Potential Development (September 97)

Utilities Department Welcomes Three New Employees (August 97)

June: A Banner Month for Good News In Wilmore (July 1997)
ALICE BROCK RETIRES AFTER 43 YEARS OF TEACHING AT WILMORE ELEMENTARY (June 1997)

Rural Development and Community Development Grants

CITY CONSIDERS $4,100,000 WATER PLANT EXPANSION
 

At a special called meeting on September 29, the City Council voted to delay application for a grant to double the size of the City's water treatment plant.   The one-million-gallon-per-day plant we now have was built in 1982 with the projection that it would meet the City's needs for twenty years.  However there were days during this past summer when the plant was operating at levels dangerously close to its capacity.

The Council was in agreement that improvements to the water plant will be necessary in order to continue to have a safe, adequate water supply for Wilmore but there were questions as to how this could best be accomplished.  In addition to doubling the size of the plant, the 4.1 million dollar proposal presented by City engineers G.R.W.  includes a new larger line from the river to the plant and improvements in the distribution system.

The Council chose to delay applying for a grant at this time for several reasons.  Some council members indicated that they did not feel there had been time to adequately evaluate the proposed project and its impact on the city.  Questions were raised as to the necessity of doubling the size of the plant and whether all of the items listed in the $4,100,000 proposal were really necessary.

Another concern was the timing of the grant applications.  There are two sources of funding from which grants for this project could possibly be obtained:
      Rural Development (RD)
     Community Development Block Grants (CDBG)

Rural Development is the new name given to the Farmers' Home Administration.  A grant of up to 45% of the total project is theoretically  possible, however, practically, a grant in excess of one million dollars is extremely rare.  In its coming fiscal year RD has a total of $12 million dollars in grant money for Kentucky.  One of their goals is to distribute the money fairly and evenly across the State. 

The limit on Community Development Block Grants is one million dollars or up to 50% of the cost of the project (whichever is less.)   The city was recently awarded a 50% grant of over $500,000 for a rehab project in our wastewater system.    Work on this project will begin soon with completion scheduled for the summer of ë98.

 The next opportunity the City will have to apply for a CDBG will be in August of 1998.  Obtaining a one million dollar grant for expanding the water plant seems possible,  but we can't apply for a new grant until the wastewater rehab project is completed.  If the project proceeds according to schedule, we will be able to meet the August  '98 deadline, but if it is delayed, we won't be able to apply until late summer, 1999.  If this occurred and we had already accepted an RD grant (likely to be less than one million dollars and possibly substantially less), we might jeopardize the potential additional one million dollar Community Development Block Grant.

What does all this mean to customers of Wilmore Utilities?  Expanding the water treatment plant will result in a rate increase which is now estimated to be about 15%, IF the City receives grants totaling nearly half of the cost of the project.  Even without this proposed project, the City's bond attorney and auditor have recommended significant increases in rates in order to make the utility system pay for itself.

Why should people who live here now have to pay more so that the plant can be expanded to accommodate more growth?  Several years ago the City Council passed an ordinance to make it less likely that this will happen in the future.  The ordinance calls for 85% of the tap fees collected ($1700 of the $2000 for each new home) to be put into a special fund to be used specifically for renewal, replacement and expansion of the utility system.  Unfortunately, this ordinance has not been fully functional long enough to have a significant impact on the project now being considered.

Even after the possible grants for this project are awarded, the expanded water plant won't be in operation for about two years.  Until then, there could be times in the summer when conservation measures may be enacted to reduce usage for watering lawns, washing cars, and other external uses.

The Mayor and City Council are very interested in knowing what the citizens of Wilmore think about this proposed project.  If you would like to express an opinion, please call us.