The Commercial-News, Danville, IL

November 16, 2012

Council considers sewer funding


DANVILLE — A sanitary sewer improvement city officials are looking at in the area west of Lake Vermilion has a hefty price tag — $4 million.

On Tuesday, city council members will consider applying for Illinois Environment Protection Agency clean water initiative loan funds to replace, upgrade and improve the sanitary sewer system serving northwest Danville.

The application would be to the IEPA State Revolving Fund Water Pollution Control Loan Program to assist with construction, sub-consulting and land acquisition for the project. The city will apply for $4.5 million.

The loan program has a 20-year repayment term with annual simple interest rates applied at one-half the bond market interest rate. The interest rate for the upcoming funding cycle year will be 1.93 percent.

The preferred alternative for the project eliminates a sanitary sewer crossing of Lake Vermilion, reduces the amount of force main adjacent to the lake and eliminates difficult to maintain gravity sewer in wood ravines.

The sewer service area includes Denvale, Denvale West, the Danville Country Club, Chateau Estates and New Rose Hill Cove.

Danville Urban Services Director David Schnelle said the application doesn’t mean the city will be successful in getting the funding.

Schnelle said this will show the state the city’s interest in the funding.

“We would be crazy not to apply,” said Ward 7 Alderman Bill Black.

In other business Tuesday, the council will consider:

Council members had already approved an extended option to purchase the land through the end of November. The option price was $1,000. The land purchase is pending IEPA approval.

Public Works Director Doug Ahrens said the equipment replaces a 17-year-old piece of equipment.

Ahrens added that having the city continue leasing the equipment isn’t advantageous to the city. Rental costs can add up to a fourth of the purchase price. A new mini excavator could cost $90,000.

Evaluations about the new equipment took about two years.

City officials say the mini excavator will provide more versatility and make smaller footprints on projects.

Ray Garcia, the city’s new superintendent of streets and sewers, said the equipment will be used for sewer and storm water issues, alleys, drainage work, sidewalk removals and other projects.

The city was successful on 19 bids at the county auction.

“We got all but three for the minimum bid,” said Mayor Scott Eisenhauer.

Sixteen properties were obtained with the lowest $646 bid price, such as property on Cherry, Junction, in the 100 block of Logan Avenue, and on Jackson Street.

The city purchased a property on Section Street for $4,585, and two properties off Fletcher Drive and North Bowman for $848 each.

Eisenhauer said the city purchased the Section Street property at a lower than expected price.

The city was outbid on a property on Texas, he added.

There is 60 days to complete the transactions, Eisenhauer said.

Funding for the properties comes from different funds including public works, tax increment financing and grant funding.

Projects for the 19 various properties include park extension, Collett Street extension, Main Street project and corridor, high school and Carver Park improvements.

Coming up

City council members will meet at 6 p.m. Tuesday at the Robert E. Jones Municipal Building, 17 W. Main St.