Department of Natural Resources awards $390,000 to Lockwood…

City will plan and design wastewater system improvements

JEFFERSON CITY, MO, SEPT. 25, 2025 - The Missouri Department of Natural Resources has awarded a $390,000 loan to the city of Lockwood for planning and design work related to the city's ongoing wastewater improvement project.

These funds will provide vital interim financing to cover early engineering and administrative costs while the city works with the department to secure a larger loan and grant funding package for its wastewater project. The larger construction project is expected to cost $3 million, and construction is estimated to start in 2026.

The early planning phases of infrastructure projects often represent a significant financial burden for cash-limited communities with water and wastewater needs. The Planning and Design Loan Program's goal is to provide a cost-effective alternative to expensive private financing that will allow communities to develop and deliver vital infrastructure projects for their citizens. These planning and design loans bear no interest and come with a five-year term. The funding provided by the department is estimated to save the city's ratepayers approximately $89,700 in interest over loan's five-year term.

"Adequate water and wastewater infrastructure is critical to the quality of life of every Missourian and the sustainability of communities and industries throughout the state," said Kurt Schaefer, director of the Department of Natural Resources.

The department's Clean Water State Revolving Fund finances improvements to wastewater treatment facilities, sewer collection system rehabilitation and extensions, and combined sewer overflow corrections. The fund also finances security, efficiency and conservation measures. Communities that borrow from the fund benefit from the below-market interest rate and from a department project manager's assistance throughout the project.

The department is committed to assisting Missouri communities with water and wastewater infrastructure improvement projects. Through its Financial Assistance Center, the department provides funding opportunities for qualified communities with water quality, wastewater and drinking water infrastructure needs. This project will be funded wholly or in part with monies received from the U.S. Environmental Protection Agency.

For more information on wastewater and drinking water funding opportunities, visit dnr.mo.gov/water/what-were-doing/state-revolving-fund-srf.