The Revolving Water Fund model targets demand from regulated entities and water providers.

Under the EPA Clean Water Act, regulators advance water quality objectives pursuant to Total Maximum Daily Load requirements and municipal separate storm sewer system permits. Both regulatory constructs require municipalities and other regulated entities to make specific pollutant reductions. Municipalities and regulated entities often lack the funding capacity, operational expertise, and risk tolerance to make timely investments and realize efficient compliance objectives. The Revolving Water Fund model directly addresses this challenge through coalescing conservation resources, technical capacity, regulatory expertise, and operational efficiency to deliver a cost efficient municipal water quality compliance solution. 

The Safe Drinking Water Act requires water providers to maintain the supply of safe drinking water. Much of the infrastructure that captures, cleans and distributes public drinking water is nearing its life expectancy, with replacement cost estimates at more than $1 trillion over the next 25 years. Concurrently, natural infrastructure solutions have proven a cost efficient approach to address water quality and associated infrastructure costs at the plant level. The Revolving Water Fund model provides a path for water companies to conduct cost-benefit analysis and invest in natural infrastructure solutions at scale.