Sanitary District moves forward on expansion

VVN/Steve Ayers

THE collection of fast food restau-rants and motels at the intersec-tion of I-17 and Arizona 260 have been waiting for years to be hooked up to the Camp Verde Sanitary District's collection system.

At the board's regular session Jan. 12, the board instructed Chairperson Suzy Burnside to "continue with the acquisition of land from the U.S. Forest Service, asking them for an extension to process the lease purchase agreement with the bank."

The district is negotiating with private lenders for a $600,000 loan to complete the purchase of a 161-acre Forest Service parcel including and adjacent to the current water treatment plant. The land is needed for future expansion of the wastewater treatment facility.

The loan will be combined with an additional $600,000 in bonds approved in May 2004 and sold through the Water Infrastructure Finance Authority (WIFA) to purchase the property and to pay the additional costs incurred in its purchase.

The private loan will be paid off from septage income over a five-year period, although, according to Burnside, the district anticipates a quicker payoff. The WIFA loan will be paid off with assessments.

The board also unanimously approved a resolution ordering and calling for a special bond election to be held on May 17.

The proposed bonding would be for $4.5 million and would supplement a previously approved Rural Development loan and accompanying grant to pay for the treatment plant and related upgrades to the facility.

District voters approved the previous Rural Development loan of approximately $4.9 million, which also included a $1.447 million grant, in October 2001.

If the voters approve the bond in May, the district will have all of the necessary funding to complete the promised expansion of the treatment facility and the extension of the collection system.

The Yavapai County Board of Supervisors will first have to approve the election, which will be by mail in ballot.

The district will also employ the engineering firm of Coe and Van Loo to prepare a sanitation survey report prior to the actual submission of the bond question to the voters. The report will contain the particulars of the project.

The approved resolution states that the bonds could not exceed $4.5 million and the interest rate could not exceed 10 percent, although the final interest rate will be determined when the bonds are sold and it is expected to be considerably less.

The sale of the bonds would, like the previous bonds, be handled by WIFA.

Both the town and the district consider the completion of the collection system and the expansion of the treatment plant to be of primary importance to future development within the town.

Many of the businesses along Interstate 17 have been waiting since 1993 to hook up to the system and have been having their sewage pumped and hauled in the meantime.

The expansion of sewage collection lines west of I-17 has been deemed crucial by town council, to the future expansion of a commercial corridor along Arizona 260.

In other action, the board appointed Kelly Hollamon to fill a vacant position on the board. Hollamon has been serving on an interim basis since 2002 and will now serve a four-year term.

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