1 pm: 64°FMostly Cloudy

3 pm: 70°FMostly Cloudy

5 pm: 70°FMostly Cloudy

7 pm: 67°FMostly Cloudy

More Weather

Scioto receives loan to build water treatment plant

Sep. 26, 2013 @ 07:57 AM

FRANKLIN FURNACE, Ohio —  Ohio EPA has issued a $10.5 million loan to Scioto Water Inc. to help make water distribution and storage improvements and construct new wells and a water treatment plant.

The East System project will serve customers in Hamilton and Elizabeth townships in Lawrence County, and in Green, Porter and Vernon townships in Scioto County.

As part of the loan from Ohio’s Water Supply Revolving Loan Account, Scioto Water qualifies for a below-market interest rate of 2 percent and more than $2.1 million in principal forgiveness (which does not need to be repaid). This should save an estimated $7.7 million over the 30-year life of the loan when compared to the market rate, according to a news release from the Ohio EPA.

To eliminate water pressure and storage problems and minimize financial uncertainty due to purchasing water, Scioto Water will upgrade its East System by adding a new storage tank and larger water mains. Scioto Water also will develop a well field and construct a new water treatment plant. Construction has begun and will be complete in mid-2014.      

The Ohio Water Supply Revolving Loan Account has, since 1998, provided more than $1 billion in loans with below-market interest rates for compliance-related improvements to public water systems. The program has saved public water systems more than $243 million in interest. Additionally, the WSRLA can provide technical assistance to public water systems in a variety of areas from the planning, design and construction of improvements to enhancing the technical, managerial and financial capacity of these systems.

The loan program is jointly managed by Ohio EPA’s Division of Environmental and Financial Assistance and Division of Drinking and Ground Waters, with assistance from the Ohio Water Development Authority. Ohio EPA is responsible for program development and implementation, individual project coordination, and environmental reviews of projects seeking funds. The Ohio Water Development Authority provides financial management of the fund.
 

()