Ford City Council Accepts PennVEST Loan (Conditionally
The four members of Ford City Borough Council voted unanimously to accept PennVEST’s nearly $3.2 million loan offer to fund construction of the new borough water filtration plant. Council Vice-President Jerry Miklos said construction could even begin later this summer if plans do not change.
By Jonathan Weaver
A nearly-$3.2 million loan offer received by the Pennsylvania Infrastructure Investment Authority (PennVEST) to fund Ford City Borough’s new water filtration plant money has been accepted by Borough Council.
Council members Vickie Schaub and Jerry Miklos seemingly-competed to be first to motion for that acceptance, both being heard by Borough Manager Eden Ratliff at the same time.
“This amount is for the total water distribution plant construction project as it currently stands,” Ratliff said.
Miklos – who also serves as Council vice-president – said he and other officials were disappointed the municipality was the only one that did not receive grant funding as part of the PennVEST offer.
He and Ratliff will continue seeking other funding opportunities after consulting with Western Region Director Larry Gasperado following the board of directors meeting in Harrisburg three weeks ago.
“We are free to continue looking for grant money or other loan money if we wish,” Miklos said. “If we find a better deal, PennVEST will adjust their rate accordingly.
“It would not make any sense for us not to explore that and I would think taxpayers would expect us to do that.”
Miklos said officials would pay back less than $176,500 during the next 20 years in interest charges if they do not find a better offer.
Gibson-Thomas Engineers Ed Schmitt said the one-percent interest is the lowest interest rate available to local municipalities.
Schaub disagreed with PennVEST board of directors’ evaluation of local residents’ household income, but the four council members in-attendance unanimously voted to accept the current offer.
Councilmen Josh Abernathy and Scott Gaiser were absent from the meeting.
Senator Don White and Representative Donna Oberlander are part of the PennVEST board of directors, and voted for the loan offer.
Ford City Borough elected officials voted after a special town hall meeting in March 2014 to proceed with building a new water plant rather than contracting with the Manor Township water authority or with Pennsylvania American Water – which is contracted in Kittanning Borough.
Borough Planning Commission Member Tyson Klukan inquired as to when construction would begin, to which Miklos said it may begin late this summer, provided there are no substantial revisions.
The project would have to be completed by August 2016, Ratliff added.
Council President Kathy Bartuccio will also formally apply to the state Department of Community and Economic Development Flood Mitigation Grant Program for a $500,000 grant.
Council Vice-President Jerry Miklos was first to motion for the application to be signed.
“This is one of many things we desperately need,” Miklos said. “We have old, antiquated pump houses that are in dire need of total rehabilitation. I think over the years, most people in Ford City have experienced adverse effects from our situation (by way of) flooded basements.
“We hope that we can get this grant to alleviate a lot of those issues.”
Borough officials also requested assistance from State Senator Don White and State Representative Jeff Pyle.
An executive session was held before the council meeting – beginning at 5PM – to discuss personnel matters.
Ratliff also said that Personnel Committee members met for a bargaining session with officials from the local Steelworkers Union, and that negotiations for a new Collective Bargaining Agreement are ongoing at this time.
