The Town of Milton is heading to referendum on three water infrastructure projects.
The total cost of the projects is a little more than $6.2 million ($6,214,000) to be borrowed from Delaware’s Drinking Water State Revolving Fund.
Mayor John Collier says the first step is a public hearing, then setting a date for a referendum. Collier notes they have not decided how they will present the projects, but are leaning toward having them considered individually - with any property owner in Milton, resident or unable to vote on each one.
“If we are successful in our referendum, we will borrow the funds, it will have to be repaid, there will be a debt service number assigned to their quarterly water bills, whatever that amount is for debt service,” Collier says.
The interest rate on the loan is two percent with a 20-year repayment period.
Almost $4 million is sought for a new water tower on Federal Street, which was brought to referendum 10 years ago but was defeated.
“We have entered into the last phases of the subdivisions on the south end of town, and the whole idea was that we needed a water tower on this side of town by the time we finished out these subdivisions in order for the water system to work well,” Collier says.
Around $1.8 million is for water line replacement under Carey Street, Walnut Street, Magnolia Street, Reed Street, and Mill Street. About $600,000 is for the Chandler Street Water Treatment Facility Improvements Project.
Collier notes they’ve been trying to fund these projects for at least five years, but the public is “fickle” about letting the town borrow money.
“We can survive without them but what happens is, then we get into a thing where we have to all of a sudden do an emergency project because part of the infrastructure has gotten to the point where we have no choice but to replace it," Collier says. "And there’s no go over and tap this guy on the shoulder and get a quickie loan or anything, it comes out of our cash reserves and our savings.”
