Home Sewage Treatment Systems (HSTS)
Promoting water quality benefits by providing financing through local health departments for the upgrade and repair of HSTS.
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Ohio EPA offers three options for directing funding assistance to homeowners for improvements to failing home sewage treatment systems (HSTS):
1) Development of a linked deposit program;
2) Local loan capitalization program; and
3) Principal Forgiveness loans to Local Health Districts (LHDs).
Because the principal forgiveness loans are like grant funds, it is the most popular of the three options. Since 2016, Ohio EPA has awarded almost $50 million to Ohio LHDs for them to administer to eligible homeowners.
Through the principal forgiveness program, the LHDs set priorities and identify income-eligible residents (100%, 200% and 300% of the Health and Human Services poverty guidelines) with failing HSTS. This program is for homeowners only and is not intended for commercial applications.
Basics
Awards to LHDs range from $150,000 to $300,000 per year. For 2019, the maximum is $150,000. Up to three percent of the award amount can be used for administrative expenses. LHDs have 18 months to draw the funds from the loan.
For existing systems, funds may be used for repairs, replacements and lateral connections. For new systems, funds may be used for site evaluation, design and some permitting costs.
LHD Responsibilities
- Nominate projects during August nomination period.
- Bid and award contracts, inspect work.
- Receive funds and pay contractors.
- Maintain records of all transactions, and keep supporting documentation on hand.
Homeowner Eligibility
Homeowners can qualify for up to 100 percent as principal forgiveness. No minimum or maximum amounts per household.
| Less than 100% of the HHS Poverty Guideline | 100% PF to homeowner |
| Between 100% - 200% HHS Poverty Guideline | 85% PF to homeowner |
| Between 200% - 300% HHS Poverty Guideline | 50% PF to homeowner |
HSTS Funding through the WPCLF
| Year | Funding Available | Funds Awarded | Funds Disbursed | Number of Health Districts |
| 2016 | $13.2 million | $13,298,500 | $10,105,987 | 57 |
| 2017 | $13.2 million | $13,169,600 | $9,655,473 | 51 |
| 2018 | $13.2 million | $13,431,600 | $10,941,307 | 72 |
| 2019 | $10.3 million | $10,194,000 | $8,409,486 | 71 |
| 2020 | $10.8 million | $10,825,000 | $7,439,163 | 75 |
| 2021 |
$10.5 million |
$10,575,000 |
$1,784,450 |
72 |
| Totals (to date) | $71.2 million | $71,493,700 | $48.3 million |
Summary of HSTS Results
| Funding Year | HSTS Design |
Repairs Completed | Replacements Installed | Sewer Connections |
| 2016 | 802 | 261 | 763 | |
| 2017 | 724 | 158 | 643 | 94 |
| 2018 | 842 | 87 | 743 | 114 |
| 2019 | 519 | 108 | 563 | 50 |
| 2020 | 533 |
63 | 504 |
57 |
| 2021 |
91 |
17 |
127 |
20 |
| Totals | 3,511 | 694 | 3,343 |
335 |
Resources
- Discharging Household Sewage Treatment Systems - General Permits
- HSTS - Information for Homeowners from the Ohio Department of Health
- Clean Water State Revolving Fund Green Project Reserve
- Home Sewage Treatment System Repair and Replacement Financing
- Ohio Administrative Code Chapter 3701-29 Household Sewage Treatment Systems
