Resolution 2023-013, adopted March 8, 2023 by the Soldotna City Council, authorized the City Manager to apply for a loan from the Alaska Clean Water Fund to finance Phase II of the Biosolids Dewatering Replacement Project.
Ordinance 2023-008 appropriates by an amount not to exceed $1,200,000 in the Utility System Capital Improvements Fund for an anticipated Alaska Clean Water Fund Loan from the State of Alaska, Department of Environmental Conservation for Phase II of the Biosolids Dewatering Replacement Project.
City Manager Stephanie Queen explains the loan;
“This is the dewatering project at our wastewater treatment plant, it’s one of the last steps in the process and we’ve got very antiquated equipment, about press, that’s at the end of its useful life and we’ve been engaged for quite some time in the process of exploring alternatives to meet our needs for the utility. Moving forward, we have engaged with early phase of the project to do the design work so identify the right equipment and that will meet the specifications of our permitting needs moving forward and we are also on the states project list eligible for funds. There’s a very low interest loan fund through the State of Alaska that funds utility projects has very favorable terms the city has used this funding in the past for projects that are at our plant. And this ordinance would appropriate $1.2 million that we would expect to receive in the term of a low interest loan for the project to move forward we’d be looking to move forward immediately in terms of acquiring the equipment that has a long lead lead time. And finalizing some of the facility design and I will just also note that this project and these costs were incorporated into our overall rate structure study, so it’s anticipated that the current rate plan that’s in place for the utility will be sufficient to meet the needs of this project and its debt obligation moving forward. “
This loan will cover the engineering proposal for Phase II of the project and will cover the purchase of equipment.
This project has been added to the State’s Intended Use Plan and is eligible for SRF funding.
