Agriculture Deputy Secretary Kathleen Merrigan recently announced the selection of $154.8 million in water and environmental project loans and grants that are being funded immediately through the American Recovery and Reinvestment Act.

The projects will help provide safe drinking water and improved wastewater treatment systems for rural towns and communities in 15 states and Puerto Rico. Altogether USDA has announced $1.29 billion for water and environmental project loans and grants benefiting people throughout the country.

"The 36 Recovery Act water and wastewater projects we are announcing today further the Obama administration's goal to rebuild and revitalize the nation's rural infrastructure," Merrigan said. "These projects will put people to work, improve the health of families and communities and make a down payment on a better environment for the future."

Among the projects announced, three are located in Indiana: Town of Morocco with $3,945,000 direct loan and $5,260,000 grant; St. Henry Water Corporation with a $1,730,000 direct loan and the Twin Lakes Regional Sewer District with $12,163,000 direct loan and $9,949,000 grant.

The Buffalo community is a lower income area around Lake Shafer. There are 1,095 homes and small businesses currently using septic tanks for sewage treatment. Due to the small lots, soil types and water table, many of these septic systems are failing. The E-coli counts in the ditches that drain the developed areas exceed the safe limits posing a health and safety risk. These ditches drain into Lake Shafer that is a popular recreation area. The project will construct a sewage collection system for the Buffalo area around Lake Schafer and expand the Big Monon Bay treatment plant, install over 232,000 feet of sewer lines and 850 low pressure sewage grinder pumps, sewer a five mile area along each side of Lake Shafer and reduce pollution in the Lake Shafer Watershed area.

For information about the USDA Recovery Act go to usda.gov/recovery or contact Darrell Mowery at (317) 290-3100, ext. 410.