Wednesday, April 10, 2024–10:08 a.m.
-David Crowder, WRGA News-
The Cave Spring City Council voted Tuesday to authorize the chairman to sign documents related to a $12 million loan from the Georgia Environmental Finance Authority.
The money will go toward a $15 million water project. The other $3 million is being provided by 2023 special purpose local option sales tax funds.
According to the GEFA website, the loan will finance improvements to the water distribution system and the replacement of water main. The city’s water main is undersized and aging, resulting in leakage. This project will increase water pressure, reduce water loss, and improve water quality and reliability. The loan qualifies for a reduced interest rate due to GEFA’s affordability criteria and the project being a conservation activity.
“The interest rate is 1.56%, said Cave Spring City Manager Nick McLemore said. “We will begin making payments when the project is completed in 2026.”
The payments will be around $23,000 a month but the city will get over $5 million in principal forgiveness.
“We will replace all of the water lines downtown, along with some in Alabama, and on Fosters Mill Road going to Black Bluff Road,” McLemore said.
Contract awarded for sewer project
Also Tuesday, the council approved a bid for phase two of a major sewer project.
According to McLemore, the project includes the trenching and replacement of 1,200 feet of pipe along Cedartown Street and going to Rolater Park. It also includes 1,200 feet of line grout and seal using a robot, along with 17 manholes.
The low bidder was LCS and Associates of Carrollton for just over $823,000.