WARWICK, RI — Rhode Island Infrastructure Bank has closed on a $150,000 loan to Warwick continuing their low-interest loan program for eligible homes for Warwick sewer tie-ins allowing them to abandon outdated septic and cesspool systems.
Rhode Island Infrastructure Bank (RIIB) the state’s central hub for financing infrastructure improvements for municipalities, businesses, and homeowners, has an acute interest in aiding Warwick sewer adoptions.
“Phasing out old septic tanks and cesspools is an important step to improving our environment, but the cost for homeowners to tie into local sewer systems can be prohibitive,” said Infrastructure Bank Executive Director William Fazioli. “That is why we are pleased to provide this $150,000 in Sewer Tie-In Loan Fund financing to the City of Warwick so they can continue to make low-interest loans to eligible homeowners to connect to the City’s sewer system. This is a win-win, with improvements for homeowners and for the environment.”
According to the Warwick Sewer Authority’s website, the Warwick Sewer Tie-In Loan Fund (STILF) allows residents to borrow up to $10,000 to tie in to the public sewer system at a “very low” interest rate for up to five years. According to RIIB, that interest rate may range from 0 – 2 percent.
The money may be used for a connection by either gravity or low pressure, including the grinder pump or for the cost to properly abandon the existing septic system or cesspool. The loan program is administered through the Rhode Island Housing and Mortgage Finance Corporation (RIHMFC). There are no income restrictions.
Loans are limited to owner-occupied residential property up to and including three units. The property on which the dwelling is located must be in decent and habitable condition and there cannot be violations of minimum housing or building code standards which would make it unlikely that the property will continue to be used for dwelling purposes.
Loan applicants must provide proof of homeowner’s property and liability insurance. Local taxes must be paid to date; there can be no current state or federal tax liens on the property. Sewer connection must be made within one year of loan application and in accordance with all permitting requirements of the Warwick Sewer Authority.
The loan shall be payable in full if the property is sold or otherwise conveyed. There is no pre-payment penalty.
To request an application, contact the Warwick Sewer Authority at (401) 468-4710 or visit the Billing Office at 125 Arthur W. Devine Boulevard, Warwick, RI (open Monday through Friday, 8 a.m. to 4 p.m.). Loans funds are limited and available on a first-come first-served basis.
“Warwick has been making real progress extending sewer service to more neighborhoods across the city, but the cost of tying into the system can be difficult for many homeowners,” said Mayor Frank Picozzi. “We want to thank the team at Rhode Island Infrastructure Bank for working with us to close on this $150,000 loan that will allow us to continue our low-interest sewer tie in loan program. With these funds, we will continue to make progress towards having more Warwick homes transition away from septic tanks and cesspools and tie into our sewer system, which will in-turn improve the health of our environment.”
Author: Rob Borkowski
Rob has worked as reporter and editor for several publications, including The Kent County Daily Times and Coventry Courier, before working for Gatehouse in MA then moving home with Patch Media. Now he's publisher and editor of WarwickPost.com. Contact him at [email protected] with tips, press releases, advertising inquiries, and concerns.
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