By Emmett O'Connell, Vidette Reporter, The Montesano Vidette
The City of Elma is getting closer to knowing exactly how much money a new waste treatment plant is going to cost them, and in turn, cost rate payers.
The city recently has been mandated by the State Department of Ecology to replace its existing treatment plant with a new facility, that will end up costing around $5 million.
The good news is that much of that cost can be made with low interest loans, and grants from other government agencies.
The bad news is that Elma, if they want to make the treatment plant as cheap to rate payers as possible, and avoid action from the DOE, needs to start preparing to get the grants right now.
"The urgent nature of these actions is really created by the fact that if the DOE application slips this year, funding for (the treatment plant) could be more expansive under a different program," wrote city engineering consultant Mike Wolfe to the mayor and council.
"DOE would be likely to take enforcement action if they see that construction slips another year," Wolfe continued. "We strongly urge timely and decisive action be taken on these issues."
In the unlikely scenario that the city doesn't receive adequate funding to build the plant, they will be looking at a moratorium on new sewer hook-ups and DOE imposed rate increases until they do, said Wolfe.
Because of the urgent nature, the city council recently gave permission to the city's engineering consultants, Gibbs and Olson of Olympia, to start looking into the grants.
"We're behind the ball right now," said Wolfe. One grant in particular, requires the city hold a series of public meetings within the next few months.
Just getting started on applying for the grants is a small step compared to when the council has to consider what type of funding to take, Wolfe said. "The commitment tonight is kind of minor."
The best and most likely arrangement of funding for the city, said Wolfe, is 50/50 split between grants and loans.
According to paper work provided to the city by Wolfe earlier this fall, that would require a 35 percent rate increase to take effect in July of 1999. Another 10 percent increase in 2007 and a five percent increase in 2008 would also be required under this plan.
Even though this may turn out to be the busiest period in terms of work for the city's engineers, according to Wolfe, they won't be asking the city for any more money.
The ball the city is behind also requires them to quickly find a designer for the plant before the beginning of February and a design to be started before Feb. 26.
Almost every city council meeting and work session through February will have an action on the schedule concerning the financing of the new plant.
"All the meetings from now until February are important," said Wolfe. He doesn't think though that any more meetings will need to be scheduled to allow him to reach his deadlines.
Some city council members questioned the process last Monday, asking whether or not the city had a good chance of getting funding, and if this effort might be for naught.
"The best thing for the city to do is to get the applications in and show you're doing what (the funding agencies) want," said Wolfe.
"It isn't like a one time thing, that if one city gets a grant, another doesn't," said council member Debbie Thurman.
"And, we're online (with the applications), which makes it better," said Mayor Dave Osgood.
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