Arizona’s Water Infrastructure Finance Authority (WIFA) has closed a loan for the City of Somerton to acquire the Orange Grove Water Company, enabling better management, facility improvement and safer infrastructure, WIFA announced from Phoenix Aug. 14.

Consequently, Orange Grove and Rancho Mesa Verde dwellers will enjoy a more reliable and sustainable water supply system. The $550,000 loan will ensure safe drinking water via the water utility located in an unincorporated area of Yuma County.

“By providing funding for acquisitions like this one, WIFA is able to help ensure that drinking water utilities can meet the long-term needs of their customers,” said WIFA board chairman Henry Darwin, who also serves as director of the Arizona Department of Environmental Quality.

Somerton also will invest $1.86 million from Community Development Block Grant (CDBG) Colonia funds to build a pipeline connecting residents and installing a new storage tank, booster station, generator and hydrants in the nearby communities.

“Consolidation of water service operations makes sense and can be an effective management option for water providers,” WIFA Executive Director Sandy Sutton said. “A larger customer base results in cost savings and increased revenues to maintain system infrastructure and ensure good water quality.”

WIFA, a state agency, is dedicated to protecting public health and environmental quality, offering funding for drinking water, wastewater and stormwater projects in Arizona. It has invested over $2 billion in the state’s communities over the last 25 years.