California receives $7 million loan
CALIFORNIA – California Borough received nearly $7 million from PENNVEST in the form of a loan to expand its sewer system. Jon Bittner, council president, said the $6.89 million low-interest loan will help build a main pump station, an auxiliary building and a sewage treatment plant behind 84 Lumber at the site of the old slate dump.
The loan will also help pay for improvements to the main line down Water Street, an interceptor line and to connect Granville and the western end of Pennsylvania Avenue to the sewer system.
Bittner estimated the first phase of two will take about a year to complete.
He said the project was originally supposed to be completed in December 2006, however. He hopes bids will go out in March.
“It’s amazing the amount of things you need to do,” he said. “A lot of paperwork and money involved.”
He said council will need to make a formal adoption at its next meeting, scheduled for Thursday at 6:30 p.m. in council chambers.
State Rep. Peter J. Daley, D-California, made the announcement.
“This project will protect public health by eliminating discharges of untreated wastewater from the sewers,” Daley said.
“This has been a problem because several areas of the borough are currently unsewered and are discharging untreated and partially treated wastewater into Pike Run.”
The total cost of the project is almost $6.9 million. Interest for the first five years on the loan is 1.214 percent and then 2.428 percent for the balance of the term.
PENNVEST was created by the General Assembly in 1988 under the late Gov. Robert Casey.
It offers low-cost loans and grants to communities throughout Pennsylvania to fund sewer, storm water and drinking water maintenance and improvement projects.