Kentucky Infrastructure Authority Approves Eight Loans at December Meeting, Louisa is one of them; $$$ To be paid back in 5 years
Louisa mayor explains sewer project
“…The Louisa Public Utilities board was approved for a $356,000 loan for the planning and design phase of a larger Sewer Rehabilitation Project for the older downtown sanitary sewer system. This initial phase will include diagnostic videography of the system to identify problem areas where storm water is flowing into the system and engineering to submit plans for repairing such problems. Once that part is complete and we enter into the construction phase this loan will be rolled into the larger project where we expect to get principal forgiveness up to $1.5 million dollars and .25% interest. “If we can reduce the storm water from entering the system and do some minor upgrades at the treatment plant we feel this will be adequate for the city until which time funding can be secured for a new treatment plant”.
“The utilities board and council have all been part of this process and I’m proud of the direction we are going,” the mayor said. …”
Bevin announces Louisa is one of 8 in state
FRANKFORT, Ky. (Dec. 6, 2016) – The following loan applications were approved by the Kentucky Infrastructure Authority (KIA) at the December board meeting held last Thursday in Frankfort.
KIA administers low interest loans for the construction, improvement and acquisition of sanitary sewer and water facilities and other types of infrastructure. Eligibility is based on a strategic project prioritization and a resource planning list developed between the state’s area development districts, the Kentucky Department for Local Government, the Kentucky Division of Water, the Kentucky Rural Water Association and utilities which participate in regional water councils (kia.ky.gov/wris). Each project profile is listed at kia.ky.gov/board and loan programs at kia.ky.gov/loan.
Interest rates are based on the median household income (mhi) in the utility’s service area as compared to Kentucky’s statewide mhi of just over $42,000.
The city of Louisa approved for $356,000 sewer loan
“…City of Louisa, Lawrence County
The City of Louisa’s request for a Fund A loan of $356,060 was approved for the planning and design for a sewer rehabilitation project. The loan is repayable over five years at an interest rate of 2.75 percent.
A 2009 sewer evaluation study of the entire Louisa system revealed that three zones were in need of repairs. Of the zones, the downtown area is considered to have the oldest infrastructure and the highest need for upgrades. Part of the loan will pay for camera inspection of about 23,250 linear feet of sewer line to determine what measures are required to address inflow, infiltration and some areas of storm water separation. Separating storm sewers from sanitary sewers should reduce the city’s wastewater treatment costs as well as reduce the risk of sanitary sewer overflow.
The system serves 1,821 residential customers and nine commercial customers. Because the service area population median household income (mhi) is $27,881, below the average of $43,342 for the state as a whole, the project qualifies for the 2.75 percent interest rate.”
