaluation and Expenditure Review Committee (PEER).
Legislators on the committee, especially those who represent rural areas, emphasized the need for the Natural Resources Division to extensively publicize the availability of the funds. One senator said that the water systems that most need financial help are most likely to be the ones that are not aware of the availability of grants and loans.
Legislators asked for copies of the application form to share with water systems and small cities in their districts.
The Natural Resource Division uses a formula to determine whether or not a water system qualifies for forgiveness of the principle. Rates paid by customers are a factor, so that rates are held down as much as possible. The formula takes into account the per capita income of ratepayers and a system is considered “rate burdened” if customers pay 1.5 percent of their income on water bills.
The action by PEER is the latest in a series of efforts to improve the infrastructure of water systems throughout Arkansas. Last month the Natural Resources Division announced that $42 million would become available for water systems serving 22,000 people.
In other action PEER recommended approval of $1.7 million for the state Workforce Services Division to strengthen its fraud prevention team.
The money will pay for extra staff and enhanced training with new technology that more quickly identifies fraudulent claims for unemployment insurance benefits. Prison inmates have filed for benefits. Also, some people fraudulently file claims in numerous states. Others file for unemployment even though they are working.
According to Division officials, Arkansas is in the top ten nationwide in holding down improper payments for fraudulent claims.
PEER also approved a request from the Department of Human Services for $2.9 million so that the state can join a national program to provide lunches for disadvantaged children during the summer. The children qualify for free or reduced priced meals during the school year, but those meals are not available in summer months.
The federal government will provide matching funds. A spokesman for the Human Services Department estimated that 373,000 Arkansas children would be eligible for the lunch program.
In other action, PEER recommended allowing the state Health Department to use about $8.1 million to update the Women, Infants and Children (WIC) program so that recipients can interact online.
The upgrades will allow recipients to digitally schedule appointments online and to fill out forms that now are on paper.
A new option will allow participants to “chat” electronically and ask questions online. After the upgrades are in place, the system will have an online shopping platform to allow WIC participants to shop online for groceries.