Knox Mayor Dennis Estok provided a brief update about the city’s wastewater treatment plant rehabilitation project when city council members met last Tuesday.
Mayor Estok explained that the city was initially trying to obtain a USDA grant. However, that grant was not received and the project had to be reworked to be more financially feasible.
He said it was originally estimated to cost around $4.1 million. After prioritizing some of the most important work that needs to be done, the project has been reduced to an estimated cost of approximately $1.5 million.
Estok said officials are still in the process of applying for another grant through the Office of Community and Rural Affairs (OCRA). If the OCRA grant is received, the city will still need to supply a match of about $500,000.
Estok said that officials are working with the city’s financial advisors to work out a future payment method that will allow them to avoid raising rates.
Estok explained, “We’re working with Umbaugh, as far as, also bonding for that. We’re not going to raise the sewer rate or anything like that again to do this project. Either we get that grant or we have to go right back to the drawing board again.”
Mayor Estok said the matter will be readdressed during future city council meetings.
