Two days after the Princeton City Council approved a resolution requesting loan funds for rehab work on the local sewer system, the check has been cut.
Gov. Steve Beshear announced the awarding of two loans, totaling $2,753,000, to the City of Princeton Wednesday.
The loans come from the state’s Clean Water State Revolving Fund in conjunction with the American Recovery and Reinvestment Act.
Princeton Water and Wastewater, through the city, will receive a Kentucky Infrastructure Authority (KIA) base loan of $1,149,256 and a KIA/ARRA loan of $1,103,744.
The ARRA loan will feature principal forgiveness for $575,051, saving the city about $35,000 in annual debt service payments.
The funding will go toward a major sewer rehabilitation project in two system basins, basins V and VI, which include close to 15 miles of sewer line and cover much of the north half of the city.
A lengthy evaluation involving a remote-controlled camera inspection of each line in the two basins was completed in late 2009.
The inspection revealed extensive deterioration in some of the lines, a problem contributing to stormwater and groundwater inflow and infiltration (I and I).
The I and I entering the sanitary sewer system results in increased treatment expenses at the city sewer plant.
“Sewer, water system and infrastructure concerns are some of the most crucial to ensuring that towns across the Commonwealth continue to thrive,” Beshear said.
“Through the CWSRF loans, the City of Princeton will be able to improve all-important public service facilities in their community.”
In December, the water commission awarded the contract for the rehab work to Bobby Luttrell and Sons, an Ohio County firm, for $2,037,300.
Local legislators spoke in praise of the governor’s announcement.
“This grant is very important to the Princeton Water Department and will allow us to complete badly-needed sewer renovation,” Rep. Mike Cherry said.
“I am particularly gratified to see such examples as this of federal stimulus money going to grassroots, infrastructure projects.”
Sen. Dorsey Ridley said he was pleased to see the city receiving funds, especially when they are directed toward “much-needed, long overdue improvements to the sewer lines.”
The work is set to begin next month and, with line replacements on West Main, Market, North Jefferson and Hopkinsville streets, among others, could cause significant traffic disruptions once under way.
The project is expected to take approximately eight months or more to complete.
