Renewable Resource Loans
About
DNRC has the authority to provide loan financing each biennium. The amount of each loan is limited by the applicant's bonded debt capacity. The financial guidelines and security requirements normally required for the issuance of general obligation or revenue bonds apply. Interest rates vary with the coal severance bond rate and may be adjusted by the legislature. The term of the loan is also variable, but typically is limited to 20 years.
Loan financing will require the processes and time constraints normally associated with the incurrence of bonded indebtedness by a governmental entity. Funding is specified in Montana Code Annotated 85-1-605.
Private loans to individuals must be secured with real property. Loans up to $3 million are available for such organizations as water user associations and ditch companies. These loans are scored by the revenue produced by the system.
Loan Programs
Public Loans
A source of loan funding to governmental entities, including Irrigation Districts, for projects that provide for or improve the conservation, management, development, or preservation of Montana’s renewable resources. The program also provides a source of loan funding for public infrastructure projects that are not eligible for funding through the State Revolving Fund or other loan programs but do provide renewable resource benefits.
- counties,
- incorporated cities and towns,
- conservation districts,
- irrigation districts, and
- water and sewer districts
- Publicly-owned dam and irrigation infrastructure projects
- Public water and wastewater infrastructure projects
Applications must be submitted through the RRGL Project Grants
Bill Herbolich
Budget Analyst/Loan Manager
Renewable Resource Loans
Rangeland Resource Loans
406-444-6686
BHerbolich@mt.gov
Renewable Resource Loans
Rangeland Resource Loans
BHerbolich@mt.gov
Private Loans
Loans for private water development projects are available from the department. Loans to individual private entities may not exceed the lesser of $400,000 or 80 percent of the fair market value of the security given for the project.
Private loans to individuals must be secured with real property. Loans up to $3 million are available for such organizations as water user associations and ditch companies. These loans are scored by the revenue produced by the system.
Private Entities
Irrigation System Improvements
Example: Conversion from flood to sprinkler irrigation
Contact Bill Herbolich (406-444-6668)
Submit a completed application to Bill Herbolich (BHerbolich@mt.gov).
Bill Herbolich
Budget Analyst/Loan Manager
Renewable Resource Loans
Rangeland Resource Loans
406-444-6686
BHerbolich@mt.gov
Renewable Resource Loans
Rangeland Resource Loans
BHerbolich@mt.gov
Emergency Loans
Emergency Loans are limited to only serious emergencies that meet program requirements. The emergency must pose an immediate threat to the beneficial management of a renewable resource, and all reasonable funding sources investigated before an emergency grant will be awarded.
DNRC will award grants or loans for an emergency project that, if delayed until legislative approval can be obtained, will cause substantial damages or legal liability to the entity seeking assistance.
- counties,
- incorporated cities and towns,
- conservation districts,
- irrigation districts, and
- water and sewer districts
Example Projects
- dike failures,
- emergency dam repairs, and
- emergency repairs to municipal drinking water and wastewater systems.
Fill out the Uniform Application and submit to David Larson (dclarson@mt.gov).
Following initial notification, a DNRC engineer will contact you and arrange for a site investigation. A determination will be made by the DNRC Director's Office within a matter of days, and a grant or loan agreement will be executed accordingly. Grant funding is available almost immediately, usually 45 to 60 days assuming that adequate rates and charges are already in effect.
David C Larson, P.E.