(Estherville)– The Estherville City Council Monday evening set November 20th as the date for a public hearing on a proposal to enter into a loan agreement not to exceed $3 million. City Administrator Penny Clayton says the funds would be used for planned improvements at the city’s wastewater treatment facility…
“The source of funding for the repayment of this would be sewer revenues only. It’s not tied to property tax at all. We are proposing to seek bids. We set this amount very high, at $3 million. We expect it to come in probably at 2.4, but with volatility of construction right now, we want to hold the hearing once for a maximum amount. If the bids exceeded that we would have to come back and hold a new hearing. We don’t want to tie up the project any longer if we don’t have to. At our last meeting we issued the resolution that ordered the bids for the project, so we’ll be getting bids in on November 14th and then we’ll actually know what the bond amount is going to be.”
Clayton says $300,000 in funds from the city’s share of American Rescue Plan Act dollars will also go toward the project.
As we reported previously the work will involve the installation of additional equipment to reduce the amount of phosphorous released by the plant.
