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Water Line Extension Receives Low-Interest State Loan
On July 18, 2012
HARRISBURG – July 18, 2012 – Dozens of residents who worked with state officials to improve their water supply will soon see results under the terms of a state loan agreement, state Sen. Tim Solobay and state Reps. Jesse White and Brandon Neuman announced today.
A project by the Pennsylvania American Water Company to run nearly five miles of water lines and install a booster pump in Washington County was approved today for a $2.25 million loan from the Pennsylvania Infrastructure Investment Authority (PENNVEST).
“This investment in infrastructure will bring a clean and reliable water supply to local residents and give firefighters the supply they need to protect homes,” Solobay said. “It solves a problem, creates jobs and shows the power of citizen action.”
After residents in the area requested water service, state agencies examined the situation and Pennsylvania’s Department of Environmental Protection determined that numerous private wells in the area of the proposed project have experienced quality and quantity deficiencies.
“I was happy to lend my support for this project and testify on the residents’ behalf at the PUC hearing last August,” White said. “The residents worked tirelessly to see this project through, and the low-cost financing will help deliver clean and safe water while keeping rates low.”
The state Public Utility Commission ordered the lines to be extended by the end of the year. Pennsylvania American already serves more than a half million customers in the region. The PENNVEST loan will have an interest rate of 1.59 percent for the first five years and 2.19 percent for 15 years.
“Residents in the area deserve a lot of credit for their persistence,” Neuman said. “And because of their hard work, jobs will be created and clean water will be accessible to many residents.”
Construction is expected to be completed by the end of the year. The water company will be releasing more details of the project soon.
The project area includes:
Reissing Road area of Cecil Township
First Street area of Independence Township
Cole School Road and Campbell Road in Jefferson Township
McCarrell Road and Washington Avenue in Mount Pleasant Township
Scenic Drive area of North Franklin Township
Valley Street and Bordo Lane in Robinson Township