POTSDAM — A proposed new water and sewer district in the Unionville, Sissonville Road and Route 56 corridor received a promising boost in the form of a $3,125,000 United States Department of Agriculture grant.
U.S. Rep. Elise M. Stefanik, R-Schuylerville, announced the grant Wednesday and said the town would also be receiving an additional loan of $1,657,000.
The funding is intended for the inclusion of a 200,000-gallon water storage tank that will provide the average daily demand of 22,500 gallons as well as fire flows for the users along the proposed Route 56 water district.
It would also service individuals who currently have individual dug or drilled wells, the release stated.
The grant would also pay for 65 percent of the water project, Town Supervisor Ann M. Carvill said.
I have known about this for a few months and we are very pleased for the federal support for it and it will help with economic development,” she said. “It may help with the business LC Drives that’s hoping to build in that corridor.”
On June 25, the Town Planning Board approved LC Drives building a 120,000-square-foot factory at 6968 Route 56, potentially leading to 200 new jobs.
The manufacturer expressed interest in tapping into the water and sewer district if it is created, bringing the cost of the project down.
Moreover, Kevin P. Feuka, of Capital Consultants Inc, P.C., (C2AE), told the board that the U.S. Department of Agriculture Rural Development responded to a funding application to help pay for the development of the water and sewer district from the town with a “funding eligibility determination,” Mr. Feuka told town board members during their July 9 meeting.
At that meeting, Mr. Feuka said, for the water project, USDA Rural Development proposed a 38-year loan of $1.6 million at 2 1/8 percent interest. Because of the issue of the dug wells not meeting current standards and median household income, the agency proposed a grant of $3.125 million, roughly 75 percent of the project costs. The dollar amounts were rounded figures, Mr. Feuka said.
“I am excited to announce the USDA has awarded this significant funding to support the upgrade and the construction of a new distribution system for the Potsdam community,” Ms. Stefanik said in her announcement of the grant. “This opportunity to provide safer, cleaner water and better infrastructure is a huge success for the town of Potsdam. I am proud to continue to be a strong advocate for the rural development of our region.”