The Board of Directors and Executive Director have been working for the past three years to evaluate options for continued funding of the Master Plan projects. The first step was a $3 million loan to pay for the most urgent projects:
Replace the Schoolmarm transmission line and repair the storage tank
Build a new pumping station to move water from the Base 3 pressure zone to the Base 2 pressure zone
Those projects were completed on budget and on time. So, our team pursued State Revolving Fund loans for the remaining $26 million dollars worth of projects. However, the new requirements placed on the SRF would increase the costs of construction substantially, so alternatives were considered. The Board decided to issue tax-free bonds.
On March 19th, the District successfully sold approximately $29 million in bonds with multiple maturities. The average interest rate for all bonds was 3.34%. Standard & Poor's gave the District an "A" rating, and everyone involved in the process was thrilled with the outcome. Three million dollars will be used to pay off the loan, and the remaining funds are allocated to pay for the construction of many capital improvements that allow the District to proactively address population growth, changing regulations, and aging infrastructure. We are committed to providing reliable, uninterrupted service to our customers. Now our water system is ready to tackle the difficult challenges of the future.
The District completed a Water System Master Plan to provide guidance and prioritization of short term and long term projects to meet challenges for ten years. To download a copy of the Master Plan click here.