Anderson awarded $45M in state money for updated water infrastructure plan
Anderson is being awarded just over $45 million in state money to finance major water infrastructure work throughout the city. IPR’s Thomas Ouellette reports.
The project involves replacing a more-than-50-year-old system of old piping, closing several aged wells, and creating a new water treatment plant.
Last year an engineering consulting firm reported the city saw more than 100 water main breaks and over 240 service line breaks every year, costing the city about $440,000 annually.
Anderson Mayor Thomas Broderick says the award includes more than $12 million that’s essentially a forgivable loan that the city likely won’t have to pay back.
“We’re just happy that it has come to this point,” Broderick said. “That goes a significantly long way towards the entire $130 million price tag.”
The money comes from the State Revolving Fund Loan Program, which offers communities low interest loans to improve wastewater and drinking water infrastructure.
This award joins tax money set aside from the Anderson Redevelopment Commission and federal COVID-19 funds from the American Rescue Plan for the project. That totals just over half of what the project’s cost is estimated to be.
Broderick says the plan is to cover a large portion of the remaining cost through a rate increase. Approval of the increase is pending from the Indiana Utility Regulatory Commission.
According to a press release from the city, Anderson’s water rate, including for fire protection is $26.98 per month for 4,000 gallons of water.
If the rate increase does not go through, Broderick says he would look at possibly bonding through the cities tax increment financing mechanism.
Among the water wells being replaced are several along the Broadway Street Superfund Site. Broderick says the new water treatment facility will be better equipped to filter out man-made chemicals that can be found in contaminated water.
Thomas Ouellette is our reporter and producer. Contact him at thomas.ouellette@bsu.edu.
