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The Lake News Online
  • Surprise grant allows sewer rate decrease

  • The Village of Sunrise Beach Board of Trustees has significantly cut sewer rates for its soon-to-be-constructed system thanks to an unexpected grant from the Missouri Department of Natural Resources. Trustees adjusted the sewer rate ordinance in a special meeting recently after getting word from DNR that a $1,820,475 grant was approved by the Missouri Clean Water Commission on Sept. 11.
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  • The Village of Sunrise Beach Board of Trustees has significantly cut sewer rates for its soon-to-be-constructed system thanks to an unexpected grant from the Missouri Department of Natural Resources. Trustees adjusted the sewer rate ordinance in a special meeting recently after getting word from DNR that a $1,820,475 grant was approved by the Missouri Clean Water Commission on Sept. 11.
    The grant will cover roughly 75 percent of the project costs. A $750,000 low interest loan from the state revolving fund will round out the financing package.
    Sunrise Beach received the grant more than five years after being placed on DNR's priority list for support of water and sewer systems in disadvantaged communities. Eligibility for this program was based on the income level of residents in the village and the ability of the income level to support a new system.
    Due to projects in other areas of the state not going forward, DNR Director of Financial Assistance Jim Macy helped get funding transferred to the Sunrise Beach project, according to village planner Roger Corbin.
    Village officials had previously been told that there was no grant money available in this program.
    The board of trustees had decided to move ahead with the project with low interest loans from the state due to several people in the community facing possible litigation by DNR over sewage treatment issues.
    A $2.5 million project scope was finalized last year through Schultz Surveying & Engineering, and sewer rates were set accordingly in February. The project was put out for bid this spring.
    With a bid of $1,940,226.95, Don Maggi Construction was awarded the contract to install the sewer pipe lines.
    The contractor has worked in Sunrise Beach before, installing the pipes for the village's water system.
    Maggi agreed to extend the bid to Oct. 30 so that the village could make changes related to the financing in its closing documents.
    The Rolla-based company will have 270 days to complete the project once the notice to proceed has been given following finalization of the contract.
    The majority of the remaining expenses are for the treatment facility which will be located near the Hurricane Deck Bridge. The extended-aeration treatment plant will have a capacity of 50,000 gallons per day with the potential for future expansion as needed.
    The project now also includes additional contingency funding to possibly connect residences in the Ambrosia Lane area that are now seeking annexation into the village.
    Phase one will mainly run along Highway 5 from Spring Cove Rd. (formerly Lake Rd. 5-39) to the Hurricane Deck Bridge.
    The city has budgeted the system to start off with 30 residential users and 20 commercial users. The estimated budget for the first year is $113,429.25 which includes $46,108.45 for debt service.
    Page 2 of 2 - The grant funding not only means lower rates for users, it also puts the municipality in a good position for phase 2 of its sewer system.
    Last year, the Clean Water Commission gave Sunrise Beach loan authority up to approximately $6 million with rates around 1.5 percent.
    With less loaned money in the first phase, the board should be able to do more in its second phase than anticipated before receiving the grant.
     
    New vs. old
    It should be noted that new classifications were implemented with the change in rates. Commercial user classifications have been broken down differently, so the numbers on old and new rates for commercial users are not a direct comparison as listed.
     
    New rates
    Residential users: Single family and multi-unit
    $35 per month
    Non-residential users with normal domestic strength wastewater*
    3,001-6,000 gallons per month flow: $60 per month
    6,001-10,000 gpm flow: $100 per month
    10,001-25,000 gpm: $200 per month
    25,001-75,000 gpm: $600 per month
    75,001-250,000 gpm: $2,500 per month
    More than 25,000 gpm: $3,500 per month
    * There are additional charges for users with greater than normal domestic strength wastewater.
     
    Old rates
    Residential users: Single family and multi-unit
    $46.12 per month
    Non-residential users
    15 and 300 gallons per day: $61.71 per month
    301 and 750 gpd: $236.35 per month
    751-2,000 gpd: $666.12 per month
    2,001-7,500 gpd: $3,320.36 per month
    More than 7,501 gpd: $6,148.82 per month
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