Effective date: 7/20/1999

For purposes of this rule chapter:
    (1) “Act” means the Federal Safe Drinking Water Act, as amended.
    (2) “Additional completion loan” means a loan, subsequent to execution of a pre-construction loan agreement and the Department’s authorization to incur post-allowance project costs, which may be made to the project sponsor by the Department for the purpose of furnishing additional funds to finance post-allowance project costs. The interest rate for any additional completion loan shall be established under subsection 62-552.300(9), F.A.C.
    (3) “Adjusted post-allowance project costs” means the costs associated with post-allowance project activities for a project that will qualify for construction loan or construction grant funding. Capitalized interest and loan repayment reserve pertain to loans only, and such costs for loan funded projects are excluded from adjusted post-allowance project costs.
    (4) “Capitalized interest” means interest accruing at the interest rate set for the loan and compounding annually from the time when disbursements are made until six (6) months before the first semiannual loan repayment is due.
    (5) “Community water system” means a public water system which serves at least 15 service connections used by year-round residents or regularly serves at least 25 year-round residents.
    (6) “Complete grant application” means completed form 62-552.900(3), Grant Application.
    (7) “Complete loan application” means completed form 62-552.900(2), Loan Application.
    (8) “Contingency portion” means the portion of a project list consisting of projects qualified to be on the fundable portion upon list adoption but for which there are insufficient funds.
    (9) “Cost-effective” means the lowest present worth (or equivalent annual value) of the implementable and environmentally acceptable alternatives to achieve the project sponsor’s objectives considering capital costs as well as operation and maintenance costs.
    (10) “Department” means the Department of Environmental Protection.
    (11) “EPA” means the U.S. Environmental Protection Agency.
    (12) “Equivalency project” means a project for which the project sponsor shall document compliance with specific federal requirements under subsection 62-552.700(1), F.A.C., in addition to the general requirements under subsections 62-552.700(2) through (11), F.A.C.
    (13) “ERC” means the Environmental Regulation Commission.
    (14) “Financially disadvantaged community” means a municipality, county or agency (such as a county-wide department) thereof, franchised area, or other entity with a defined public water system service jurisdiction meeting the following requirements:
    (a) It must be served by a community water system;
    (b) It has a median household income of less than the statewide average as reported in the most recently available decennial census or as of a more recent verifiable determination and, for the purpose of qualifying for a grant to fund post-allowance project activities, it would have a debt service component, reflecting both existing indebtedness and that which would be required to implement the proposed project without financial assistance under this rule chapter, of the annual average residential drinking water user charge (or the equivalent thereof) to median household income financial burden ratio exceeding the following criterion:
    1. When the median household income is at least 80% but less than the 100% of the statewide average, the financial burden ratio criterion shall be 1.0%;
    2. When the median household income is below 80% of the statewide average, the financial burden ratio criterion shall be 0.5%.
    (15) “Fiscal year” means the 12-month period between July 1 and June 30.
    (16) “Fundable portion” means the portion of a project list consisting of the projects scheduled to receive approval for funding during the fiscal year for which a list is prepared.
    (17) “Funds allocated each year by the Department” means funds that are credited to the Drinking Water Revolving Loan Trust Fund in any fiscal year and are available, or expected to be available, for project grants and loans (including those for financially disadvantaged communities and small communities) during the fiscal year for which a project list is being developed as follows:
    (a) As a direct result of federal capitalization grants and state appropriations less the amount of any funds appropriated, or similarly designated, for specific purposes or projects;
    (b) As a direct result of loan repayments from project sponsors; and
    (c) As a direct result of investment earnings, project list management actions under subsections 62-552.680(4) and (5), F.A.C., project cost underruns, and previous allocations by the Department that leave funds unassigned to projects on the fundable portion.
    (18) “Loan” means financing provided by the Department under this rule chapter and which has been, or will be, secured using a formal agreement executed by the project sponsor’s authorized representative and the Secretary.
    (19) “Non-community water system” means a public water system which provides piped water for human consumption to at least 15 service connections or which serves at least 25 individuals at least 60 days out of the year but which is not a community water system. NOTE: The difference between a community water system and a non-community water system is that the former serves inhabitants whereas the latter serves transients or non-residents who otherwise do not inhabit the building served by the system. Private and limited use public water systems are addressed in Chapter 64E-8, F.A.C., and are regulated by the Department of Health.
    (20) “Non-profit water system” means a public water system that is owned by a non-profit Florida corporation qualifying for such status under Chapter 617, F.S., the Florida Not For Profit Corporation Act.
    (21) “Non-transient non-community water system” means a public water system that is not a community water system and that regularly serves at least 25 of the same persons over six (6) months per year.
    (22) “Planning portion” means the portion of the project list consisting of alphabetically ordered projects for which planning and design related activities are incomplete and, as a result, may receive funding in a future fiscal year.
    (23) “Pledged revenue” means project sponsor revenue specifically approved by the Department and pledged for the repayment of the loan.
    (24) “Post-allowance activities” shall mean the construction, procurement of equipment and materials, land acquisition, demolition, and technical services after construction bid opening.
    (25) “Post-allowance project costs” means allowable costs for post-allowance activities and contingency and, for projects to be funded with loans, capitalized interest and loan repayment reserve.
    (26) “Project” means any cost-effective devices and systems associated with the supply, storage, transmission, treatment, disinfection, and distribution of drinking water, including rehabilitation of existing facilities. Project construction need not, in and of itself, result in an operable system. The principal purpose of the project shall be to provide safe drinking water for the population projected to require such service during the design life of the project. The scope of a project includes only those facilities which qualify for funding under this rule chapter.
    (27) “Project list” means the yearly listing of fundable, contingency, and planning portion projects for project financial assistance.
    (28) “Project sponsor” means an entity, as defined in any of the following, that seeks or obtains financial assistance under this rule chapter:
    (a) A municipality, county, district, or authority or any agency thereof or a combination of two or more of the foregoing acting jointly in connection with a project, having jurisdiction over a public water system; or
    (b) A legally responsible entity representing a privately owned, investor-owned, or cooperatively held public water system.
    (29) “Public water system” means all facilities, including land, necessary for the treatment and distribution of water for human consumption and includes a community, non-transient non-community, or non-community system for the provision to the public of piped water for human consumption, provided that such system has at least 15 service connections or regularly serves at least 25 individuals daily at least 60 days out of the year. The term includes:
    (a) Any collection, treatment, storage and distribution facility or facilities under control of the operator of such system and used primarily in connection with such system;
    (b) Any collection or pretreatment storage facility or facilities not under control of the operator of such system but used primarily in connection with such system.
    (30) “Rate-based community water system” means a community water system providing water to its customers in exchange for revenues based, at least in part, on the quantity of water that may be provided. One characteristic of a rate-based community water system is that operating revenues may be generated in excess of the operating expenses.
    (31) “Refinancing loan” means a loan under this rule chapter to finance any portion of project construction and related services that has been completed or partially completed before the execution of the loan agreement if the project sponsor incurred debt to enable construction.
    (32) “Request for inclusion” means form 62-552.900(1), Request for Inclusion on the Priority List for Drinking Water Facilities.
    (33) “Secretary” means the Secretary of the Department of Environmental Protection.
    (34) “Segmented project” means a project for which the allowable costs in a given fiscal year exceed the amount that the Department commits to provide under paragraph 62-552.500(1)(d) or 62-552.600(1)(b), F.A.C.
    (35) “Small community” means a municipality or unincorporated community or other identifiable entity with a total population of 10,000 or less as of the most recent decennial census or as of a more recent verifiable determination.
    (36) “Target date” means the anticipated effective date for a financial assistance agreement for any part of the amount listed on the fundable portion of the project list.
    (37) “Water facilities plan” means plans and studies formally adopted by the project sponsor that directly relate to selecting facilities for a public water system. The requirements for a water facilities plan are set forth in subsection 62-552.700(4), F.A.C.
Specific Authority 403.8532, 403.852 FS. Implements Florida Statutes § 403.8532. History-New 4-7-98, Amended 8-10-98, 7-20-99.