Keeping project costs as low as possible.
HDWD’s proposed solution to address the Regional Water Quality Control Board’s septic system discharge prohibition would collect and treat wastewater that is currently being discharged untreated into the ground.
Though the project is costly, HDWD is taking a number of steps to ensure that it is as cost effective as possible for ratepayers and property owners.
Design and Construction. From system design to phased construction to exploring all options for in-house vs. bid work, HDWD is rigorously pursuing all avenues to make sure the project is completed at the lowest possible cost.
Grant funding. HDWD is aggressively pursuing federal grants and other funding opportunities to help reduce project costs. Property owners may be eligible for financial assistance from various sources, such as a 504 Grant from the United States Department of Agriculture – Rural Development to help with costs associated with private property connection costs.
Low interest loans. Property owners secured a low interest loan of 1% to finance individual assessment costs over 30 years. This loan is from the State Water Resources Control Board State Revolving Fund and it will be repaid by property owners over 30 years through property taxes. This The State Water Resources Control Board State Revolving Fund has a current recommended interest rate of 1.3 percent. This will ensure that the majority of funding goes directly to project benefits, rather than to pay off interest.
These funding sources may be unavailable if the property owners do not approve the Assessment District. This could dramatically raise the cost of the project in the future, as well as subject property owners to state-imposed penalties.