WINONA – The City of Winona was awarded $3 million in grant funds to expand and improve the city’s water system and complete the rehabilitation of the city’s sewer system. According to Mayor Jerry Flowers, grant funding for the project -- $2.6 million from the U.S. Economic Development Authority and $400K from the Appalachian Regional Authority -- is the largest amount received by the city for a single project.
The project includes the construction of a new elevated water tank at the Winona Recreational Park, digging a new water well, and rehabbing the remainder of the city’s sewer lines (the first phase of the project was completed a few years ago). The total cost of the project is estimated at $4.8 million.
“This project will benefit all citizens of Winona,” Flowers told the Winona Board of Aldermen at Tuesday night’s regular meeting. “We are getting almost $3 million on a $4.3 million project. This is a big deal.”
For the past several years, the city has battled water pressure problems at the Highway 82/Interstate 55 corridor as well as in the residential area west of Highway 51 along that corridor. With new businesses opening along Highway 82 and the possibility of further economic development in the area, Flowers said the city needed a long-term plan to improve the current water system to better serve local businesses and citizens, as well as prepare for further growth in the area.
The board worked with Engineering Services of Grenada to resolve the problem, however, a resolution requires a new elevated tank and an additional water well. The city began seeking funding sources to help with the nearly-$5 million project.
“The board and I have been preparing for this for a number of years for economic development and to help the aging infrastructure in the City of Winona to better serve the citizens,” Flowers said.
Also included in the project is the rehabilitation of the city’s aging waste water treatment plant to extend the life of the plant for many years as well as the final two phases of rehabilitating the city’s sewer lines.
A couple of years ago, the city completed the first phase of the sewer line project. In addition, new technology used to rehabilitate the sewer lines will not require damaging current infrastructure to replace pipes. Flowers said new pipe will be installed inside the city’s current sewer lines.
Flowers said he and the board began looking into how to fund the city’s portion of the project without the need to raise property taxes. After acquiring a Capital Improvements Revolving Loan (CAP) to match ARC’s grant of $394,600, the city will be responsible for the remaining $1.5 million for the project.
By 2023, the city will free up $337,000 annually when three long-term notes for the water and waste water treatment plan ($265,000 annually), the automatic water meters ($50,000 annually), and a water rehabilitation project ($20,125).
“This is how we are going to pay for this project without having to raise taxes,” Flowers told the board.
He said by retiring old debt, the city can use budgeted money allocated to those notes to fund the entire project.
“This project will greatly improve the city’s sewer and waste water service,” Flowers said.
The board unanimously voted to move forward with the project behind a motion by Alderman David Ware and a second by Alderman Mickey Austin.