The Community Septic Management Program (CSMP), administered by the Massachusetts Clean Water Trust (the Trust) and the Massachusetts Department of Environmental Protection (MassDEP), supports communities in helping homeowners address failing septic systems under Title 5. Failed septic systems can lead to contaminated drinking water, unhealthy water bodies, and environmental degradation. This program provides low-interest financing for communities to issue betterment loans to homeowners, making it easier to afford essential septic system repairs or sewer connections. Additionally, the Trust offers 0% interest loans to communities that pass interest savings on to homeowners earning below certain income thresholds.
Betterment Loans
Failing septic systems are a leading source of groundwater pollution causing contaminated drinking water, tainted shellfish beds, weed-choked lakes and ponds, and polluted beaches. MassDEP administers regulations under Title 5 of the State Environmental Code, which regulates the design, installation and management of onsite wastewater disposal systems to protect the health of citizens and natural resources.
The CSMP provides financing to communities, not directly to individual homeowners. Through the CSMP, communities obtain loans from the Trust to fund local betterment programs. These local programs offer loans to homeowners to repair, replace, or upgrade failed septic systems or to connect to a public sewer if available. Homeowners repay these loans to the community via betterment assessments.
Eligible Work Includes:
- Site analyses (e.g., soil and percolation tests)
- Septic system design
- Removal and replacement of system components
- Sewer connections (if applicable)
- Permit acquisition
- Construction and equipment installation
- Property restoration after construction
0% Interest Loans to Assist Lower-Income Homeowners
In September 2022, the Trust’s Board of Trustees began offering 0% interest loans to communities that provide reduced interest rates to income-eligible homeowners to increase the affordability of septic replacement. The chart below details the interest rate at which the Trust will issue loans to community and the interest rates to which communities have the option to charge homeowners.
| % of Area Median Income | Loan Interest Rate to Homeowner | Loan Interest Rate to Community |
|---|---|---|
| <120% | 0% | 0% |
| <180% but ≥120% | 2% | 2% |
| ≥180% | 4% | 2% |
If your community is interested in offering this program, please contact the Trust to discuss what will be required from the community.
Resources for Towns
The following resources support communities in applying for funding, administering betterment loans, and promoting the program:
SRF Applications and Forms: This page contains the applications and instructions for completing the CSMP application.
Title 5/Septic Systems - Financial Assistance Opportunities for System Owners: These programs may help septic-system owners with failing systems.
Title 5/Septic Systems Policies & Guidance: These documents govern how MassDEP administers the Title 5 program.
310 CMR 15.000: Septic Systems ("Title 5"): This regulation governs the construction and maintenance of septic systems and the transport of septic-system waste.