Julia Martinez of the California Rural Water Association presented the Rural Water Financing Agency, a pooled public financing mechanism available to public agencies that can provide interim construction financing and fixed-term debt with competitive, standardized underwriting. Martinez said the program provides rapid access to funds ("60 to 120 days") and that typical interest-cost examples earlier this year put a 15-year true interest cost around 4.2% and a 30-year around 4.74%, with interest-rate locks at issuance.

The program includes interim and fixed-term options, supports acquisition and construction financing, allows cost overruns to be included, and accommodates projects of any size up to a $30 million per-borrower cap. Martinez noted nonprofits are not eligible for this particular program; borrowers must be public agencies. She said the program removes reserve-fund requirements for the borrower and allows access to a program-level reserve (about $26 million) to support closings.

Why this matters: For public utilities and districts that need quick construction financing, the Rural Water Financing Agency can reduce uncertainty around interest-rate exposure and accelerate project starts. Martinez encouraged interested agencies to contact CRWA or the Rural Water Financing Agency staff for project-specific details and underwriting steps.

Practical details: Program features include fixed-rate pricing for construction, access to funds in 60
120 days, no borrower reserve requirement, a 30-year term maximum, competitive true-interest-cost examples presented and a $30 million per-loan cap.