Speaker: DC Kuhns, Executive Director and Founder of EDEN Delmarva
NOT TO BE MISSED—INLAND BAYS FOUNDATION MEETING.MARCH 14
The Inland Bays Foundation is a non-profit 501 (c3) organization. Meetings are held the second Tuesday of the month (6 pm) at the South Coastal Library in Bethany Beach, DE.
Mr. Kuhns will discuss the following:
Clean Water Solutions –
A Nonprofit Collaboration
Eden – DSSC – SERCAP
Clean Water Solutions
Clean Water Solutions is a collaboration of three non-profit organizations:
EDEN Delmarva – SERCAP – DSSC
The goal of the initiative is to enable the consolidation of under-resourced community systems to a sole non-profit ownership structure through fundraising, technical assistance, and long-term management.
Background
July 2015 to July 2016, representatives from a wide variety of organizations met, under the aegis of USDA to discuss what to do about failing septic “cluster” wastewater systems in private communities
This committee, through USDA, issued a Request for Information (RFI) and 3 non-profits, including SERCAP responded
The committee felt that none of the responders offered all that was needed and asked the 3 to form a partnership
Organizational Roles
EDEN
Financial consulting, CRA funding conduit, fundraising efforts
SERCAP
Technical assistance, community advisement, system transition planning
DSSC
Non-profit utility operations, capital improvement planning, debt servicing
Since that first meeting in June…
The 3 collaborators began meeting weekly
A two-year budget was developed & revised
A pro forma has been developed & refined
A Memorandum of Understanding has been executed between the partners
Asset Transfer Protocol and an Asset Purchase Template have been developed
An Executive Summary and Business plan has been designed
Additional Startup financing has been discussed and pursued (preliminary approvals are pending)
CWS applied for and has received a Collaborative Grant from the Delaware Community Foundation
CWS Has met with…
The Public Service Commission staff
DNREC Financial Assistance Branch
USDA staff
Representatives of two targeted “cluster” communities
Other funders to identify additional opportunities
The Results:
Until DSSC receives its 501(c)(3) designation, it will work under the auspices of Eden-Delmarva to qualify for 501(c)(3) grant programs
Letters of eligibility for funding from DNREC and SERCAP are pending
CWS calculation is that a grant to loan ratio of 70% : 30% will be necessary to keep rates down
TWO of the targeted communities are already on board and one has passed a resolution to transfer system assets
The Next steps
A CPCN application must be filed with the PSC to get approval for DSSC as a Non-Profit Utility
A TMF needs assessment will be conducted by SERCAP
An engineering assessment will be conducted by DSSC via planning grant applications
Capital Improvement needs (if any) will be identified during this process
An application for USDA Rural Business Development Grant was filed 12/16
DSSC will continue the process of obtaining an IRS 501(c)(3) designation
Grants for planning and preliminary engineering for capital projects will be applied for once the systems are under DSSC ownership as the eligible entity
Funding for Capital Projects and upgrades will be sought as needs are prioritized
Additional systems will be approached as the earlier systems are running sustainability
User revenues from the first systems operating successfully will help to fund activities in the subsequent systems
Success will breed success!
In summary:
More than 50% of projected start up funding is in place
All funding so far has been from private sources
Two systems are ready and anxious to be relieved of their operational responsibility
To keep the user rates low CWS will need a grant to loan ratio of 70%: 30%
This concept has legs and is rolling along!
How you can help…
Make others in your own network aware of our innovative collaboration to help get the word out
Point us toward other potential funding
Consider a similar approach to replicate in other states with similar issues
Support the concept and the partnership (letters if/when needed)
Clean Water Solutions –
A Nonprofit Collaboration
Eden – DSSC – SERCAP
Visit EDEN Delmarva website