Shearman And Sterling

News Jan 06, 2021

Water Infrastructure Finance and Innovation Act (WIFIA) Loans for San Francisco Bay Area Wastewater Infrastructure Improvements

Shearman & Sterling represented the U.S. Environmental Protection Agency (USEPA) in connection with the extension of three secured loans issued under the Water Infrastructure Finance and Innovation Act (WIFIA) program for wastewater improvements in the San Francisco Bay area.  The initial two loans, to the City of San Mateo and the City of Foster City for approximately $210 million and $67 million, respectively, will jointly fund the San Mateo Wastewater Treatment Plant Upgrade and Expansion Project.  This project will increase the system’s capacity to manage wastewater during storms, helping eliminate sewer overflows and pollutant discharges into the San Francisco Bay.  The third loan to the City of San Mateo for approximately $85 million will fund the Basins 2 and 3 Collection System Improvements Project.  These improvements include the replacement of aging lift stations, sewer mains and manholes and the construction of a new wastewater flow equalization facility.  Aggregate total costs for the two projects are anticipated to be approximately $739.5 million.  Together, these WIFIA-financed projects represent a significant investment into the improvement of water quality in the San Francisco Bay, helping protect public health and the environment through better wastewater management.

The Team