This resolution would authorize the City Manager to enter into a loan agreement with the Alaska Department of Environmental Conservation, through its Alaska Clean Water Fund loan program. The loan would provide funding as follows:
Alaska Clean Water Fund (ACWF):
Glacier Highway Sewer Improvements Project (Construction) $1,000,000
In FY14, the City and Borough applied for and received an Alaska Clean Water Fund program loan in the amount of $1,150,000 to cover the first part of the Glacier Highway Sewer Improvements Project per Resolution 2667. An additional $1,000,000 loan is needed for construction of the remainder of the project, total project cost is estimated at $2.5 million.
The terms of the low interest loans under the Alaska Revolving Loan Fund programs are a 20-year repayment term at 1.5-percent interest. The project loan will be re-paid with Wastewater Utility customer revenues.
The Public Works and Facilities Committee passed a motion of support for the resolution at its February 6, 2014 regular meeting and recommended forwarding to the full Assembly for approval.