Title: Economically Distressed Areas Program (EDAP)
Accounting Policies: Expenditures generally are recorded when a fund liability is incurred; however, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when the liability has matured and payment is due.
De Minimis Rate Used: N
Rate Explanation: N/A
Kerr County has received funding through the EDAP program which contains prohibitions on the transfer of
certain revenues for non-utility purposes. Kerr County is compliant with applicable statutory requirements of
the EDAP Program.
Title: East Kerr Centerpoint Wastewater Collection Project
Accounting Policies: Expenditures generally are recorded when a fund liability is incurred; however, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when the liability has matured and payment is due.
De Minimis Rate Used: N
Rate Explanation: N/A
In 2018, the Texas Water Development Board (TWDB) awarded the County financial assistance in the
amount of $27,801,400 from the Clean Water State Revolving Fund (CWSRF) and the Economically In
2018, the Texas Water Development Board (TWDB) awarded the County financial assistance in the amount
of $27,801,400 from the Clean Water State Revolving Fund (CWSRF) and the Economically Distressed
Areas Program (EDAP); all identified as TWDB Project 10366. There are two agreements within this
project, as follows:
· Commitment No. LF1000748 in the amount of $10,096,400 and corresponding
Commitment No. L1000681 in the amount of $4,330,000
· Commitment No. G1000904 in the amount of $11,270,000 and corresponding Commitment No.
L1000884 in the amount of $2,105,000
In 2018, Kerr County was awarded Commitment No. LF1000748 and Commitment No. L1000681, TWDB
Project 10366 (Intended Use Plan (IUP) Fiscal Year 2018), by the Texas Water Development Board
(TWDB) in the form of a loan from the Clean Water State Revolving Fund (CWSRF) for the planning,
design, and/or construction of a new wastewater collection system. TWDB determined the County qualified
for principal forgiveness as a Disadvantaged Community and agreed to provide financial assistance in the
amount of $14,426,400, consisting of $4,330,000 Kerr County, Texas Combination Tax and Surplus
Revenue Certificates, 2018 (L1000681), and a subsidy in the form of loan forgiveness funds of $10,096,400
(LF1000748) without expectation of repayment of the $10,096,400. The loan and loan forgiveness funds
were placed in a trust account under the name of Kerr County, but the TWDB holds the rights to those funds
and the funds are only disbursed to the County as funds are expensed. In accordance with Exhibit G –
Escrow Agreement of Principal Forgiveness Agreement, the proceeds received by the Escrow Agent under
this Agreement shall not be considered a banking deposit of the County, and the Escrow Agent shall have no
right to title with respect thereto except as Escrow Agent under the terms of this Agreement. The County
spent $0 of the loan proceeds in the current year and $160,991 in the prior year and $3,091,089 of the loan
forgiveness funds in the current year and $6,838,836 in the prior year leaving a loan proceeds balance of
$4,169,009 and loan forgiveness balance of $166,475 plus all income earned on the funds.
In 2018, Kerr County was awarded Commitment No. G1000904 and Commitment No. L1000884, TWDB
Project 10366, by the Texas Water Development Board (TWDB) from the Economically Distressed Areas
Program (EDAP) to finance the certain wastewater system improvements. TWDB determined the County
qualified for financial assistance not to exceed $13,375,000, consisting of the TWDB’s purchase of
$2,105,000 Kerr County, Texas Combination Tax and Revenue Certificates, 2019 (L1000884) and grant
funds of $11,270,000 (G1000904), without expectation of repayment of the $11,270,000. The loan proceeds
and grant funds were placed in a trust account under the name of Kerr County, but the TWDB holds the
rights to those funds and the funds are only disbursed to the County as funds are expensed. In accordance
with Exhibit E – Escrow Agreement of the Grant Agreement, the proceeds received by the Escrow Agent
under this Agreement shall not be considered a banking deposit of the County, and the Escrow Agent shall
have no right to title with respect thereto except as Escrow Agent under the terms of this Agreement.
The County spent $1,821,776 of the grant funds in the current year and $5,026,763 in prior years and $0 of
the loan proceeds in the current year and $80,756 loan proceeds in the prior year leaving a grant balance of
$4,421,461 and loan proceeds balance of $2,024,244 plus all income earned on the funds.
In 2016, Kerr County was awarded Commitment No. L1000484, TWDB Project 10366, from the Texas
Water Development Board (TWDB) in the form of a grant from the Clean Water State Revolving Fund
(CWSRF) for the planning, design, and/or construction of a new wastewater collection system. TWDB
determined the County qualified for financial assistance not to exceed $5,110,000. The grant funds were
placed in a trust account under the name of Kerr County, but the TWDB holds the rights to those funds and
the funds are only disbursed to the County as funds are expensed. In accordance with Exhibit E – Escrow
Agreement of the Grant Agreement, the proceeds received by the Escrow Agent under this Agreement shall
not be considered a banking deposit of the County, and the Escrow Agent shall have no right to title with
respect thereto except as Escrow Agent under the terms of this Agreement. The County spent $0 of the loan
funds in the current year and $4,537,553 in prior years leaving a loan balance of $572,447.
In 2012, Kerr County was awarded Commitment No. G1000036, TWDB Project 10366, by the Texas Water
Development Board (TWDB) from the Texas Water Development Board (TWDB) in the form of a grant
from the Clean Water State Revolving Fund (CWSRF) for the planning, design, and/or construction of a new
wastewater collection system. TWDB determined the County qualified for financial assistance not to exceed
$64,000, consisting of the TWDB’s grant funds of $64,000 (G1000036). The grant funds were placed in a
trust account under the name of Kerr County, but the TWDB holds the rights to those funds and the funds are
only disbursed to the County as funds are expensed. In accordance with Exhibit E – Escrow Agreement of
the Grant Agreement, the proceeds received by the Escrow Agent under this Agreement shall not be
considered a banking deposit of the County, and the Escrow Agent shall have no right to title with respect
thereto except as Escrow Agent under the terms of this Agreement. The County spent $27,000 of the grant
funds in the current year and $33,286 in prior years leaving a grant balance of $3,715.
.
In 2017, Kerr County was awarded Commitment No. 7217045, TWDB Project 10366, by the Texas
Department of Agriculture (TDA) from the Texas Community Development Block Grant Program
(TxCDBG) to finance sewer improvements and provide first time sewer service to households in colonias.
TDA determined the County qualified for financial assistance not to exceed $1,000,000 consisting of grant
funds of $1,000,000 without expectation of repayment of the grant. The grant funds were placed in a trust
account under the name of Kerr County, but the TDA holds the rights to those funds and the funds are only
disbursed to the County as funds are expensed. The County spent $67,334 of the grant funds in the current
year and $884,872 of the grant funds in previous years. The sewer improvements were completed in the
2022-2023 fiscal year.
In 2018, Kerr County was awarded Commitment No. 7218055, TWDB Project 10366, by the Texas
Department of Agriculture (TDA) from the Texas Community Development Block Grant Program
(TxCDBG) to finance sewer improvements and provide first time sewer service to households in colonias.
TDA determined the County qualified for financial assistance not to exceed $500,000 consisting of grant
funds of $500,000 and a county match of $25,000 without expectation of repayment of the grant. The grant
funds were placed in a trust account under the name of Kerr County, but the TDA holds the rights to those
funds and the funds are only disbursed to the County as funds are expensed. In 2021-22, Commitment No.
7218045 was combined with Commitment No. 7218055 for a financial assistance amount of $817,084 and a
County match of $43,004 without expectation of repayment of the grant. The County spent $798,244 of the
grant funds in the current year and matching funds of $42,013 and $0 of the grant funds and $1,116 in
matching funds in previous years. The sewer improvements were completed in the 2022-2023 fiscal year.