Committee approves loan program to fund water and wastewater repairs

The House Agriculture Committee approved House Bill 1346 to establish a revolving loan fund through the Oklahoma Water Resources Board (OWRB) to offer competitive, low- or no-interest loans for water and wastewater infrastructure projects, the bill’s sponsor said.

Representative Newton, who presented the bill, said the measure aims to help communities address deferred maintenance and upgrade aging infrastructure by giving public entities access to longer-term, affordable loans. “Basically, what we're looking at is a way to invest in our water infrastructure, water and wastewater infrastructure to get competitive loans with the OWRB,” Newton said during the committee hearing.

Why it matters: Members said many local systems — particularly smaller and rural municipalities — lack funding for repairs and upgrades. The bill would make the OWRB’s financing more broadly available to counties, municipalities and state entities, Newton said.

Committee questions focused on eligibility and financing mechanics. Representative Ransom asked whether the program targets small, rural municipalities; Newton answered the loan program is open to any public entity — municipalities, counties or state bodies — with infrastructure needs. Representative Harden asked whether the state would guarantee loans or back bank financing. Newton said the measure creates a revolving fund and that any appropriation into that fund would depend on available budget resources; the bill does not mandate a state guarantee.

The committee adopted an amendment that removes a population-based limitation so the OWRB can assess infrastructure needs by condition rather than by population. The amendment was offered from the floor and adopted without objection.

Outcome and next steps: With no further debate, staff opened the vote and the committee recorded 9 ayes, 0 nays. The measure passed the committee and will move forward in the legislative process.

Sources and provenance: Committee discussion and vote were recorded on the committee transcript during the HB 1346 presentation, amendment explanation and vote.