Small Town News

Alma Council approves USDA Rural Development financing for wastewater project

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It was a foregone conclusion that the City of Alma would obtain long term financing from USDA Rural Development for the wastewater improvement project that is underway. Tuesday night USDA Representative Dan Fischer met with the council to explain the terms of the agreement and firm up the deal. Fischer furnished a ten-page letter to the council and told them that at the end of the process he would need a motion to adopt the loan approval. He continued by explaining the terms of the arrangement, and what conditions the city must understand and agree to. An itemized list of conditions were checked off, one by one, as Fischer acknowledged some that had already been met, and others that were soon to be accomplished.

The bottom line presented by Fischer was that the total project cost for the fourth lagoon cell and wastewater treatment facility, both currently being constructed, is $3,386,000.00. Big-ticket items in that project include: $2,609,200 - construction costs; $62,000 - land acquisition and right-of-way; $10,000 - legal fees; $167,000 - engineering fees; $210,000 - inspection; $90,000 - temporary financing interest; $155,000 - emergency mitigation.

Funding for the project includes a commitment already made by the City of Alma in the amount of $117,000 and a grant from Community Development Block Grant for $400,000. The balance, $2,869,000, will be paid by way of a 40-year bond with an anticipated interest rate of $3,375%. Current sewer user fees will provide funding for the bond payment based upon 382 residential customers and 33 nonresidential meters.

Following Fischer's presentation the council volted unanimously to proceed with funding through the USDA Rural Development program.

After making that approval the council briefly discussed phase two of the wastewater renovation project. That project will include replacement of many of the failing and deteriorating sewer lines within the city. Some of those lines are over 75 years old.

City Superintendent Jon Bolinder reported to the council that his best estimate indicates there are 29,600 feet of sewer line to be replaced.

Phase two will be financed by grant money and sewer rate adjustments that have already been put in place.

In other business the council acknowledged that there has been no applicants to fill the position on the county planning commission. That position opening is due to the resignation of council member Gary Lesline. Mayor Baker advised that he and council members should keep that open position in mind, and see if someone can be identified to fill it.

Bolinder reported on the KLINK project to refurbish Highway 99 from the north city limits to the blinking light at 6th and Missouri, also to include one block south of the 6th and Missouri. (The KLINK resurfacing project is a KDOT administered project that shares in the resurfacing of a city connecting link when a street is part of the state highway system that falls within the city limits. The City of Alma first entered into an agreement with KDOT in December 1978 to partner with KDOT in resurfacing K-99 through the city. That agreement acknowledged that the route through Alma includes .849 miles of street).

Bolinder indicated that the entire project is expected to cost $276,895, with the city's 20% share of $55,379. The city's portion has been anticipated and will be paid with special highway funds. Bolinder indicated that the section of street is badly in need of repair, and the council directed him to proceed with the project.



Copyright 2009 The Wabaunsee County Signal-Enterprise, Alma, Kansas. All Rights Reserved. This content, including derivations, may not be stored or distributed in any manner, disseminated, published, broadcast, rewritten or reproduced without express, written consent from SmallTownPapers, Inc.

© 2010 The Wabaunsee County Signal-Enterprise Alma, Kansas. All Rights Reserved. This content, including derivations, may not be stored or distributed in any manner, disseminated, published, broadcast, rewritten or reproduced without express, written consent from DAS.

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