City of Sandpoint launches website dedicated to wastewater treatment plant project

By Zach Hagadone
Reader Staff

A little more than six weeks before the Nov. 4 election, City Hall has launched a website presenting details on the proposed reconstruction of the wastewater treatment plant, including why the city has placed a bond measure on the ballot seeking up to $130 million in funding to conduct the work.

Visitors to sandpoint-wwtp.org will find a rundown of the needs at the plant, which has operated for 70 years with some components dating to the 1940s and early ’50s; an explanation of the elements of the proposed reconstruction; frequently asked questions; media reports on the project; and upcoming events — including open houses, the first of which took place Sept. 24 in the City Council chambers at City Hall.

A second open house is scheduled for Saturday, Oct. 18, from 10-11 a.m. in the council chambers (1123 Lake St.), where city staff will answer questions.

An aerial view of Sandpoint’s wastewater treatment plant. Courty photo

According to an announcement of the new website on Sept. 19, the city stated, “If approved, the bond measure would authorize up to $130 million in revenue bonds, repaid from sewer service rates — not property taxes. This authorization would also allow the city to apply for state and federal grants and low-interest loans, reducing overall costs to ratepayers.”

City Council members voted unanimously Aug. 20 to approve the WWTP bond measure ballot language.

“The council’s action ensures that residents will have clear information and a direct say in how the city addresses this challenge,” Sandpoint Mayor Jeremy Grimm stated. “The website provides transparent details on why improvements are needed, what they include and how they will be financed.”

According to the WWTP website, the city will pursue low-interest loans and grants, including $38 million from the Idaho Department of Environmental Quality’s State Revolving Fund; long-term, fixed Rural Development financing from the U.S. Department of Agriculture; and a federal loan from the U.S. Environmental Protection Agency under the Water Infrastructure Finance and Innovation Act.

“Most grants and loans require legal debt authorization before funds can be awarded,” the city stated on the website. “The bond ensures the city can accept outside funding and only issue the amount needed, up to the cap while improving our grant/loan competitiveness by proving readiness and match capacity.”

According to City Hall, even if the bond measure fails, “the project must still proceed, and while the city may pursue grants that don’t require debt authority, it would be primarily pay-as-you-go from sewer rates, which would force steeper and faster increases in order to accumulate sufficient funds to begin construction and repairs.”

If approved, the bond measure would result in an estimated 106% sewer rate increase over the course of five years. If rejected — and the city has no bond authority — the expense of the project will be borne entirely by ratepayers, with sewer bills going up an estimated 600% over a five-year period.

The anticipated interest rate on the 40-year bond would be 4.27% per year, with a total repayment amount of $257,285,000, including $130 million in principal and $127,285,000 of interest.

“The plant must be rebuilt to continue meeting state and federal permits, prevent pollution and protect the river and lake we depend on,” Grimm stated in the intro on the WWTP website. “While the cost is significant, delaying improvements carries greater risks, including higher costs over time, potential fines and harm to the environment.”

Go to sandpoint-wwtp.org for more information.

Want to support independent local journalism?

The Sandpoint Reader is our town's local, independent weekly newspaper. "Independent" means that the Reader is locally owned and operated by people who were born and raised in Sandpoint. The Reader is owned by Publisher Ben Olson, Editor-in-Chief Zach Hagadone and Senior Writer Soncirey Mitchell. Sandpoint Reader LLC is a completely independent business unit; no big newspaper group or corporate conglomerate or billionaire owner dictates our editorial policy. And we want the news, opinion and lifestyle stories we report to be freely available to all interested readers - so unlike many other newspapers and media websites, we have NO PAYWALL on our website. The Reader relies wholly on the support of our valued advertisers, as well as readers who voluntarily contribute. Want to ensure that local, independent journalism survives in our town? You can help support the Reader for as little as $1.

You may also like...