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Milton council sets Jan. 16 referendum for water projects

$1.67 million loan to be forgiven after construction
December 24, 2020

Milton Town Council unanimously approved a resolution setting a Saturday, Jan. 16 public hearing on a $1.67 million water infrastructure project.

The town is asking voters to approve borrowing the money from the state’s Water Infrastructure Advisory Council on terms favorable to the town: interest-only payments during construction with 100 percent loan forgiveness once the project is completed. Town Manager Kristy Rogers told council Dec. 7 that the town would pay $16,700 during the six-month construction period, with funds coming from the town’s transfer tax reserves. She said there will be no fee increases to town residents to pay for the project.

Should the referendum pass, construction would start in May and last through September.

Rogers said the project involves replacing failing water mains in three areas of town. Along Atlantic Avenue, the current 4-inch main will be replaced with a 10-inch main. On Chestnut Street between Front Street and Coulter Street, there will be an upgrade from a 6-inch main to an 8-inch main. Lastly, along Atlantic Street up to Cave Neck Road, there will be an upgrade from a 6-inch main to a 12-inch main. 

Rogers said the new water mains will address frequent leaks and breaks, improve flow, and remove lead contamination from the project area. 

The Atlantic Street main is planned to be so much larger in order to accommodate flow from two projects scheduled to be built near the intersection of Atlantic Street and Cave Neck Road: the Cannery Village IV development and the new Tidewater wastewater treatment plant on Sam Lucas Road. 

When asked by former Mayor Cliff Newlands why the project was considered for referendum instead of as a grant, because the loan is being forgiven upon completion, Rogers said since the town is technically borrowing the money, the town charter requires it to be put to referendum.

Council members were enthusiastic about the project and the favorable loan terms. 

Former project coordinator John Collier said, “This is a great opportunity for the town.”

The Jan. 16 vote will be held from 8 a.m. to 6 p.m. at Goshen Hall, across Federal Street from Town Hall.

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