Town Offered Loan, not Grant, for Mountain
View Rd. Water Line Replacement
Town Government have been offered a federal loan to
replace a water line serving 28 homes on the outskirts of
town. But there's a chance the funds may never be tapped.
The U.S. Department of Agriculture Rural Development office
approved a $414,000 loan to upgrade the Mountain View Road
drinking water supply line. The interest rate for the loan is
4.5 percent, and the town has up to 40 years to repay it.
Mayor Jim Hoover was disappointed by the offer. The
town was not awarded a grant that could have paid for up to 40
percent of the project.
Emmitsburg commissioners have held cost-sharing discussions
with the people who would benefit from the line. Mr. Hoover
said another meeting will be arranged soon, and the potential
cost to those residents is far from finalized.
"They may say they can't afford it," Mr. Hoover said.
David Haller, Emmitsburg's town manager, said the line existed
when the town bought the water system from the
Emmitsburg Water Co. in the 1960s. The pipe is not
big enough to serve the homes adequately, resulting in poor
water pressure and quality.
"It's been tough on the residents," Mr. Haller said.
Emmitsburg began the loan application process in August 2001,
he said. The project's engineering is complete, and Mr. Haller
hopes a decision is made soon so construction can be completed
The new line would be put in the same right of way as the
existing line, Mr. Haller said. A temporary, aboveground line
would be installed so service isn't interrupted.
While the town has the full amount of the loan at its
disposal, Mr. Haller said engineers think the project will
cost about $350,000. The town has spent about $20,000 on
engineering and an environmental impact study.
If the loan is accepted, Mr. Haller expects the town to retire
the debt in 20 years by paying $25,000 annually.
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