Clean Water Fund Activity and Environmental Benefits
The AgBMP loan program provides loans for projects that reduce existing water quality problems caused by non-point source pollution. The program provides needed funding for local implementation of clean water practices at a very low cost. It is unique in its structure and is not duplicated by other programs or funding sources.
Through 4/4/2024, $18,698,894 from Clean Water Funds has been appropriated to the AgBMP Loan Program ($92,608,446 statewide from all sources) to improve the program's loan capacity to help local governments and landowners solve pollution problems. The AgBMP Loan Program used these dollars to finance 2,383 loans totaling $40,305,154. By practice type, 231 loans were for agricultural waste management projects, 981 for structural erosion control measures, 117 for conservation tillage equipment, 940 for septic systems upgrades, and 114 for all other types of practices. At this time the program has leveraged $40,547,880. Under the revolving framework, the appropriations have been used 2.2 times.
Appropriations from the CWF are incorporated directly into the structure and procedures of the Ag BMP revolving loan program. This program has an existing administrative procedure to award funds, approve projects, issue loans, and collect repayments. Every loan is issued from one of five sources of funds, including both federal and state sources. The Clean Water Funds are used for loans that implement local components of recommended practices identified in environmental plans, such as Total Maximum Daily Load (TMDL) implementation plans, local comprehensive water plans, wellhead protection plans, sole source aquifer protection plans, and Minnesota 319 Nonpoint Management Plan. These CWF funds are used throughout the state for any eligible nonpoint pollution problem; however, actual award are made in coordination of other AgBMP Loan funds available to the LGU.
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AgBMP Loans Supported with Clean Water Fund Dollars (5/22/2009 - 4/4/2024) |
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|
Category |
Number of Loans |
Amount of Loans |
Other Financing |
Total Cost of Projects |
|
Ag Waste Management |
231 |
$13,919,254.869 |
$13,115,178.95 |
$27,034,433.51 |
|
Structural Erosion Control |
981 |
$2,012,039.36 |
$80,049.60 |
$2,092,088.96 |
|
Conservation Tillage Equipment |
117 |
$7,366,373.29 |
$3,436,816,66 |
$10,803,189.95 |
|
Septic Systems |
940 |
$12,687,936.09 |
$1,253,569.04 |
$13,941,505.13 |
|
Other Practices |
114 |
$4,319,551.23 |
$1,056,005.83 |
$5,375,557.06 |
|
Total |
2383 |
$40,305,154.83 |
$18,941,619.78 |
$59,246,774.61 |
**Although not spent immediately, all CWF appropriations are allocated to local units of governments to implement local water priorities. Funds are issued to local lenders as projects are completed.
Clean Water funding helps finance AgBMP loans for:
How do AgBMP Loans improve Water Quality?
Loans must be used towards practices that improve an existing water quality problem, such as reducing soil erosion or ensuring safe manure and waste water management. So far, Clean Water Funds have been used by the AgBMP Loan Program to:
- support over 62,000 acres of conservation tillage;
- support the proper handling of manure from over 82,000 animal units;
- and help over 940 Minnesotans protect water quality through septic system compliance.
